How to Get License for Gold Business in Dubai, UAE?

1. How to Get License for Gold Business in Dubai, UAE?

2. Gold Trading Business in Dubai One of the fastest growing cities in the world, Dubai undeniably presents the perfect ecosystem for businesses to thrive. Thanks to its liberal trade policies, growing population, tourist influx, better standard of living coupled with robust economy. Popularly known as the ‘City of Gold’, reports say 25% of global gold trade occurs in Dubai. Therefore, it wouldn’t be wrong to say that gold trading companies in Dubai are thriving. Hence, the gold business in Dubai is a rewarding and productive venture for investors across the globe. That being said, if you want to start your online gold business in Dubai or an offline store, then indeed it’s an excellent idea.

3. Top Locations for Gold Trading Business in Dubai First and foremost, to starting the gold trading business in Dubai, there are basically three major jurisdictions that you need to select from to set up your gold trading company which includes of: Dubai Multi-Commodities Center (DMCC) Free Zone Dubai Mainland Gold & Diamond Park Notably, all these three areas have a number of mandatory procedures and documentation required to begin your Dubai gold business.

4. DMCC Free Zone Established in 2002, Dubai Multi Commodities Center (DMCC) free zone enjoys strategic location with being opposite to the Dubai Marina Beach. It offers advantages such as 100% business ownership, infrastructure, a guaranteed 50 year tax holiday and freehold property options, making it an ideal spot for business entrepreneurs or companies to set up a gold trading business in Dubai. well-built

5. Gold & Diamond Park Established in 2011, Gold & Diamond Park (GDP) is one of the most suited places for manufacturing and retailing of gold and other precious stones, including diamond trading. Governed by the Jebel Ali Free zone Authority, it comprises huge and excellent manufacturing units and a retail center along with warehousing facilities. Trading License Manufacturing License Retail License E-commerce License Service License

6. Acquiring Your Business License The most important step in opening a gold trading business is to obtain a valid gold trading license in Dubai which will give you the authority for running your business in Dubai. Depending upon the nature of your business activity and area selected, you need to apply for trade licenses.

7. Application fees Completed application form Applying for Your Gold Trading Company Two passport size photos Passport/visa copy of the owner or shareholders Copy of sponsors passport/Emirates ID CV of the manager Copy of Initial Approval Certificate In all the cases, you are required to have the following typical documentation obtaining the license: Document of initial approval fee payment Company registration form from the respective trading zone for Copy of notarised MoA or LSA agreement Tenancy or Lease agreement (if any)

8. Before submitting an application, you need to ensure that you have undertaken the following steps: Registering a valid trade name Select the nature of your business venture Detailed business plan Getting a legal status for your business venture in Dubai Select a partner or local sponsor Minimum capital requirement: This criteria is only applicable for free zones. You are required to have a minimum authorized capital of AED150,000 along with rent to gold park management. You also need to give 15% of yearly unit rent, which though, will be a refundable deposit. This is exclusive of the maintenance fee. Drafting and signing of MoA or LSA agreements with your partner or local sponsor in Notary Public Court Attested company name approval letter for the authorities Leasing and tenancy contract (Tejari) for your business

9. Opening a Bank Account For Gold Trading Companies After receiving your gold trading license in Dubai, you need to open your corporate bank account for conducting financial payments. transactions and

10. Benefits of Investing in Gold Trading Business It’s good to have a cautious approach before selecting the business type or structure because rolling back is quite expensive. Here are a few reasons that make the gold trading business in Dubai risk-free and highly profitable:

11. 1. Location Benefit Foreign investors can choose to start a gold trading business in Dubai either in the suitable free zones or in the Dubai mainland. Gold exchange markets such as Dubai Gold Souk provide various perks to businesses in the mainland and facilitate hassle-free forex gold trading in Dubai. There are various benefits associated with these free zones depending upon the zone in which you decide to penetrate. DMCC & Dubai Gold and Diamond free zones offer numerous advantages. They are: Exemption of tax on imports and exports Zero percent corporate and personal taxes Safe and secure 100% return of invested funds and profits earned Hallmark Shuttle transport for consumers

12. 2. Advantage from tourism Dubai is a prime tourist destination, and this offers a plethora of opportunities for gold businesses. People like to visit Dubai for gold shopping, and Dubai Gold Souk is a major attraction for the people. It has got displays of beautiful gold ornaments that anyone can get curious about. A large number of gold retailers and creative designers for gold jewelry have strengthened the online gold and diamond business in Duba

13. 3. VAT on gold trading Dubai provides a lot of benefits to the gold trading businesses and owners of a gold trading license in Dubai. The market is so vast that people come from various corners to select the gold ornaments and jewelry from Dubai. Furthermore, the region also offers gold products at a relatively lower gold price than other parts of the world. It’s because of the VAT exchange mechanism.

14. 4. Liquid Asset Gold is a liquid asset which implies that it can be converted into cash easily. It makes the gold business less risky. You can convert some of your gold into cash in no time during the emergency period. This property of gold makes it different from other types of businesses as it doesn’t affect the liquidity of the firm significantly. This is one of the major reasons why people prefer investing in gold.

15. What Documents are Required? Here’s the list of documents required for the registration of gold trading business in Dubai: Pre-approval form Precise business plan Proof of trade name Passport copy Residency proof No Objection Certificate and any other relevant document as demanded by the concerned authority

16. Documents Required to get the Gold Trading License in Dubai: Copies of passport of the shareholders Proof of trade name Initial approval proof Notarized memorandum and articles of association Tenancy contract Lease agreement

17. Connect with Shuraa Business Setup Planning to start your gold trading company in Dubai! Opening a gold trading company in Dubai can certainly be a profitable venture for you. Though this is only possible with the right amount of planning and execution. Moreover, for an expat investor, the process may seem to be quite challenging as it involves a lot of legalities. Hence, if you have plans to start a gold trading business in Dubai, then contact Shuraa Business Setup now. Our team of experts are well- versed with all the necessary formalities. From planning to eventually setting up your gold trading company in Dubai, leave the task to us. Tool 5

18. Contact Us Sheikh Zayed Road, Office 501, 5th floor, Aspin Commercial Tower, Dubai, UAE www.shuraa.com info@shuraa.com +971 44081900, +971 50 7775554