Dubai Retains Dominance in Business Licensing in the UAE
Diving into Dubai's significant share of UAE's commercial licenses, reflecting growth in local business activity.
As of late May 2024, Dubai maintains its position as the leading emirate for business licensing in the UAE, accounting for 59% of the total commercial licenses issued.
The number of registered licenses in the country has surpassed one million, indicating a robust local business environment.
Recent data from the economic registry of the Ministry of Economy reveals that the cumulative total of active licenses granted in Dubai has reached 585,000, reflecting an increase of 33,000 new licenses awarded since the beginning of this year, representing a 6% growth compared to an earlier total of 562,000 licenses recorded at the end of 2023.
Across the UAE, the total number of commercial licenses has grown by over 5%, adding more than 50,000 new licenses in the first five months of the year, up from a cumulative total of 950,000 licenses by the end of 2023. This growth signifies a pronounced activity in the local business environment alongside a noticeable diversity in licensed business activities.
The majority of licenses in the UAE are issued through economic departments, which accounted for 85% of the total commercial licenses granted.
Dubai led this segment, followed by Abu Dhabi and Sharjah.
Free zones have also played a significant role in this competitive landscape, attracting around 15% of the cumulative total of commercial licenses.
Dubai again leads in terms of the number of licenses within these zones, followed by Ras Al Khaimah and Sharjah.
In terms of company structures established, there is a noteworthy diversity among business licenses.
The largest share of licenses is attributed to Limited Liability Companies (LLCs), which account for over 29% of the total, approximately 290,000 licenses.
This is followed by sole proprietorships at 24%, roughly 240,000 licenses, and single-member companies at about 16%, equivalent to around 160,000 licenses.
Civil companies have secured around 72,000 licenses, representing 7.2% of the total licenses in the UAE.
The remaining 31% of licenses are distributed among various company types, including partnerships, simple partnerships, cooperative societies, branches of local companies, professional enterprises, and other forms of company establishment.
The data also highlights the success of the business environment in attracting foreign companies and enhancing the presence of their licensed branches in the market.
The number of registered licenses in the country has surpassed one million, indicating a robust local business environment.
Recent data from the economic registry of the Ministry of Economy reveals that the cumulative total of active licenses granted in Dubai has reached 585,000, reflecting an increase of 33,000 new licenses awarded since the beginning of this year, representing a 6% growth compared to an earlier total of 562,000 licenses recorded at the end of 2023.
Across the UAE, the total number of commercial licenses has grown by over 5%, adding more than 50,000 new licenses in the first five months of the year, up from a cumulative total of 950,000 licenses by the end of 2023. This growth signifies a pronounced activity in the local business environment alongside a noticeable diversity in licensed business activities.
The majority of licenses in the UAE are issued through economic departments, which accounted for 85% of the total commercial licenses granted.
Dubai led this segment, followed by Abu Dhabi and Sharjah.
Free zones have also played a significant role in this competitive landscape, attracting around 15% of the cumulative total of commercial licenses.
Dubai again leads in terms of the number of licenses within these zones, followed by Ras Al Khaimah and Sharjah.
In terms of company structures established, there is a noteworthy diversity among business licenses.
The largest share of licenses is attributed to Limited Liability Companies (LLCs), which account for over 29% of the total, approximately 290,000 licenses.
This is followed by sole proprietorships at 24%, roughly 240,000 licenses, and single-member companies at about 16%, equivalent to around 160,000 licenses.
Civil companies have secured around 72,000 licenses, representing 7.2% of the total licenses in the UAE.
The remaining 31% of licenses are distributed among various company types, including partnerships, simple partnerships, cooperative societies, branches of local companies, professional enterprises, and other forms of company establishment.
The data also highlights the success of the business environment in attracting foreign companies and enhancing the presence of their licensed branches in the market.
Translation:
Translated by AI
