Ecommerce License in Dubai: eTrader, Mainland or Free Zone?

To sell online from Dubai you need a license that covers e-commerce, plus the telecoms regulator TDRA's free e-activity approval. The cheapest published routes are DET's home-based eTrader license (AED 1,070 plus AED 300 Dubai Chambers membership) and free zone e-commerce licenses from AED 5,750 a year in Sharjah. Which route fits depends on who you sell to, whether you need a residence visa and whether you hold stock. Every figure below links to the authority or free zone that publishes it, checked on 10 October 2026.

Quick Summary: Dubai E-commerce License in 2026

• License required: yes. Online sellers need a trade license with an e-commerce activity and TDRA approval, per the UAE government's e-commerce guidance.
• Three routes: DET's eTrader (individuals and home businesses), a mainland company licensed by DET, or a free zone company.
• Published prices: eTrader AED 1,070 + AED 300 Chambers; SPC from AED 5,750; SHAMS AED 5,375 + AED 375 desk; RAKEZ e-commerce package from AED 6,000; Meydan from AED 12,500. IFZA and Dubai CommerCity publish no e-commerce price; DET prices mainland licenses per activity.
• Selling into the Dubai mainland from a free zone: possible since October 2025 with a Free Zone Mainland Operating Permit (AED 5,000, up to 6 months) or a branch license (AED 10,000 a year), for Dubai free zone companies only.
• TDRA approval: free, 2 working days, .ae domain required for a website.
• Tax: VAT registration is mandatory above AED 375,000 of taxable supplies; free zone 0% corporate tax applies only to qualifying income, and sales to consumers generally do not qualify.

Do you need a license to sell online in the UAE?

Yes. The UAE government's e-commerce page states that online businesses must "obtain the required licences and approvals". On the mainland that means a commercial license that includes an e-commerce activity, and "all eCommerce licences require the approval of TDRA". E-commerce itself is governed by Federal Decree-Law No. 14 of 2023 on Modern Technology-Based Trade, which covers websites, apps, social media selling and marketplaces.

Selling through Amazon or Noon does not remove the requirement: the marketplace is your sales channel, while the license is what makes you a lawful seller, lets you open a business bank account and lets you invoice.

Three routes compared: eTrader, mainland company or free zone company

The eTrader is a license for an individual, not a company, so liability stays with you personally. If you need a separate legal entity, a corporate bank account, staff or residence visas, you are choosing between a mainland and a free zone company. Our guide to Dubai trade license types covers all eight DET license types, and the mainland vs free zone comparison covers the wider trade-off.

What an e-commerce license costs in Dubai in 2026

These are the published first-year prices for an e-commerce license, as listed by each authority on 10 October 2026. Where a free zone publishes no price, we say so rather than estimate.

The license is rarely the whole first-year bill. Add residence visas if you need them, the office or desk your license requires, and the year-two renewal, which for promotional packages can be higher than year one. Compare the zones side by side in our cheapest free zone comparison, or estimate your own figure with the business setup cost calculator.

Mainland e-commerce: the DET activities that actually exist

Many guides quote an "E-Commerce" activity code. DET's Invest in Dubai activity search has no activity with that name. When we checked on 10 October 2026, the online-specific activities included:

• Portal (6312004): foreign ownership allowed.
• Purchasing Through Catalogue Services (4791012).
• Vehicles and transport means E-Trading (4791005): for vehicle sellers only.

Most sellers add the trading activity for the goods they actually sell. The activity you pick decides which external approvals apply and the fee DET generates, so confirm it with DET before you apply. Some codes that consultants quote for e-commerce are not e-commerce activities at all: 4791010, for example, is TV Shopping.

Free zone e-commerce: who issues what

The UAE government's e-commerce page names Dubai CommerCity, Sharjah Media City (SHAMS) and RAKEZ among the free zones issuing e-commerce licenses. The main differences that matter to an online seller:

• Dubai CommerCity: a free zone built around e-commerce, with an E-commerce license and a Dual License with DET. The base license covers 3 activities, expandable to 20 across 4 groups. No prices are published.
• Meydan: e-commerce activity 4790.00, from AED 12,500 a year including a flexi-desk.
• IFZA: no published e-commerce price. IFZA states you can sell across the UAE "but a distributor in the mainland is required" (ifza.com).
• RAKEZ: advertises an e-commerce package from AED 6,000, including Amazon seller onboarding.
• SPC and SHAMS (Sharjah): the lowest published free zone e-commerce prices: SPC from AED 5,750 a year, and SHAMS AED 5,750 including its required desk.

For a wider view by activity, see our best free zone by business activity guide.

Selling to mainland customers from a free zone

The old rule that "free zone companies cannot sell to the mainland" is out of date for Dubai. Under Dubai Executive Council Resolution No. 11 of 2025, Dubai free zone companies can now operate on the mainland in two ways:

• Free Zone Mainland Operating Permit: AED 5,000 for up to six months, renewable. Launched on 8 October 2025, applied for on the Invest in Dubai platform, and open only to companies holding a Dubai Unified Licence. The first phase covers non-regulated activities "including trading"; e-commerce is not named separately (Dubai Media Office).
• Branch license: AED 10,000 a year for a branch operating out of the free zone.

Revenue earned on the mainland is taxed at the standard 9% corporate tax rate and must be kept in separate books. DIFC financial firms are excluded. The scheme does not cover Sharjah or RAK free zones, so an SPC, SHAMS or RAKEZ company that wants mainland trade still needs a distributor or a separate mainland license.

The TDRA e-activity approval

Every e-commerce license needs TDRA's NOC for Practicing E-Activity (tdra.gov.ae). It is free, takes 2 working days and is applied for with UAE Pass. Three conditions catch sellers out:

• A website must use a .ae domain.
• Every social media account you sell through must be listed on the application.
• Renaming a listed account needs a new application.

VAT and corporate tax for online sellers

VAT: the Federal Tax Authority requires registration once your taxable supplies and imports pass AED 375,000 over the past 12 months, or are expected to in the next 30 days. You must apply within 30 days. Voluntary registration is open from AED 187,500, and non-resident sellers making taxable supplies in the UAE have no threshold (tax.gov.ae). See our VAT registration guide for the steps.

Corporate tax: 9% on taxable income above AED 375,000. A free zone company pays 0% only on qualifying income, and only if it meets every Qualifying Free Zone Person condition. Under Ministerial Decision No. 265 of 2023, revenue from selling to individual consumers is generally not qualifying, so a consumer-facing online store in a free zone should not assume 0% (Ministry of Finance). Our UAE corporate tax guide explains the conditions.

E-commerce and consumer protection law

Two laws set the rules for how you sell:

• Federal Decree-Law No. 14 of 2023 on Modern Technology-Based Trade governs e-commerce itself.
• Federal Law No. 15 of 2020 on Consumer Protection, amended by Decree-Law No. 5 of 2023, with Cabinet Decision No. 66 of 2023 as its executive regulation, applies to e-commerce by suppliers registered in the UAE (Ministry of Economy). Sellers must show their licensing details, give product information in Arabic and issue invoices in Arabic.

Publish your return and refund policy before launch, and keep it consistent with what your marketplace accounts promise.

How to get an e-commerce license in the UAE: step by step

1. Decide who you sell to. Mostly UAE consumers points to the mainland or a Dubai free zone with the mainland permit; mostly export or marketplace sales points to a free zone.
2. Pick the route and activity. eTrader, mainland company or free zone company, and the exact activity for the goods you sell.
3. Apply for the license. eTrader and mainland licenses go through Invest in Dubai; free zone licenses through the zone's own portal.
4. Get TDRA approval. Apply with UAE Pass, list your .ae website and social accounts, and allow 2 working days.
5. Open a business bank account and payment gateway. Both run their own checks; see our business bank account guide.
6. Register for tax. Corporate tax registration for companies, and VAT once you pass the threshold.

Who should not get a full e-commerce license

• Testing an idea from home: the eTrader is cheaper and simpler while sales are small, as long as you don't need a visa or a company.
• Selling your own services rather than goods: a professional or freelance license may fit better than an e-commerce one.
• Selling only to the Dubai mainland from day one: a free zone license plus a permit can cost more than a mainland license on its own. Compare both before you choose.

How we help

HenryClub advises on which route, zone and activity fit your business, and checks the costs against what each authority publishes. The license application itself is filed by a licensed setup partner or by you directly through the authority's portal.

Sources & Official References

Checked on 10 October 2026:

• UAE Government: E-commerce - licence and TDRA requirements, Decree-Law 14/2023
• TDRA: NOC for Practicing E-Activity - fee, timing and conditions
• Invest in Dubai: issue a trade licence - eTrader fee
• Invest in Dubai: business activity search - DET activity names and codes
• Dubai Department of Economy and Tourism: business licensing - eTrader scope
• Dubai Media Office: Free Zone Mainland Operating Permit - Resolution 11/2025 launch
• Dubai CommerCity: license types
• Meydan Free Zone: e-commerce license
• IFZA: Dubai e-commerce license
• RAKEZ: e-commerce
• Federal Tax Authority: VAT registration
• Ministry of Finance: corporate tax
• Ministry of Economy: consumer protection

Frequently Asked Questions

Do I need a license to sell online in the UAE?

Yes. The UAE government's e-commerce guidance says online sellers must obtain the required licences and approvals: a trade license that includes an e-commerce activity, plus TDRA approval for the e-activity. That applies whether you sell through your own website, an app, social media or a marketplace.

What is the cheapest e-commerce license in Dubai?

The lowest published Dubai route is DET's eTrader license at AED 1,070 plus AED 300 Dubai Chambers membership, for individuals and home businesses selling online. The lowest published free zone e-commerce prices are in Sharjah, with SPC from AED 5,750 a year; in Dubai, Meydan publishes from AED 12,500 a year.

What is the difference between an eTrader license and an e-commerce license in Dubai?

The eTrader license is issued by DET to an individual or home business selling online, with no shop or store. A full e-commerce license sets up a company on the mainland or in a free zone, which is the route if you need a separate legal entity, a corporate bank account, staff or residence visas.

Can a free zone e-commerce company sell to customers in Dubai?

Shipping to customers in the UAE is common, but trading on the Dubai mainland is regulated. Since October 2025, Dubai free zone companies holding a Dubai Unified Licence can apply for a Free Zone Mainland Operating Permit (AED 5,000 for up to six months) or a branch license (AED 10,000 a year) under Executive Council Resolution No. 11 of 2025. Sharjah and RAK free zones are not covered by that scheme, and IFZA says a mainland distributor is required for UAE sales.

Do I need TDRA approval to sell online?

Yes. TDRA's NOC for Practicing E-Activity is free and takes 2 working days, applied for with UAE Pass. A website must use a .ae domain, your social media accounts must be listed, and renaming an account needs a new application.

Do I have to register for VAT as an online seller?

You must register once your taxable supplies and imports pass AED 375,000 over the past 12 months, or are expected to in the next 30 days, and you must apply within 30 days. You may register voluntarily from AED 187,500. Non-resident sellers making taxable supplies in the UAE have no threshold.

Does a free zone e-commerce company pay 0% corporate tax?

Only on qualifying income, and only if the company meets every Qualifying Free Zone Person condition. Revenue from selling to individual consumers is generally not qualifying income under Ministerial Decision No. 265 of 2023, so many consumer-facing online stores should plan for the standard 9% rate on taxable income above AED 375,000.

Which DET activity do I choose for e-commerce on the mainland?

DET has no activity literally named E-Commerce. Search the Invest in Dubai activity list for the goods you sell; online-specific activities include Portal (6312004) and Purchasing Through Catalogue Services (4791012). Confirm the exact activity with DET before you apply, because it decides your approvals and fee.