How to Start an Online Business in Dubai, UAE

How to Start an Online Business in Dubai, UAE

ReCorporate Dubai By  0 134

Let’s look at how to start an online business in Dubai. Technologies keep expanding and improving as time goes on. E-commerce companies have been on the rise as more people start using and depending on online resources. For this reason, many new business owners are choosing Dubai as the location for their internet venture.

In light of the epidemic, most companies resorted to using digital mediums. This was due to the fact that people increasingly relied on their electronic devices for all of their needs. There is little doubt that digitalization will play a significant role in the present and future success of enterprises.

That’s why it’s undeniable that embracing technological advancements will help businesses make their imprint on the web and expand their customer base.

This blog contains comprehensive information on launching a successful internet venture in Dubai.

Steps for setting up an online business in Dubai

One must take into account a number of factors when planning the launch of an internet business in Dubai.

1. Choosing the correct location for your online business

There are two potential locations for your online business in Dubai, United Arab Emirates:


Sometimes, onshore is used interchangeably with mainland. Companies based in the mainland UAE have unrestricted access to all of the country’s markets, both domestic and international. The Department of Economic Development (DED) is in charge of issuing business licenses to mainland corporations. There is no limit on the number of visas an office on the mainland can issue to its employees. In addition, they have no trouble handling tasks for the government.

The UAE national must be an agent if mainland is the preferred jurisdiction. To add insult to injury, you can’t form an LLC for your online store.

Free Zone

However, within the boundaries of a free zone, no customs charges or taxes are imposed on firms that have been established there. This is a boon to international trade, particularly in the realms of import and export. Activities in free zones range from logistics to commerce. Free trade zones are another name for these types of jurisdictions.

You can avoid hiring an agent altogether by choosing a “free zone” as your preferred jurisdiction. Forming an LLC is another viable option for operating a business from home.

The size and scope of your internet business should go into your decision between setting up shop in a free zone or on the mainland.

2. Initial Approval Certificates & Selection of your Company Name

The name you choose for your business may not seem like a top priority, but it is. Remember that the United Arab Emirates (UAE) adheres to tight guidelines regarding your trade name. Following these guidelines will ensure that your trade name is accepted by the relevant authorities.

Here are some guidelines to keep in mind while you brainstorm potential company names:

  • If you wish to keep your own name to be your company name, then the name has to be either your full name or your surname. If you use abbreviations or only the initials of your name then the company name will not be approved.
  • No use of politically charged terms.
  • No offensive language or profanity.
  • No sectarian or political groups.
  • References to Allah is prohibited.

Read: How to Start a Cosmetics Business in Dubai

Finally, after settling on a company name, you should verify that it is available for registration with the appropriate agencies.

Among the many required items when applying for a license are:

  • Colored passport photos
  • Passport copy
  • Application form

3. Obtain Online Business License

Applying for a virtual business license is the next step after settling on a jurisdiction and physical location. The specific requirements for a business license vary widely depending on the type of enterprise, the activities involved, and the jurisdiction in question.

The Dubai government will offer you a license to operate your online business. Getting a license will take you approximately a week, and you’ll have to renew it every year. You must provide information about your company’s presence on social media in your application for a business license.

A Memorandum of Association (MOA) must be created and submitted alongside your application for your virtual business license. If you want your virtual firm to be subject to mainland law, you must take this extra step.

4. Application Process for the Visa

One of the numerous advantages of beginning an internet business is that you can do it from anywhere in the world; there’s no need to rent office space or even travel to the UAE. In order to legally operate an internet business in the United Arab Emirates, you will require a physical presence there.

You and your staff will require valid visas to set up a physical office in Dubai. Obtaining a license to conduct business online in Dubai will grant you a three-year visa that will need to be renewed annually thereafter.

Your company’s and country’s size will determine how many visas you’re eligible for. You can sponsor employees’ and family members’ visas if you have a valid online business license.

Read: What is & How to start a General trading company in Dubai

5. Opening a bank account in Dubai

Finally, you can register a corporate bank account after you have obtained your license and launched your internet firm. The time and effort required to open a bank account are minimal. Simply submit the necessary materials to the bank of your choice:

  • Business license
  • Copy of Passport
  • Copy of Visa
  • Emirates ID

Top 7 online business ideas in Dubai you might want to consider:

  1. Virtual fitness instructor – On a more positive note, business owners now have the opportunity to provide online yoga, meditation, and fitness classes thanks to the pandemic.
  2. Wellness coach – Professionals in the fields of certified nutrition and wellness can successfully do business online.
  3. Mental health counselling – Unfortunately, increased demand for counselling services has resulted from the accelerating pace of change and, more importantly, the constraints imposed after the implementation of Covid-19.
  4. Social media management – Due to the critical need of digitalization, many firms across practically all industries have been thrown under the proverbial bus. Therefore, they need to use the social media site for not only advertising and lead generating but also for raising brand recognition.
  5. Drop-shipping – Drop-shipping, because of its ease of implementation, has become the method of choice for newcomers to the e-commerce market.
  6. IT solutions – Services associated with technology are in high demand, and this need will only increase in the future.
  7. Consulting services – Most consultations today can be handled virtually, whether they be educational, financial, or recruitment-related.

Read: 100+ Successful Business Ideas in Dubai

Benefits of starting an online business in Dubai

There’s no denying that when most people need anything, they reach for their phones or computers. Inevitably, this expands your sphere of influence. However, there is more to consider when launching a business online. Having your online business’s genesis in Dubai has many advantages. Some examples are:

  • 100% Profit Repatriation: All of a company’s earnings can be sent back to the country of their incorporation. Because of this, they are free to send all of their money back to their country of origin.
  • 100% Company Ownership: Depending on the nature of their investment, foreign investors can own a hundred percent of a company in these jurisdictions.
  • Fast, quick & easy process to get a business license
  • No personal tax
  • Residence visa
  • Economical setup and operating costs
  • Ease of conducting business activities
  • Tax-free zones
  • Air-Water connectivity

Start your online business with ReCorporate

Opportunities abound in the United Arab Emirates. The digital world is increasing at an exponential rate, and the United Arab Emirates is broadening its horizons through creative ways and growth. Because of this, opening a virtual shop in the UAE is the best option.

Get your online business license in Dubai today with ReCorporate Business Setup, a leading UAE company setup firm. ReCorporate also guarantees a problem-free license application procedure.

From establishing a legal presence for your internet business to meeting all applicable regulations and gaining the necessary approvals from the appropriate authorities, our seasoned advisers have you covered.

Now that you know how to start an online business in Dubai, now it’s time to take and action and start your own online business in Dubai. It is really going to be a profitable business and one of the best decisions of a lifetime. If you have any questions or queries with regards to this post on how to start an online business in Dubai, please feel free to contact us or comment below.

Get in touch with our business experts at +971585865477 (call / WhatsApp) to get started or learn more. If you prefer, you can send an email to and wait for a response.

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