Boom of E-Commerce Business in UAE – Know Why?
Do you know UAE is having the most advanced e-commerce business market in the Middle East and North Africa? Due to the pandemic in 2020, people have started to rely on online shopping more and more which has eventually opened the doors of opportunity to countless entrepreneurs in UAE. It’s estimated that 95% of purchases will be made online by 2040.
Top E-Commerce Business Ideas
What are the famous E-Commerce activities right now? Five of the top e-commerce business ideas for 2020 are listed in the table below:
| Activity ID | E-Commerce Business Activity |
|---|---|
| 1 | Fashion/Jewelry Products |
| 2 | Smart Home Products & Accessories |
| 3 | Real Estate Activities |
| 4 | Health care Activities |
| 6 | Grocery and Food Stuff |
| 7 | Online Training etc. |
Choose the Right Licensing Authority
If your company will be acting as an intermediary between the buyer and the seller, your business activity in the UAE will be called Portal or E-marketplace. The most famous example of e-marketplace is Amazon.com, Noon.com, Facebook, Instagram or your own website serves as a platform for the merchants who advertise their goods, and the buyers. If your activity is similar to that, Portal is what you need. Most of the free zones have such activity, so it won’t be a problem to find it.
Steps to Obtain E-Commerce License in UAE
At the time of Setting up your business in UAE, the following points to be considered to register your company:
- Choose the right jurisdiction
- Choose the right trade name
- Choose the right legal structure
- Obtain an optimum number of visas
- Get import-export code
- Choose the right Bank Account based on the transactions
- VAT Registration as per the requirement
Free Zones with Dedicated E-commerce Activity
Most people prefer online business company registration through free zones. Here are the free zones that have a dedicated license with e-commerce activity:
- Sharjah Media City (SHAMS)
- UAQ free trade zone
- RAKEZ
- Ajman free zone
- Ajman Media City free zone
- Fujairah Creative City
Points to be Considered Before Launching a Business in UAE
In order to start operations of any online business you need the following:
- Website or portal where the products or services are placed
- Establish the right relationship with the right bank
- Integration of the payment gateway to the portal
- Make the necessary arrangements for the delivery of products or services
- Prepare all required Service agreements to avoid unnecessary legal complication
Why Prime Global Business Services?
Nowadays, it’s very easy to setup an online business without feeling heavy on your pocket. It’s getting quicker, easier and cheaper, which is the doorway to new opportunities for the entrepreneur like YOU. Even with limited capital, it’s easy to setup an online business nowadays. At the Prime Global Business Services:
- Our Business Setup Consultants will listen to you and understand the product or services you want to sell
- We will help you to decide the jurisdiction and right corporate bank account
- We also provide all the supporting services that you would expect, relating to visas and Emirates IDs, special permits and general PRO services
- Our customer service is available 24×7 hours
- You don’t have to worry about compliance and being unduly exposed to risk
Our expert consultants handle all paperwork, and your first consultation is on us!
