How to Get Gold Trading License in Dubai – Cost & Steps Involved

Gold Trading License in Dubai | UAE

Gold trading license in Dubai opens the door to a world of possibilities in the precious metals trade. With its strategic location, robust infrastructure and dynamic business environment, Dubai offers unparalleled advantages for gold traders. from access to markets to good regulation

What is a Gold Trading License in Dubai?

A gold trading license in Dubai is a license to trade gold within the city limits. It is a government license that legally entitled individuals or businesses to buy, sell and consume gold in a UAE-regulated environment. This license is a safeguard to comply with the strict rules and regulations governing gold trading in Dubai. A gold trading license enables entrepreneurs to manage the Dubai gold market environment with confidence.

Gold Trading License cost in Dubai

To Get a Gold trade License in Dubai one may require an investment of AED 20,000 to AED 30,000 for the trading license. Costs vary based on factors like visa fees, government permits, and office space.

It’s best to contact one of our advisors for a more accurate estimate based on your specific needs. They can provide you with a free and personalized quote considering all the important details to set up your gold trading business in Dubai.

How to Start a Gold Trading Business in Dubai?

Follow these six easy steps to get a gold trading license in Dubai.

• Partner with RadiantBiz for Your Gold Trading License in Dubai
• Choose Your Company Name Your Gold Trading Business in Dubai
• Choose Your Gold Trade Business Activities
• Choose a Business Jurisdiction Your Gold Trading Business
• Apply for Your Gold Trading License in Dubai
• Open Your Corporate Bank Account

Step 1: Partner with RadiantBiz for Your Gold Trading License in Dubai

Start by meeting RadiantBiz. Their professional team will handle everything – from registering your gold trading license in Dubai to managing the company application process They’ll walk you through all the necessary paperwork for government officials, get approvals, and set you up to start a business quickly.

Step 2: Choose Your Company Name Your Gold Trading Business in Dubai

RadiantBiz will help you identify and register your gold trading license company with the UAE’s Registry Office. You can use your name for business purposes, but it must be your full name, not just initials.

Step 3: Choose Your Business Activities Your Gold Trading License in Dubai

Companies that sell gold must decide their business activities for a license to apply for a license in order to trade legally. Your license is specific to a specific business activity, so choose wisely from the over 2,000 listed on Dubai’s Department of Economic Development website. Partnering with experts like RadiantBiz ensures that all activities are properly recorded to avoid penalties.

Step 4: Choose a Business Jurisdiction Your Gold Trading Business in Dubai

Depending on your chosen business activities, you will need a Dubai type specific policy and a gold business license. There are two main types of businesses in the UAE: free zone and mainland. Free zones are popular and affordable but doing business in the UAE requires an extra step. The vast land allows trading within the UAE without further steps but requires a 51% stake by the local sponsor. RadiantBiz’s experienced advisors can help you choose the best plan for your gold trading company.

Step 5: Apply for Your Gold Trading License in Dubai

Once your documents are ready for administrative registration and completion, submit them to the relevant government agencies for processing your license application. RadiantBiz can simplify this process, ensuring that the process runs smoothly without errors.

Step 6: Open Your Corporate Bank Account

Apply for a gold trading license in Dubai, get a visa and open your corporate bank account. Your visa can help your family and employees. RadiantBiz’s team of experts can guide you through this important stage.

Benefits of Investing in Gold Trading Business in Dubai?

The gold industry consists of various segments such as gold mining, source trading, refining, financing and financing strategies. There are some important benefits of starting a gold trading business in Dubai:

1. Gold-Led Economy:

Dubai is known as the city of gold because it produces the purest gold in the Middle East region. UAE tourists love to buy gold in various forms such as biscuits, bars and jewellery.

2. Complete Ownership:

When setting up a gold business, you can choose free zones that give you complete ownership, unlike on the mainland. In Dubai Free Zones, you have complete ownership of your business and don’t need a local sponsor, making things easier.

3. 100% Tax Exemption:

Taxes can be a huge concern for any business, but not for gold trading in Dubai. The province gives business owners and investors involved in the gold business a complete tax break.

4. 100% Repatriation of Capital and Profits:

Taking it one step further, if you ever decide to close your business, you can recapture all of your capital savings and profits. This ensures that investors cannot lose or lose all of their investments upon liquidation. It’s a defensive measure for business owners.

Documents for Gold Trading License in Dubai

You will need a number of documents to register your gold trading license in Dubai. Here is the list:

For Gold Trading Registration in Dubai:

• Pre-approval form
• Detailed business plan
• Proof of your trade name
• Copy of your passport
• Proof of residency
• No Objection Certificate and any other document requested by the concerned authority

For Gold Trading License in Dubai:

• Copies of passports of the shareholders
• Proof of your trade name
• Initial approval proof
• Notarized memorandum and articles of association
• Tenancy contract
• Lease agreement

Having these documents in order will help ensure a smooth registration process for your gold trading business in Dubai.

Also Read: Forex Trading License in Dubai – Everything You Need to Know

Gold Trading Company Registration in Dubai

When starting a gold trading business in Dubai, you need to choose three main locations to set up your company :

• Dubai Multicommodity Center (DMCC) Location
• Dubai Mainland
• Gold & Diamond Park

Each of these places has specific rules and forms that you need to follow to start your coloring business in Dubai. It’s important to know the mandatory procedures and documentation related to your chosen field.

Legal Structure of the Gold Trading Company in Dubai

When setting up your gold trading company in Dubai, it’s crucial to carefully consider its legal structure. Once you register your business, changing the legal structure can be difficult. The legal form you choose impacts various aspects like taxes, management, paperwork, and fundraising opportunities. There are different options available, each with its own pros and cons.

For example, sole proprietorships and partnerships are easy to start but offer limited liability protection. Sole proprietorships are popular globally among investors. Other options include general partnerships, limited partnerships, limited liability companies (LLCs), public joint stock companies (PJSCs), private joint stock companies (PrJSCs), civil companies, local company branches, GCC company branches, foreign company branches, free zone company branches, holding companies, and sole establishments.

When deciding on the legal structure, consider your gold business’s financial needs, risk tolerance, and growth potential. Also, take into account factors like licenses, permits, regulations, control, capital investment, taxes, liability, complexity, and flexibility.

Choosing the right legal structure is essential for the long-term success and sustainability of your gold trading company in Dubai.

What Licenses are Needed for Starting a Gold Trading Company in Dubai?

To start a gold trading company in Dubai, you’ll need different licenses depending on what you’re doing:

• Trade License: This is for any trading activities related to gold.
• Manufacturing License: If you’re making gold items like jewelry, you’ll need this license.
• Retail License: If you’re selling gold directly to customers, you need this license.
• E-commerce License: If you’re selling gold online through a website or platform, you’ll need this one.
• Service License: If your business involves providing professional services related to gold, like appraisal or consulting, you’ll need this license.

Each license ensures you’re legally allowed to carry out specific activities in the gold trading business in Dubai. Make sure to get the right ones for your business activities.

Also Read : Industrial License in Dubai

Applying for Gold Trading Company License in Dubai

Regardless of the location you choose, some common documents will be required to obtain your Gold Trading license in the UAE:

• Application Costs
• Complete the application form
• Two passport-sized photographs
• Passport/visa photos of owners or shareholders
• Copy of Sponsor’s passport/Emirates ID
• CV of the manager
• Proof of trade name
• A copy of the original certificate of approval
• Documentation of fees paid on initial approval
• Company Registration Form from the concerned department
• A copy of the MoA or LSA agreement
• Tenancy or lease agreement (if any)

These are the specific documents that you need to gather to ensure that you can successfully obtain your business license in Dubai.

Gold Trading License in Dubai DMCC

DMCC Freezone has a complete approach to gold management. This includes companies involved in everything from research and development to marketing and investment. DMCC provides excellent services and products that help gold trading companies grow faster. In addition, DMCC operates the Gold and Other Commodities Exchange (DGCX) to facilitate gold trading and investment. There are also various other industries that support gold trading. If you are thinking of starting a gold trading business, DMCC Free Zone is an excellent option. It provides quality services and support services necessary for gold trading. The open zone has everything you need for your gold trading business, making DMCC an ideal place to start a gold trading business in the UAE. The availability of exchanges, in-house gold mining and other ancillary trading systems makes it a liberal destination especially desirable for those interested in gold and precious stones trading

Gold Trading License from the Dubai Economic Development (Ded)

If you want to have a retail space and easily reach customers in the UAE, getting a DED gold Trading License is a great idea. Setting up a shop in the Gold Souk Market in Deira, Dubai, is perfect for selling gold and other precious metals.

Dubai is famous for its gold. People from the UAE, GCC countries, India, China, and beyond come here to buy gold and precious metals. The demand is huge, making Dubai one of the best places to shop for gold. Plus, the government ensures that the gold sold here is of top quality and comes with proper certifications. This makes gold trading in Dubai a profitable opportunity for investors worldwide

Here are the steps to get a Gold Trading License from the Dubai Economic Development (DED):

1. Choose a Trade Name: Pick a suitable name for your gold trading business and get approval from DED.
2. Decide on Business Activities: Figure out what specific gold-related activities you’ll be doing, like manufacturing, refining, retail trading, importing, etc.
3. Submit Application: Fill out the application form and provide shareholder documents (photo, passport copy, and optionally, a business plan) to DED for initial approval.
4. Get an Office Space: You need a physical office for your gold trading business in Dubai Mainland.
5. Set Up the Office: Customize your office space with things like desks, CCTV cameras, and devices to measure gold purity.
6. Security Approval: Obtain approval from the Security Industry Regulatory Agency (SIRA) for your office premises. They’ll inspect the site.
7. Lease Agreement and Ejari: Prepare a lease agreement for your office and get Ejari from the Dubai Land Department. Ejari details your office space, rent, etc.
8. Submit Documents: Provide SIRA approval, Ejari copy, and any other necessary documents along with fee payment to DED for the Gold Trading License.
9. Review and Approval: DED will review your application, documents, and approvals, then issue the Gold Trading License for Dubai Mainland.
10. Bank Account: Once you have the license, you can apply for a bank account for your new gold trading business in Dubai’s Mainland.

Following these steps will help you obtain your Gold Trading License smoothly.

‍

Type of Licenses Available in Gold and Diamond Park

Engaging in different types of businesses requires specific licenses. Here are some common ones:

• Trading License: Allows you to be involved in various types of trade activities.
• Retail License: Permits the opening or leasing of a retail outlet, typically issued to individuals.
• Production License: Issued to either a legal entity or an individual to set up a company for manufacturing.
• Service Provision License: Needed to open a company that offers professional services.
• E-commerce License: This type allows you to sell goods or services online.
• National Industry License: Grants the right to organize production anywhere in the free zone.

All these licenses are valid for one year, and renewal is necessary after this period. If the renewal isn’t done within four months, the license is canceled, and a new one must be obtained to resume business activities.

To obtain a license for manufacturing, retail, e-commerce, professional services, or trading in gold and precious metals, investors need to:

• Secure a contract agreement in Gold and Diamond Park.
• Pay rent for a physical space (office, retail store).
• Obtain a license after finalizing the lease agreement.
• This process ensures that businesses operate legally and with the necessary permissions in the chosen business category.

Minimum Requirements for Opening a Gold Trading Business in Dubai

To open a gold trading business in Dubai, you need to meet certain requirements to ensure everything is legal and runs smoothly:

• Capital Requirement: While there’s no set minimum, it’s smart to have enough money to buy gold and cover your expenses.
• Licensing Fees: Expect to pay fees for your license, which depend on your business structure and the type of license you need.
• Regulations Compliance: Follow all local and federal rules for gold trading, including those set by the Dubai Gold and Commodities Exchange (DGCX).
• Secure Location: Keep your gold safe in an approved place, like a secure vault or deposit box. You must have good security to protect your assets.
• Record Keeping: Keep accurate records of all your gold transactions and finances. This is crucial for audits and taxes.
• Insurance: Get insurance for your gold inventory to cover risks like theft or damage.

Meeting these requirements ensures your gold trading business in Dubai is legal and protected

Tips for Getting a Gold Trading License

Thinking about getting a gold trading license in Dubai? Here are some tips to make the process smoother:

• Ensure Compliance: Applying for a trade license is a careful process. Luckily, the UAE has clear local regulations. Follow these closely to avoid conflicts and penalties during the application.
• Be Financially Ready: Besides the initial capital for your business, consider the costs associated with obtaining a trading license. While the final amount depends on various factors, a reasonable estimate is between $5,500 to $8,100.

Seek Professional Assistance: For a hassle-free application, many recommend partnering with experts experienced in gold trading License registration in Dubai. They’ll guide you through regulations, approvals, and the entire process from start to finish. This can make the journey much smoother and ensure compliance with all requirements.

Types of Business Entities for Dubai Gold Trading Business

Dubai is a global hub for gold trading, offering various business structures tailored to meet different needs and preferences. Here’s an overview of the main business entities you can consider when establishing a gold trading business in Dubai:

1. Sole Proprietorship

• Overview: This structure allows you to own and operate your business independently, giving you full control over decision-making.
• Advantages: Simplicity in setup and operation.
• Considerations: You are personally liable for all business debts and obligations.

2. Private Joint-Stock Company (PJSC)

• Overview: A PJSC operates similarly to a public joint-stock company but is subject to stricter regulations and typically involves fewer shareholders.
• Advantages: Suitable for larger enterprises with substantial capital requirements.
• Considerations: Requires a minimum of three shareholders and compliance with extensive regulatory requirements.

3. Partnership

• Overview: In a partnership, you share the responsibilities, profits, and liabilities with one or more partners.
• Types:
  • General Partnership: All partners share equal responsibility.
  • Limited Partnership: Includes both general and limited partners, where the latter have limited liability.
• Advantages: Shared financial burden and pooled resources.
• Considerations: Potential for conflicts among partners and shared liability.

4. Free Zone Company

• Overview: Free zones in Dubai offer lucrative benefits such as tax incentives, 100% foreign ownership, and simplified business setup processes.
• Advantages: Full ownership rights, tax exemptions, and ease of repatriating profits.
• Considerations: Restrictions on conducting business outside the free zone without a local distributor or agent

5. Limited Liability Company (LLC)

• Overview: An LLC is a popular choice for many entrepreneurs due to its flexible structure and limited liability for members.
• Advantages: Suitable for small and medium-sized enterprises; protection of personal assets.
• Considerations: Requires a local sponsor who holds at least 51% of the shares, although profit-sharing arrangements can be negotiated.

6. Public Joint-Stock Company (PJSC)

• Overview: This structure is ideal if you plan to expand your gold trading business significantly and wish to raise capital through public offerings.
• Advantages: Ability to raise large amounts of capital by issuing shares to the public.
• Considerations: Subject to strict regulatory scrutiny and disclosure requirements; requires substantial initial capital.

Additional Considerations for Gold Trading Business in Dubai

Regulatory Compliance

• Ensure compliance with the Dubai Multi Commodities Centre (DMCC) regulations if you choose to operate within this specific free zone, known for its focus on gold and precious metals trading.

Licensing Requirements

• Obtain the necessary trade licenses from relevant authorities, such as the Department of Economic Development (DED) and free zone authorities.

Market Research

• Conduct thorough market research to understand the competitive landscape and identify potential opportunities within the gold trading sector.

Professional Consultation

• Engage with business setup consultants who can provide expert guidance on the best business structure for your specific needs and assist with the setup process to ensure compliance with local laws and regulations.

How RadiantBiz Can Help You Register Your Gold Trading Company in Dubai

If you’re eager to establish your gold trading company in Dubai, RadiantBiz is here to guide you seamlessly through the process. Our expert team is dedicated to making your registration experience smooth and efficient.

Here’s how RadiantBiz can assist you:

Expert Guidance: Our seasoned professionals have in-depth knowledge of the gold trading industry and Dubai’s regulations. We’ll provide you with expert guidance at every step.

Efficient Process: We understand the importance of time. RadiantBiz streamlines the registration process, ensuring it’s quick and hassle-free.

Customized Support: Your business is unique, and we tailor our assistance to your specific needs. RadiantBiz offers personalized support to meet your requirements.

Comprehensive Services: From documentation to approvals, we handle all aspects of gold trading company registration in Dubai. You can rely on us for a comprehensive service package.

Clear Communication: Our team believes in transparent communication. We keep you informed at every stage, ensuring you understand the progress and requirements.

Partner with RadiantBiz for a stress-free and efficient journey towards registering your gold trading company in Dubai. Your success is our priority.

Are you ready to setup a business in Dubai with RadiantBiz? If you want to learn about starting business in UAE, you can contact us by calling +971 50 797 4832 or sending a WhatsApp message to +971 50 777 5554. You can also email us at info@radiantbiz.com for assistance.

FAQ – Gold Trading License in Dubai

1. How much is a gold trading license in Dubai?
The cost of a gold trading license in Dubai typically ranges from AED 20,000 to AED 30,000. Various factors, including visa expenses, government approvals, and office space, influence the final price.

2. How to start a gold trading company in Dubai?
The crucial step in launching a gold trading business in Dubai is obtaining a valid gold trading license. Depending on your business nature and chosen area, you must apply for the necessary trade licenses.

3. What documents do I need to sell gold in Dubai?
To sell gold in Dubai, you may need to present documents like your Emirates ID, original passport (for expats or visitors), and the purchase invoice or certificate of authenticity for the gold piece.

4. Is it profitable to trade gold?
Gold trading can be profitable with proper risk management and trade strategies. Traders should monitor market volatility and external factors influencing gold prices to maximize potential profit opportunities.

5. How to trade gold in the UAE?
In the UAE, you can trade or invest in gold through spot gold, gold futures, options, or gold stocks and ETFs. You can open a position using a CFD or stock trading account.

6. What is the disadvantage of trading gold?
While gold offers security and balance in portfolios, it also carries risks. Its performance may not always outshine other assets, and long-term price appreciation can be inconsistent.

7. Can you trade gold in Dubai?
Yes, you can trade gold in Dubai. The Dubai Multi Commodities Centre (DMCC) is one of the world’s largest gold trading hubs, making Dubai a premier destination for gold trading. The emirate accounts for approximately 25% of global trade in gold.

8. How to get a gold trading license in Dubai?
To obtain a gold trading license in Dubai, follow these steps:

• Partner with a business setup consultancy, such as Trade License Zone.
• Choose your company name, ensuring it complies with UAE naming conventions.
• Select your business activities.
• Choose a business jurisdiction (mainland or free zone).
• Apply for your gold trading license through DED or the relevant free zone authority.
• Open a corporate bank account for your business transactions.

9. How to start a gold trading company?
To start a gold trading company in Dubai:

• Create a detailed business plan outlining objectives and strategies.
• Choose a location (mainland or free zone).
• Open a bank account for foreign exchange transactions.
• Obtain the required licenses and permits.
• Develop marketing strategies to attract clients.
• Set up logistics for gold transportation.
• Implement strong financial management systems.

10. Is gold trading profitable in Dubai?
Gold trading in Dubai can be highly profitable due to its strategic position, favorable tax policies, and advanced infrastructure. Success depends on market research, sound business strategies, and adherence to local regulations.

11. Can I buy gold from Dubai and sell it in India?
Yes, you can buy gold from Dubai and sell it in India. You can bring up to 1kg of gold into India, but you will need to pay duty charges of 36.05% on the value exceeding the duty-free limit.

How to open a gold trading company in Dubai?
To open a gold trading company in Dubai, you need to:

• Submit SIRA approval (if required).
• Provide an Ejari copy (tenancy contract).
• Submit supporting documents.
• Pay the applicable fees.
• Obtain the Gold Trading License from DED or the relevant free zone authority.

12. How to become a gold dealer in Dubai?
To become a gold dealer in Dubai, you need to submit the following:

• Pre-approval form.
• Detailed business plan.
• Proof of trade name reservation.
• Passport copy.
• Residency proof.
• No Objection Certificate (NOC) from the current sponsor (if applicable).
• Additional documents as required by the regulatory authority.

By following these steps and ensuring compliance with local regulations, you can successfully set up and operate a gold trading business in Dubai.

‍