At Dubiz, we understand the complexities & challenges of establishing a business in UAE’s evolving landscape. Our suite of expert business setup services is specially designed to support your venture at every stage, from inception to expansion.

E-commerce License Abu Dhabi
  • By Business Consultant
  • November 7, 2024

Abu Dhabi, the capital of the UAE, is a charming city known for its iconic skyline and as a first-class destination for luxury tourism. In  addition, the capital provides one of the most stable and fastest-growing markets in the Middle East for launching businesses. One of the most profitable and popular business ideas in UAE for aspiring entrepreneurs is running an e-commerce business. With minimal investment, there is huge potential for earning returns, as the demand is remarkably high. If you are interested in operating such a business, the first step is to understand what an e-commerce license Abu Dhabi is and how to secure one. 

This license is not just a great opportunity for newcomers but also for existing businesses looking to go online. They can obtain the license as well to expand their horizons. Let us break it down for you bit by bit, so that you can fully understand the process. 

E-commerce sector in Abu Dhabi 

The e-commerce sector in Abu Dhabi has recently experienced tremendous growth and has been expanding exponentially. The reason behind this is no secret. The immense technological advancements, changing customer attitudes, the growth of the internet and tech industries, and the high disposable income of residents are all contributing factors to the rising demand for online services. As a result, online businesses in Abu Dhabi are set to thrive. Between 2022 and 2023, the number of registered e-commerce businesses in Abu Dhabi increased by 12%, with many committed to delivering top-notch, modern services and selling goods online, bringing convenience to the people of Abu Dhabi. 

The overall e-commerce industry in the UAE is thriving more than ever before, with Abu Dhabi as one of the significant contributors. That is why, if you are thinking of starting a business in this rich city, now is the right time to do so. 

What is an e-commerce license Abu Dhabi 

An e-commerce license in Abu Dhabi, sometimes referred to as an e-trader license or Tajer Abu Dhabi, allows businesses to sell products online. It grants legal rights to entrepreneurs to add online trade activities to their existing business license or to obtain an entirely new license to conduct business activities through online platforms such as websites, apps, and social media networks. Companies with this license receive an e-commerce mark known as eTajer, along with a serial number for the license, which they can use for promotions and to market their products. 

The license is issued by the Abu Dhabi Department of Economic Development (ADDED) for businesses operating on the mainland, and by the relevant free zone authorities for businesses in the free zones. All e-commerce businesses are exempt from having a physical office or presence. 

Types of Abu Dhabi e-commerce license  

Two major types include: 

Mainland e-commerce license:  

This license is issued by ADDED and allows businesses to trade both within the UAE and internationally. If you wish to establish an office, you can do so anywhere in Abu Dhabi or the UAE, and you will be able to trade freely across Abu Dhabi and the wider UAE market. 

Freezone e-commerce license:

Abu Dhabi is home to some amazing free zones where you can get top-notch facilities and conduct online business operations. You can trade internationally or within the free zone and enjoy exclusive benefits such as 100% ownership, tax exemptions, simple setup, and more. Some popular free zone choices include Abu Dhabi Global Market (ADGM), Khalifa Industrial Zone Abu Dhabi (KIZAD), Twofour54, and more. 

Why is the e-commerce license so popular in Abu Dhabi 

The following advantages of e-commerce license Abu Dhabi make it a popular choice for entrepreneurs: 

1. Growing demand:

With the rise of digital technologies, people have started becoming more dependent on goods and services being delivered to their doors, creating huge demand for e-commerce sites.

2. Central location:

Abu Dhabi is strategically located and is a great gateway to target customers from the Middle East, Africa, Europe, and Asia.

3. World-class infrastructure:

The top-notch logistics and transportation systems allow businesses to keep their supply chain robust, ensuring timely order fulfilment.

4. Diverse and affluent customer base:

Being the most populous city of the UAE, businesses in Abu Dhabi can target a diverse customer base, tapping into numerous opportunities across different sectors.

5. Low establishment costs:

The quick registration process and low establishment charges make setting up a business in Abu Dhabi an affordable option.

6. Government support:

The government of Abu Dhabi strongly supports new startups and businesses through various incentives and programs, making it an ideal environment for entrepreneurs.

Who can get an e-commerce license Abu Dhabi 

Launched in 2017, Tajer Abu Dhabi (e-commerce license) was only available to UAE nationals and that too for around 100 business activities that did not need a physical presence. In 2018, Abu Dhabi Economic Department, ADDED, decided to expand the scope of the license and made some changes. It additionally is now available to all GCC nationals and UAE residents for the following legal form categories: 

  • Establishment for Emiratis and GCC nationals 
  • One-person company for Emiratis and GCC nationals 
  • Limited liability company for residents in partnership with Emiratis. 
  • Besides that, the scope of activities was also expanded and now incorporates around 1057 activities. 

Process to obtain an e-commerce license Abu Dhabi 

Here are the steps to get an Abu Dhabi e-commerce license: 

Step 1 – Conduct market research: 

A successful business has a strong foundation, and that foundation is built on proper knowledge. That is why thorough and detailed market research is so important for businesses of all types, including e-commerce. You must start by understanding the market landscape of Abu Dhabi, the e-commerce sector, the trends, key players, and key offerings. This will help you identify your niche and market gap that you could fill. 

Step 2 – Choose business activities: 

After you research the market, you must decide what activity you would like to pursue. In Abu Dhabi, you can offer various products through an e-commerce business, which includes both goods and services from diverse industries. Some profitable business ideas include: 

  • Food & Grocery 
  • Apparel and fashion Accessories 
  • Consulting 
  • Tourism & Travel 
  • Healthcare 
  • Education & Training 
  • Electronics 
  • Digital Products & Services 

Of course, the activity you choose should align with your interests and, most importantly, your capabilities. 

Step 3 – Devise a business plan: 

After deciding on the basics, you must then proceed with crafting a solid business plan. This plan should outline your business goals, financial projections, target customers, sales targets, and other important details. Remember, a business plan is like a guide map—it helps you navigate through the steps toward success. 

Step 4 – Select jurisdiction: 

You can run your business either on the mainland or in a free zone in Abu Dhabi. Each of these options has its own regulatory framework and associated pros and cons. You should consider factors such as your business needs, target customers, and other key elements when making your decision. 

Step 5 – Register trade name: 

For your business, you will need to select a suitable and lawful name. It should comply with the Emirates’ naming laws and should not be offensive to the public or social norms. You will also need to get it registered with the appropriate authority. 

Step 6 – Apply for e-commerce license: 

To start your business, the next essential step is the license application. You must obtain an e-commerce license from the appropriate authority. For mainland businesses, this will be the Abu Dhabi Department of Economic Development (ADDED), and for free zones, it will be the relevant free zone authority. You will need to submit the required documents, fill out the license application form, and pay the necessary fees to get your business registered and obtain your e-commerce license Abu Dhabi. 

Step 7 – Go ahead with business launch: 

Once you have successfully secured your license, the next step is to focus on your business launch. Here, you will need to focus on a few key things: 

  1. Developing an online platform: Whether it is a website or an app, you need a platform where customers can easily reach out, place orders, and interact with your business. Make sure the platform is appealing and, most importantly, user-friendly, showcasing each and every product nicely. 
  2. Payment gateway setup: For easy and secure payments, you will need to establish a payment gateway that supports popular payment methods like credit cards, debit cards, net banking, digital wallets, etc. 
  3. Smooth customer experience: Ensure a seamless customer experience by building a strong logistics and supply chain system. This will require partnering with reliable providers to ensure timely order delivery, easy tracking, and hassle-free returns. 
  4. Customer support: A strong customer support system is crucial in an online business. Handling order inquiries, complaints, and other issues effectively is important for customer satisfaction and retention. 

Online E-commerce license in Abu Dhabi  

You can easily apply for the Tajer Abu Dhabi e-commerce license, granted by ADDED, through the Abu Dhabi government’s online service portal. You will need to sign up, provide some basic details such as your trade name, partner details, choose your legal structure, and make the payment for the Abu Dhabi e-commerce license fee. Additionally, ensure you get all the necessary approvals. Your application will be reviewed, and once approved, your license will be issued. 

E-commerce license Abu Dhabi cost

The cost of an e-commerce license Abu Dhabi starts from AED 5,500*. However, the total cost depends on your business activity, selected jurisdiction, and other specific business conditions. 

Please contact Dubiz Business Setup experts, who can help you with accurate cost calculations. 

Set up your online store with Dubiz

Why stay limited to local when you can go global? That is right! An e-commerce license has so many benefits, one of the biggest being the ability to reach a massive customer base. Starting an online business requires minimal investment, and you can start with a small amount but earn in bundles. 

If you are interested in getting an e-commerce license Abu Dhabi, we advise you to talk to our experts. With more than 7 years of experience, they can guide you through your business setup in Abu Dhabi, including registration, UAE trade licensing, visas, bank accounts, and more. 

Do not wait any longer. Give wings to your dreams! Contact or WhatsApp us at +971563695485 or mail us at info@dubiz.co for any inquiries. 

FAQs 

1. What documents are needed to get an Abu Dhabi e-commerce license?

To obtain an e-commerce license Abu Dhabi, you will need some basic documents, such as: 

  • A copy of your visa status/entry stamp 
  • A passport copy 
  • Passport-size photographs 
  • A trade name certificate 
  • Other documents as requested by the authorities. 

You can contact Dubiz Business Setup experts at your earliest convenience to better understand the documentation required for your business. 

2. Do you need a physical presence to obtain an e-commerce license in Abu Dhabi?

No, getting an Abu Dhabi e-commerce license does not require a physical office or space. The ADDED (Abu Dhabi Department of Economic Development) exempts e-commerce businesses from this requirement. 

3. Is an e-commerce business profitable in Abu Dhabi?

Absolutely! With the growing demand for online goods and services, the increasing internet usage, and the supportive infrastructure, it is a very lucrative option for entrepreneurs. 

4. Where to apply for an e-commerce license in Abu Dhabi?

It depends on your selected jurisdiction. For the mainland, you can apply through ADDED, and for free zones, you should reach out to the relevant free zone authority. 

5. Do I need a business license to sell products online in Abu Dhabi?

Yes. To legally sell goods and services online in Abu Dhabi, it is mandatory to hold an e-commerce license. Failing to do so can result in legal penalties. 

 

Free Consultation