Starting a technical business in Dubai involves more than just a good business idea. You need to navigate legal, regulatory, and administrative steps before you can officially begin operations. The foundation of this process is applying for a Technical Services License in Dubai—a requirement for businesses involved in activities like maintenance, repair, installation, and contracting.
This guide outlines each phase of the licensing journey, from initial planning to final activation. Understanding the complete process helps ensure you meet government regulations and start your operations smoothly.
What is a Technical Services License in Dubai?
A Technical Services License in Dubai is issued to businesses performing physical, hands-on work. These activities are typically part of construction, building maintenance, or home improvement sectors.
Common business activities under this license include:
- Plumbing and sanitation work
- Air conditioning and ventilation system installation
- Electrical maintenance
- Painting and plastering services
- Carpentry and flooring work
- Satellite and antenna installations
- False ceiling and partition work
This license is mandatory if you plan to operate in the mainland under the Department of Economy and Tourism (DET).
Phase 1: Understanding License Eligibility
Before starting the application, ensure that:
- The business activity falls under technical services
- You are not applying as a freelancer (as freelance permits do not cover manual or contracting work)
- You are ready to lease or rent a physical office space (minimum of 200 sq. ft.)
Unlike consultancy or e-commerce licenses, technical licenses require a real presence, often with warehouse or storage space.
Phase 2: Choosing the Right Business Structure
You can choose between several legal structures. The most common for technical services is the Limited Liability Company (LLC) model.
Why LLC?
- 100% foreign ownership is allowed (after recent reforms)
- Multiple shareholders allowed
- Allows full operational freedom in mainland Dubai
- Supports multiple visas
Free zone setups may also be available but are limited in terms of project bidding, especially for government or large-scale contracts.
Phase 3: Trade Name Reservation
You must select a unique trade name for your business. The name:
- Must not include religious or political terms
- Should reflect the nature of the activity (e.g., “Al Wasl Technical Services LLC”)
- Must not violate trademarks of existing businesses
You submit your name choices to DET. Approval usually takes 24–48 hours.
Phase 4: Initial Approval from DET
This is a basic clearance stating that the Dubai government has no objection to you starting a business. It is not a license—it’s the green light to proceed to documentation and location finalization.
You’ll need:
- Passport copies of owners
- NOC (if the shareholder is already employed in Dubai)
- Trade name approval certificate
This approval is valid for 6 months and gives you time to complete the next steps.
Phase 5: Office or Commercial Space Rental
You must now lease an office or commercial unit that matches your planned activity. For a technical license, a minimum of 200 sq. ft. is required.
Important factors:
- The space must be zoned for commercial use
- It must be registered with Ejari, the tenancy registration system in Dubai
- Location must be within Dubai mainland if applying under DET
Warehouses, workshops, or hybrid (office + storage) spaces are common choices for businesses offering field-based services.
Phase 6: Ejari Registration and Tenancy Contract
Once you rent the property, register the lease under Ejari. This registered tenancy contract is a critical document for license issuance.
The space must be:
- Leased under the business name or owner’s name
- Valid for a 12-month minimum
- Registered with the Dubai Land Department
Without an Ejari certificate, the Department of Economy and Tourism will not issue your license.
Phase 7: Final Submission and Documentation
Now that your documents and tenancy are ready, you can submit the final application to DET.
You’ll need:
- Initial approval certificate
- Ejari-registered tenancy contract
- Passport copies and visa (if applicable)
- Business structure details
- Trade name reservation
- Passport-size photos of shareholders
Depending on your activity, you may also need external approvals from municipalities or safety authorities (especially for high-risk activities like electrical or gas installations).
Phase 8: License Issuance
Once the documents are verified and approved, you’ll receive your Technical Services License in Dubai. It will include:
- Your trade license number
- Business activity details
- Authorized capital (if declared)
- Validity period (usually 1 year)
At this stage, your company is legally registered.
Phase 9: Corporate Bank Account Opening
After license issuance, you can open a corporate bank account. Banks in the UAE require:
- A copy of your trade license
- Memorandum of Association (MoA)
- Ejari contract
- Shareholder details
- Passport and visa pages
The choice of bank will depend on your business model and volume. It’s recommended to use a bank familiar with handling SME technical service businesses.
Phase 10: Employee Visa Processing (if needed)
Based on your office size, you can apply for employee visas. The office space you rent will determine how many visas you can obtain.
For every 9–12 square meters, DET usually permits one visa.
Steps:
- Apply for labor establishment card
- Submit medical tests and Emirates ID application
- Obtain work permit and visa stamping
This process can take 1–2 weeks per employee.
Phase 11: Starting Operations and Compliance
You can now start providing services. However, there are compliance requirements to follow, including:
- Renewing the trade license annually
- Ensuring employee visas are up to date
- Maintaining tenancy renewal and updated Ejari
- Following health, safety, and municipality rules
Certain businesses also require inspections by Dubai Municipality or Civil Defense (especially if you store hazardous or flammable materials).
The Role of Business Setup Advisors
Setting up a technical business is detailed, and each phase has legal requirements. Companies like Damaar provide professional services to help with:
- Structuring the business legally
- Finding compliant commercial space
- Completing documentation and approvals
- Managing timelines and compliance
This ensures entrepreneurs can focus on delivering services instead of being caught up in red tape.
Common Issues Faced by New Applicants
- Office location rejected due to zoning violations
- Trade name conflict with existing brands
- Delays in Ejari registration
- License issuance held up due to missing external approvals
- Wrong business activity selection leading to fines or rejection
Understanding these challenges beforehand helps prevent unnecessary delays or costs.
A Straightforward but Regulated Path
Applying for a Technical Services License in Dubai is not complicated—but it is detailed. Each step, from trade name reservation to Ejari to visa applications, follows strict timelines and documentation protocols.
When done properly, this journey sets your business up for long-term success in one of the most competitive and opportunity-rich cities in the region. Whether you’re offering air conditioning repair or plumbing solutions, Dubai provides a wide client base and strong demand for quality technical services.
