Dubai is not the only Emirate in the UAE that is evolving and developing rapidly; Sharjah is also one of them. Businesses are settling is Sharjah due to low rent for office space, inexpensive lifestyle and lenient government policies for business.
However, getting Sharjah trade license is mandatory for every business to operate legally in the Emirate and let us warn you, the process is a bit complicated. Whether freelancer, entrepreneur or a big corporate, everyone must go through the process of Sharjah trade license to set up business in the city.
That is why we will discuss all the secrets for acquiring the Sharjah trade license, outline its detail to help you achieve your Sharjah business dream in this article. Keep reading till the end.
Sharjah Trade License: What It Is? How Does it Work?
Do you want to establish your company or do business in Sharjah, UAE?
Then you must understand all what Sharjah trade license is and how does it work.
First of all, the issuance of this license is the responsibility of Sharjah Economic Development Department (SEDD) and the business regulations ensure that companies are compliant with the government provided guidelines.
Through a Sharjah trade license is a proof that businesses are granted with the permission from the Sharjah Economic Development Department and they are free to operate within the Emirate. So what are the other benefits this license provides to the businesses? Here they are:
- Businesses are compliant with local laws and regulationsthrough this license.
- Clients and partners of businesses can trust them due to the presence of this Sharjah Trade License.
- Businesses are able to prove their identity or nature of business through it as traders, freelance service providers, or industrial manufacturers. It helps them streamlining their operation with industry-specific regulations.
- The Sharjah trade license let businesses help in their financial planning by letting them understand the associated costs of operations in Sharjah.
- Additionally, the Sharjah’s general trading license open many avenues for businesses and let the go through diverse financial and trade activities.
- It provides businesses with the work flexibility to engage in various ventures related to trading.
Sharjah Trade License: What Are Its Categories?
There are three basic categories of Sharjah Trade License and you have to understand each category to align it with your business needs and requirements. These primary categories for Sharjah trade license are:
- The Commercial License
- The Freelance Permit
- The Industrial License
Commercial License
Commercial License is for entrepreneurs that want to thrive in the Sharjah’s business environment that is developing rapidly. This category of Sharjah Trade License is for businesses that buy and sell goods.
So what is the process of obtaining a Commercial Trade License?
- You need a meticulous planning and follow the guidelines of the Sharjah Economic Development Department.
- Clearly outline the trade activities of your businesses and their nature in the application
- Submit your detailed business plan
- Proof of initial business plan approval from the relevant authorities
- Submit essential legal documents
If we talk about the benefits and advantages of a Commercial License, it has a sense of versatility. It let entrepreneurs, investors and businessman engage in various activities related to trading within the Emirate. It has a mere fee which become a lot relief for entrepreneurs and freelancers.
Freelance Permit
The Freelance Permit is granted to those that want to be self-employee in their professional journey. It is specifically planned for various service providers like freelancers, consultants, media professionals and artists to let them operate legally in Sharjah. Here are the benefits of Freelance Permit in Sharjah:
- It let individuals showcase their expertise and skills without establishing a full-fledged company.
- It is a simplified way to work independently and is way cost-effective for self employed individuals.
- Freelance Permit offers individuals with the autonomy of acquiring different projects, foster collaboration and expanding their network full of professionals.
- Freelance permit legally protects the individuals and secure their position in Sharjah.
- It builds the credibility of freelancers or independent service providers for business transactions.
- It let freelancers explore the world of opportunities in the Emirate of Sharjah.
Industrial License
The Industrial License, a significant category under the domain of Sharjah trade license, caters to businesses involved in manufacturing and industrial activities. This specialized license is crucial for entrepreneurs looking to establish factories, production units, or engage in large-scale manufacturing operations within Sharjah.
Applying for an Industrial License requires entrepreneurs to provide a detailed business plan and adhere to the guidelines set by the Sharjah Economic Development Department. This plan should encompass the nature of industrial activities, ensuring alignment with local regulations. Once submitted, the department reviews the application to confirm compliance with safety standards and environmental regulations.
The primary advantages of the Industrial License are as follow:
- It facilitates the investors to get ROI on their large-scale production.
- Entrepreneurs are able to contribute to the industrial sector of Sharjah through this license significantly, which eventually leads to the creation of jobs and stabilize economic growth.
- It let industrialists to take quality control measures ensuring their goods are of high quality product.
- Although the cost for industrial license is higher than the other licenses, it ensures industrial sector a growth and profitability.
- Industrialists can easily apply for various government-based contracts and foster collaboration with the Government of the UAE.
The three different categories of Sharjah Trade License serve to unique business needs and activities, ensuring the business, individual, freelancers, or company stays compliant with the local regulations.
Trade License in Sharjah: What Is The Process To Obtain It?
If you want to get a Sharjah trade license, you have to follow the process of the Sharjah Economic Development Department. It involves the following main steps:
- First, prepare for a comprehensive business plan which outlines your business nature and type of activities. Make sure that your business plan meets the SEDD criteria for a smooth process of your application.
- Now line up your essential documents which includes initial approvals and approved plan of business
- Now submit your license application to the Sharjah Economic Development Department.
- After the careful evaluation of your application by the department officials, your Sharjah Trade License will be issued.
There are few things that you must understand regarding Sharjah Trade License including the associated fee or costs for three main categories, fee for application submission, sponsorship fees, and other relevant expenses.
Overall, it is necessary for you to maintain transparency and follow the rules and regulations strictly. You must periodically renew the licenses and watch out compliance with regulatory changes.
Trade License in Sharjah: What Are The Expenses To Acquire It?
There are various components that contribute to trade license in Sharjah. Here is the complete list:
- License Application Fees:
The process of Sharjah trade license begins with application and fee submission. You must submit it to the Sharjah Economic Development Department (SEDD). The fee covers the cost of administrative processes of your application.
- License Issuance Charges:
After the approval of your license application, you will have to bear the issuance charges of trade license in Sharjah. This is to be paid one-time only.
- Sponsorship Fees:
If there is a need for you to have a local sponsor, the sponsorship fees is also i=applicable. Through the sponsor, you will be able to set your business up in Sharjah and make sure its operations are successful.
- Miscellaneous Expenses:
You must have a budget for miscellaneous expenses that you may encounter during the process of you trade license application. These expenses can include legal fees, document or verbal translation services, and other relevant expenses.
So does the cost for Sharjah trade license can vary?
Yes the Sharjah trade license cost varies according to the category of the license and your business nature. For example, a general trading license is cheaper than the industrial license, and if you are a freelancer, the cost is less than both the discussed categories as it does not include sponsor fee and legal fee etc.
Exploring Additional Business Opportunities in Sharjah
Beyond the standard Sharjah trade license categories, entrepreneurs can explore diverse opportunities within this dynamic Emirate. One such avenue is the general trading license in Sharjah, a comprehensive license that allows businesses to engage in a wide range of trading activities. Under this category, entrepreneurs can diversify their product offerings, catering to various market segments and consumer needs.
Additionally, the Emirate encourages innovation and entrepreneurship by offering specialized licenses tailored to specific industries. For instance, businesses in the technology sector can explore licenses that facilitate IT services and software development. Similarly, the tourism and hospitality industry can obtain licenses designed to promote travel agencies, tour operators, and hotel services.
Moreover, the Sharjah Economic Development Department provides support and guidance for businesses interested in international trade. Entrepreneurs can explore import and export licenses, enabling them to engage in cross-border commerce and expand their market reach globally.
By embracing these additional business opportunities, entrepreneurs can leverage the flexibility offered by different license categories. Whether it is tapping into diverse trading activities, venturing into specialized industries, or exploring international markets, the Emirate of Sharjah provides a supportive ecosystem for businesses to thrive. With the right license and a clear business strategy, entrepreneurs can navigate these opportunities, fostering growth and contributing significantly to the economy of Sharjah.
Conclusion
In conclusion, securing a Sharjah trade license is your key to entrepreneurial success in this vibrant Emirate. Understanding the process, the cost structure, and the various license categories is crucial for a smooth journey. Whether you opt for a Commercial License, a Freelance Permit, or an Industrial License, each offers unique opportunities.
You can also explore additional business avenues specialized licenses or engage in international trade. Sharjah’s business-friendly environment fosters growth and innovation, making it an ideal destination for entrepreneurs. By following the guidelines and having a clear business plan, you can embark on your entrepreneurial journey with confidence, contributing to the economic dynamism of Sharjah.
