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Businesses that are into manufacturing products must apply for an Industrial License. The sectors which fall into this category are:
- Bread manufacturing and food industries
- Textile manufacturing
- The casting of metals industries
- Equipment and engine manufacturing
- Manufacture of petroleum products
- Paper manufacturing
- To obtain an industrial license, a company needs to fulfill certain requirements. For instance, it has an area sponsor who holds 51% of the shares, a physical office, and a warehouse present anywhere in Dubai( Virtual offices aren’t acceptable)
The capital of the company must be a minimum of Dhs 250,000 with a minimum of 10 workers. The procedure to obtain the industrial license remains the same as any other license. The company first needs to get an initial approval of the DED after which by submitting the required documents, one can easily get a license.
On average, an industrial license costs around AED 25,000. Setting up in a free port zone is typically a less expensive approach and it’s possible to seek out packages for fewer than this amount that includes the use of on-site premises and the cost of visa applications.
