During the past few years, Dubai has automated many of the procedures related to company registration and licensing. The measures were taken in order to simplify these processes and to reduce the bureaucracy related to starting a business in the emirate. These simplified procedures have taken quite well to businessmen as now many of them use the auto renewal service for business licenses. If you want to open a company in Dubai and need help, you can rely on our consultants.
Dubai aims at becoming one of the most modern emirates when it comes to the services they offer to foreign and local investors. In order to succeed and to improve the interaction of businessmen with the authorities, but also to ease the process of starting a business and to increase competitiveness, the local authorities have launched the auto renewal service for business licensing which has quickly become popular among business owners. So popular, in fact, that it reached 74.8% in user numbers in the thrid quarter of 2017 compared to the same period of last year.
Out of the total 32,776 licenses renewed in the third quarter of 2017, 11,904 or 36.3% of them were auto renewed. During the same timeframe of 2016 only 6,810 auto-renewals were registered. Trading licenses were the most auto renewed business permits this year.
The business license auto renewal process is quite simple requiring the owner to send a text message based on which the applicant will receive a payment voucher. The Dubai company owner can then pay the amount due to any ATM. Electronic payments are also available.
What should be considered by those who want to use this system and renew their business permits is that they must have a valid lease contract for the registered address of the company.
The service covers most of the activities of companies in Dubai, with 4 exceptions: public taxi services, rent-a-car services, limousine transportation and non-emergency transport services which require approval from the Roads and Transport Authority.
For full information on the auto renewal service and assistance in setting up a company here, please contact our Dubai company formation agents.