Key takeaways
- On the Dubai mainland, you sell online under a DET commercial license that includes an e-commerce activity.
- The eTrader license is a home-based sole establishment license, and Invest in Dubai lists its fee as AED 1,070 plus AED 300 for Dubai Chamber membership.
- Free zones such as Dubai CommerCity issue e-commerce licenses, but selling directly to mainland customers may need a local distributor or extra approvals.
- VAT registration is mandatory once taxable supplies and imports exceed AED 375,000 over 12 months, and voluntary from AED 187,500.
- Individuals who publish advertising on social media need the National Media Authority's advertising permit, which is free for the first three years.
Which e-commerce license in Dubai fits your business?
The right e-commerce license in Dubai depends on who owns the business, where your stock will sit and where your customers are. There are three main routes, each issued by a different authority with its own rules.
Online selling in the UAE is regulated by Federal Decree-Law No. 14 of 2023 on Modern Technology-Based Trade. According to the UAE government portal, it covers selling goods, services and data through websites, mobile apps, social media platforms and digital marketplaces. It also expects sellers to give accurate information, follow data privacy rules and provide a clear digital invoice for every transaction.
A shop on Instagram or WhatsApp therefore needs a license like any other business. The three routes at a glance:
- DET mainland license with an e-commerce activity: suits most owners who want to sell to mainland customers, hold stock locally or hire staff.
- eTrader license: a home-based sole establishment license for eligible individuals who sell under their own name.
- Free zone e-commerce license: suits cross-border sellers and businesses that want warehousing and fulfilment inside a zone.
How to get an online business license on the Dubai mainland
On the mainland, you sell online under a commercial license that includes an e-commerce activity, issued in Dubai by DET through the Invest in Dubai platform. This route lets you sell directly to customers on the UAE mainland and choose a legal form such as a sole establishment or a limited liability company (LLC).
Invest in Dubai describes two main ways to get there. A normal license requires a memorandum of association (MOA) and a site lease contract. An instant license is issued within five minutes for activities that need no external approvals, and includes a virtual site for the first year, Dubai Chamber membership for commercial activities and establishment cards from the General Directorate of Residency and Foreign Affairs (GDRFA) and the Ministry of Human Resources and Emiratisation (MOHRE), with the option to employ three people.
Your activity is the most important choice on the application. It decides whether another authority must give its approval first and what kind of premises you need, so check it in our activity finder before you book a trade name. For the full process, see our guide to mainland company formation in Dubai.
The eTrader license: who can apply and what it allows
The eTrader license is a sole establishment license for Dubai home-based businesses, applied for on the Invest in Dubai portal once your trade name is issued. At the time of writing, Invest in Dubai lists the fee as AED 1,070 for license fees and knowledge and innovation fees, plus AED 300 for Dubai Chamber membership. You apply with your ID number, and Invest in Dubai says the service is completed within five minutes.
Check eligibility before you plan around eTrader. The UAE government portal's eTrader page, which still uses the older Dubai Economy name, describes it as a license for UAE nationals and GCC nationals residing in Dubai to do business through social media networks, registered to a single owner only. It does not allow you to open a shop or issue visas, and in a legal dispute the license holder alone is held responsible.
DET sets the conditions and Invest in Dubai now runs the service, so confirm who can apply there before you rely on this license. If eTrader is not open to you, a mainland license or a free zone e-commerce license is the route to look at.
UAE and GCC nationals can also look at the Intelaq license, a home-business license applied for through Dubai SME, which Invest in Dubai lists at AED 1,070 a year.
Free zone e-commerce licenses, including Dubai CommerCity
Free zones issue their own licenses for selling online, locally and internationally, through each zone's authority. The UAE government portal lists Dubai CommerCity, EZDubai, Masdar City Free Zone, Sharjah Media City (Shams), Ras Al Khaimah Economic Zone (RAKEZ) and Ajman Free Zone among the zones that offer them.
Dubai CommerCity presents itself as a specialised free zone for digital trade. Its e-commerce license lets a business trade goods and services online and manage digital transactions, and the zone also issues trade, general trading, service and industrial licenses. Office options run from a smart desk to a fitted office, and storage options include a dedicated warehouse, third-party warehousing, a fulfilment centre and last-mile service.
The trade-off is direct access to the local market. The UAE government portal says free zone companies can trade within their zone and internationally, but selling directly on the mainland may need a local distributor or additional approvals. Dubai CommerCity offers a dual license with DET that its companies can apply for without separate physical office space. Our page on free zone company formation compares zones in more detail.
Mainland vs free zone: what changes if you hold stock?
Once you hold stock, your license choice is also a premises choice. Each route treats physical space differently, so decide where your goods will sit before you apply.
Customers matter as much as stock. A mainland license reaches buyers on the UAE mainland directly, while a free zone company selling into the mainland must check the distributor or approval arrangements described above. If most orders ship abroad, that limit matters less.
Whatever the route, regulated or restricted products need approval from the competent authority before you list them, and TDRA asks for those no-objection letters with its e-activity application. Here is how the main options handle premises:
- eTrader: home-based only, and the UAE government portal says the holder cannot open a shop.
- DET normal license: needs a site lease contract, so your store or warehouse lease becomes part of the application.
- DET instant license: includes a virtual site for the first year, which cannot hold goods, so it fits models where you do not store stock yourself.
- Free zone license: storage and fulfilment can sit inside the zone, and Dubai CommerCity lists dedicated and third-party warehouses and a fulfilment centre.
Before you launch: TDRA approval, bank account and payment gateway
Two checks run alongside the license itself: approval from the Telecommunications and Digital Government Regulatory Authority (TDRA), and onboarding with your bank, payment gateway and marketplaces. Plan for both while your license is in progress.
Banks, payment gateways and marketplaces
Banks, payment gateways and marketplaces each run their own checks, starting with your trade license. A license makes you eligible to apply but does not oblige any provider to accept you, so build their review time into your launch plan.
Keep the trade name on your license, your bank account name and your seller account name identical, and make sure your activity describes what you actually sell. A trade name is not a trademark, so if the store brand matters, consider registering it as a trademark.
TDRA's NOC for Practicing E-Activity
The UAE government portal says all e-commerce licenses also need TDRA approval. TDRA gives it through the NOC for Practicing E-Activity, a free no-objection certificate for individuals and businesses trading online through websites, apps or social media accounts, with an expected time of two working days. The application runs like this:
- Sign in to the TDRA service with UAE PASS, the national digital identity.
- Fill in the application form with your website, app or social media details.
- Use a .ae domain for a website, as TDRA requires a national domain name.
- List each social media account name and link, and apply again if you later change an account name.
- Attach your commercial license, if you have one, and no-objection letters from the competent authorities for restricted activities.
- Submit, then wait for TDRA's specialised team to review it and issue the certificate.
When does an online store need VAT registration?
VAT registration with the Federal Tax Authority (FTA) becomes mandatory when your taxable supplies and imports exceed AED 375,000 over the past 12 months, or are expected to exceed it in the next 30 days. You can register voluntarily once your supplies, imports or taxable expenses exceed AED 187,500.
The FTA expects the application within 30 days of the date you become required to register, and a late application can attract a penalty. Registration is free and done on EmaraTax, the FTA's online platform. Check your rolling 12-month total every month, since online sales can jump in peak seasons. Our VAT registration service covers the application and the documents behind it.
The FTA notes that this threshold does not apply to foreign businesses, so a seller based outside the UAE should check its position separately. Corporate tax has its own trigger for individuals: a natural person doing business must register once turnover in a calendar year exceeds AED 1 million, no later than 31 March of the following year.
Social media influencer license in Dubai: the advertising permit
If you publish advertising content on your social media accounts, websites or other digital platforms, paid or free, you need an individual advertising permit from the National Media Authority (NMA). The full service name is the Permit for an Individual to Provide Advertising or Media Content on Social Media and Other Digital Platforms.
The UAE Media Council published an advertiser guide for the permit in 2025. Federal media regulation now sits with the NMA, created by a federal decree-law in force since 1 January 2026, and the permit is listed among its e-services. The wider legal basis is Federal Decree-Law No. 55 of 2023 on Media Regulation.
The NMA lists the documents as a digital ID, passport, personal photo and commercial license, so the permit sits on top of a trade license with a suitable activity rather than replacing it. Applicants must be of good conduct, complete the authority's training programme and follow its media content standards. At the time of writing, the permit is free for the first three years and AED 1,000 after that, with a service time of three working days.
Visitors use a separate permit. The NMA lists it at AED 500, applied for through a licensed advertising agency in the UAE by applicants aged 18 or over, valid for three months and extendable to a maximum of six months.
If you pay creators to promote your store, ask to see their permit before a campaign goes live. If you post promotional content yourself as an individual, check with the NMA how the rule applies to you.
Why e-commerce license applications stall
Most delays come from a gap between the license and the way the business actually runs. Check these before you submit:
- Choosing a services activity when you sell goods, or the reverse.
- Planning around eTrader before confirming you are eligible.
- Keeping stock at an address your license does not cover.
- Listing regulated products before the competent authority has given its approval.
- Applying for TDRA's e-activity certificate with a website that is not on a .ae domain.
- Renaming a social media account after the TDRA certificate is issued without applying again.
- Selling from a free zone to mainland customers without checking the distributor or approval rules.
- Running paid creator campaigns without checking that each creator holds an advertising permit.
- Letting sales pass AED 375,000 without applying for VAT registration within 30 days.
How Global Sky PRO helps
Global Sky PRO helps you choose the route that matches how you sell, then prepares and submits your application and follows up until the authority decides. We check your activity, trade name and premises plan against DET or free zone requirements, and line up the TDRA certificate and VAT registration when you need them.
DET, the free zone authority, TDRA, the FTA and the NMA make every decision on licenses, certificates and permits. Government fees are paid at cost and shown separately from our service fee, which we agree in writing before we start. To see how we handle setups end to end, visit our business setup services in Dubai.
Sources
- UAE government portal: e-commerce
- UAE government portal: eTrader license from Dubai
- Invest in Dubai: request to issue a trade license
- Dubai CommerCity: license types
- TDRA: NOC for Practicing E-Activity
- FTA: VAT registration
- National Media Authority: permit for an individual to provide advertising or media content on social media and other digital platforms
- UAE Legislation: Federal Decree-Law establishing and regulating the National Media Authority
This guide explains published rules in plain English and is not legal or tax advice. Rules change; we check the current position for your case before you act.