Blogs/newsletters
January 1, 2025
Amending Your Company's Business Activities in Dubai: A ForeRunners Global Guide
Whether your entity is licensed on the mainland (under the Department of Economy and Tourism – DET) or within a free zone, the regulatory framework for making these adjustments is clear. With expert guidance, the process of revising or adding a new activity is significantly simpler than you might expect.
Why Businesses Evolve: The Need to Update Your License
Dubai’s business owners change their activities to seize new opportunities, ensure regulatory alignment, and drive growth. Your operational scope is not static; your license shouldn’t be either.
Common Drivers for Activity Amendments:
Reason
Example Scenario
Market Expansion
A trading company starts offering complementary logistics and warehousing services.
Industry Shifts
A traditional training institute adds “online course delivery” to meet the demand for e-learning.
Strategic Pivot
A startup initially focused on app development decides to shift its main focus to providing digital marketing consultancy.
Regulatory Alignment
A financial service provider updates its license to match a new governmental classification for FinTech operations.
Keeping your license accurate and current is vital. It ensures your business can legally bid for contracts, secure partnerships, and maintain its credibility in the UAE market without encountering compliance hurdles.
The Step-by-Step Process for Changing Your Activity
Updating your license involves a sequence of review, application, and final approval stages with the relevant authority. Here is a simplified breakdown of the key steps:
PHASE 1: Planning and Initial Clearance
1. Examine Your Existing License
Start by conducting a thorough check of the current activities on your trade license. Each activity is linked to a specific official code. This initial review helps determine whether you need a simple addition or a more complex amendment involving multiple sectors.
2. Obtain Preliminary Approval
You must secure initial clearance from the relevant licensing body—either the DET (for mainland) or your specific Free Zone Authority. This step confirms that your proposed new activity is permitted under UAE law. Note that certain regulated sectors (such as healthcare, specialized media, or education) will require supplementary approvals from external government bodies.
PHASE 2: Documentation and Submission
3. Formalize the Change (LLCs)
If your business is structured as a Limited Liability Company (LLC), you will likely need to amend your Memorandum of Association (MOA). The MOA is your company’s foundational document and must accurately reflect its new scope. This amendment must be formally drafted and notarized at a public notary in Dubai.
4. Submit All Required Paperwork
Collate all necessary documentation: the initial approval, the amended MOA (if applicable), a copy of your current license, and the completed application form. Submit this package to the DET or the Free Zone Authority for their formal review.
PHASE 3: Final Authorization
5. Settle Fees and Receive the Updated License
Once the authorities have completed their internal vetting and the change is approved, you will be required to pay the applicable licensing fees. Following payment, your updated trade license will be issued, officially authorizing your company to operate under its revised and expanded scope.
Distinct Procedures for Free Zones
While the overall intent is the same, amending activities within one of Dubai’s many free zones involves a different and often more direct process than on the mainland.
Key Operational Differences:
- Direct Authority Contact
You communicate directly with your specific Free Zone Authority (e.g., DMCC, JAFZA, DIC) instead of the DET. Each free zone has its own definitive list of approved activities and internal amendment policies.
- Streamlined Processes
Many free zones offer online submission portals for activity changes, significantly shortening the turnaround time—sometimes to just a few business days.
- Documentation Variation
Procedures vary widely. Some zones require minimal paperwork, while others may ask for a Board Resolution or an amendment to your Articles of Association before proceeding.
- Flexibility on Activities
Free zones are often more flexible, allowing companies to combine different operational types (e.g., consulting, trading, and services) under a single license. This adaptability is a key reason many entrepreneurs choose these jurisdictions when planning for future business diversification.
Popular Free Zones recognized for their efficient amendment processes include DMCC, Dubai Internet City, JAFZA, and newer, highly business-friendly hubs like IFZA.
Investment in Change: Costs and Timelines
The time and investment required to change your activity depend heavily on two factors: the jurisdiction and the nature of the activity being added.
- Costs
For mainland businesses, the required government fees generally range from AED 3,000 to AED 10,000. Free zones set their own comparable charges.
- Timelines
Simple activity additions that do not require external regulatory approvals can often be completed within 3 to 5 business days. If the amendment involves notarizing a new MOA or securing sign-offs from specialized external regulators, the full process may take longer, typically two to four weeks
Mainland (DED)
2–5 working days
AED 1,000–3,000
(varies by activity & approvals)
Free Zone
2–7 working days
AED 500–2,000 (depends on zone)
Frequently Asked Questions
- Can I include multiple new activities on my existing license?
Yes, you can add several activities, provided they are all permitted by your licensing authority and fall within the approved classification list.
- Does a change in activity mean I need a brand-new trade license?
No. You do not need a new license. Your existing trade license is officially updated and re-issued with the new activities listed on it.
- Can a free zone company add an activity that requires a mainland license?
No. Free zone entities are restricted to operating within their specific jurisdiction unless they establish a separate mainland entity or collaborate with a local distributor or agent.
ForeRunners Global is committed to making this complex process simple and fast for you.
With extensive experience managing thousands of activity amendments for companies across the UAE, we remove the burden of bureaucracy. Our dedicated specialists handle everything—from drafting MOA amendments and securing initial government approvals to managing fee payments—ensuring your business remains compliant, flexible, and ready for future success in Dubai.
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