Do you dream of launching your own business but fear leaving your current job? Getting a trade license while employed in Dubai is a goal for many ambitious professionals. The good news is that UAE law supports this ambition, and this guide provides a clear roadmap for 2025, explaining everything you need to succeed without jeopardizing your current position.
We’ll cover legal requirements, the No Objection Certificate (NOC), and smart solutions to ensure you have a safe and successful start.
Can You Legally Get a Trade License While Employed?
Yes, absolutely. The UAE Labour Law permits full-time employees to establish their own companies or become partners in existing businesses. This approach not only provides an additional source of income but also gives you the chance to test your business idea in the market with minimal risk before fully committing to entrepreneurship.
The Golden Rule: The No Objection Certificate (NOC)
The primary requirement governing this process is obtaining a “No Objection Certificate” (NOC) from your current employer. This document is an official approval from your company allowing you to engage in a private business activity. It is essential when you apply for a license on the Mainland.
Check Your Contract: The Non-Compete Clause
Even with an NOC, it is crucial to review your employment contract. If your new venture directly competes with your current employer’s business, it may be subject to the “non-compete” clauses stipulated in the UAE Labour Law.
The Smart Solution: A Business License for Employees Without an NOC
What if your employer refuses to grant you an NOC? This is where free zones come in. Many leading free zones in Dubai, such as Meydan Free Zone, **do not require an NOC** from your current sponsor to issue a trade license.
This is the ideal solution for employees who want to keep their jobs and launch their projects with flexibility and privacy. You can set up your company entirely within a free zone, retain 100% ownership, and remain on your current employment visa.
Steps for Getting Your Trade License While Employed with Tdabeer
At Tdabeer, we simplify the process and provide clear consultation to help you make the right choice:
- Consultation & Strategy: We sit down with you to understand your business idea and current employment situation. Based on this, we determine the best path forward: Mainland with an NOC, or a Free Zone without one?
- License & Activity Selection: We help you choose the right license type (Commercial, Professional, or Industrial) and accurately define your business activities.
- Document Preparation: All we need from you are copies of your passport, residence visa, and Emirates ID. We handle all other application forms.
- Setup & License Issuance: We manage all procedures with the relevant government authorities, whether it’s the Department of Economy and Tourism (DET) in Dubai or a free zone authority, until your trade license is issued.
Estimated Cost Comparison: Mainland vs. Free Zone License
To help you with financial planning, here is a comparison of the initial setup costs for both paths:
| Setup Type | NOC Required? | Estimated License Cost |
|---|---|---|
| Free Zone | No (in most cases) | Starts from AED 12,500 |
| Mainland | Yes | Starts from AED 17,000 |
Frequently Asked Questions (FAQ)
1. Can I open a corporate bank account while on my current employment visa?
Yes, once your trade license is issued, you can open a corporate bank account in your new company’s name, even if you are still sponsored by your current employer.
2. Will starting a company affect my current job?
As long as you have the necessary approvals (like an NOC, if required) and your business does not interfere with your job duties or violate your employment contract, there is no legal impact on your current job.
3. Can I get an e-commerce license while I’m an employee?
Absolutely. You can obtain an e-trader license from the Department of Economy and Tourism or an e-commerce license from a free zone. This is a very popular option for employees starting a side business.
