Key takeaways
- A UAE trade licence needs a physical office only for some licence types: a standard mainland licence in Dubai or Sharjah is tied to a lease, while virtual and e-commerce licences are designed to run without one.
- Sharjah's Economic Development Department states that a standard commercial licence requires a physical location in a licensed area, and that the lease must be notarised by Sharjah City Municipality as a prerequisite for issuance and renewal.
- Abu Dhabi's virtual licence lets foreigners who live outside the UAE start a business with no physical office; the application fee is AED 850, plus federal fees that depend on the activity and legal form, as of 5 October 2026.
- A free zone flexi desk is a shared workstation with a registered address, not a private office, and whether it supports residence visas depends on the visa quota attached to your free zone package, so get that in writing.
- In Dubai, a mainland office lease is registered through Ejari with the Dubai Land Department, which lists an AED 100 registration fee plus other fees, as of 5 October 2026.
Do you need a physical office to get a UAE trade licence?
It depends on the licence type and the emirate. A standard commercial licence on the mainland is tied to a leased location, while virtual, home-based and e-commerce licences exist so that you can operate without one, and free zones usually sell a flexi desk or co-working package instead of a private office.
| Licence route | Physical office needed? | What the authority or provider says | Best suited to |
|---|---|---|---|
| Sharjah standard commercial licence (SEDD) | Yes | A location in a licensed area is required; the lease must be notarised by Sharjah City Municipality | Shops, offices and industrial businesses in Sharjah |
| Dubai mainland commercial licence (DET) | Lease-based | DET's FAQ lists a lease certificate from the Real Estate Regulatory Agency among documents | Businesses serving Dubai clients directly |
| Abu Dhabi virtual licence | No | For foreigners who live outside the UAE; AED 850 plus federal fees, as of 5 October 2026 | Non-resident founders testing Abu Dhabi |
| Sharjah e-commerce licence | No | SEDD describes online sales licences as having no physical location and lower fees | Online sellers working from home |
| Dubai e-trader licence (DET) | No | Reported by Emirates 24/7 on 24 September 2026 as home-based, AED 1,070 licence fee, one year | Dubai residents selling online or offering professional services |
| Free zone flexi desk (SHAMS, IFZA and others) | Shared desk | SHAMS Standard and Media packages list a flexi desk and lease agreement; IFZA's flexi desk is 10 access hours a week | Small teams and consultants |
Accurate as of 5 October 2026. Fees and eligibility change, so confirm with the authority named in each row.
What are the office rules for a Dubai mainland licence, and what is Ejari?
A Dubai mainland licence from the Department of Economy and Tourism (DET) is tied to a lease, and Ejari is the Dubai Land Department system that registers that tenancy contract. DET's FAQ lists a lease contract certificate issued by the Real Estate Regulatory Agency among the documents it asks for.
The Dubai Land Department's Ejari e-service lists an AED 100 registration fee, with knowledge and innovation fees on top; the total differs between the app and trustee centres, so check the current figure before budgeting. Other emirates run their own registers: Abu Dhabi landlords register leases in Tawtheeq, and in Sharjah leases are registered with Sharjah Municipality, according to u.ae.
On minimum space, Executive Council Resolution No. (5) of 2024, issued on 2 March 2024, sets a principle that Dubai authorities should refrain from requiring premises of a certain area unless legislation requires it for the activity. We could not find a DET page stating a minimum office area for a standard licence, so we quote none; ask DET to cite the rule behind any minimum it asks you to meet.
Is a flexi desk enough for a free zone licence and visas?
A flexi desk is enough to hold a licence in the free zones that sell it as a package, but it is a shared workstation, and visas depend on the visa quota your package carries. IFZA describes its flexi desk as a shared workstation with 10 hours of access per week, an IFZA address and one hour of meeting room use per month.
SHAMS lists "Flexi desk & Lease Agreement" in its Standard and Media packages and describes its licences as carrying 0 to 6 visas depending on package and entity; its package page gives no visa allowances or prices, so ask for them in writing. IFZA's own comparison says free zones may still tie visa quotas to office size.
If you'd rather not track lease renewals, licence renewals and visa dates by hand, the free UAE compliance calendar is a calendar of your company's UAE tax and compliance deadlines, personalised from a few questions, as a PDF and calendar file.
Which UAE licences need no physical office at all?
Virtual, e-commerce and e-trader licences are the main routes that need no physical office, and each has its own eligibility limits. They can be narrower than a standard licence.
- Abu Dhabi virtual licence: for foreigners living outside the UAE, with LLC or sole proprietorship LLC structures owned 100 per cent, 13 economic sectors, and an AED 850 application fee plus federal fees, per u.ae as of 5 October 2026. A separate Abu Dhabi page quotes AED 790 to AED 5,500 depending on activities and legal structure, so confirm the cost at application.
- Sharjah e-commerce licence: for online sales and social media platforms, with no physical location and lower fees, according to SEDD's FAQ.
- Dubai e-trader licence: reported by Emirates 24/7 as issued by DET to Dubai residents aged 21 or over with an Emirates ID, valid for one year, with an AED 1,070 licence fee, AED 300 chamber membership and AED 620 trade name registration. Emiratis and GCC nationals can apply for commercial and professional licences; expatriates only for professional ones.
How do you check the office requirement before you pay?
Check five things in writing before you pay any setup fee: the premises type your activity needs, the visa quota, the lease registration, the renewal terms and your bank's view.
- Ask the licensing authority (DET, SEDD, ADDED or the free zone) which premises type your exact activity needs.
- Ask for the number of residence visas that come with the package you are buying, and what happens if you need more.
- Ask whether the lease must be registered (Ejari in Dubai, Tawtheeq in Abu Dhabi, Sharjah City Municipality notarisation) and who pays for it.
- Ask for the renewal cost and whether the lease must be renewed at the same time.
- Ask your bank whether it accepts your premises type before you commit; Qawi has not verified any bank's policy on flexi desks or virtual licences.
AED 850: Abu Dhabi virtual licence application fee for foreigners living outside the UAE, with no physical office, plus federal fees set by activity and legal form. Source: u.ae, Obtaining a virtual licence, checked 5 October 2026.
What most guides don't tell you
A licence, a visa quota and a bank account each test your premises separately. A flexi desk can satisfy the free zone for the licence while the visa quota or your bank asks for more, so a yes from one does not carry over to the other two.
A lapsed lease can block your renewal. Sharjah's SEDD calls the notarised lease a prerequisite for issuance and renewal, and DET lists a lease certificate among documents, so put the lease expiry date next to the licence expiry date.
A shared desk on a Dubai mainland licence usually sits in a licensed business centre. DET's FAQ sets conditions for licensing the business centre activity, including a lease of at least 4 years, written owner consent to sublease, and an annual fee of AED 25,000 per site. Before you sign, ask the provider whether the building holds that licence.
Which deadlines apply to your company?
Your lease, licence, visa and tax dates run on different clocks. The free UAE compliance calendar lists them for your company.
Frequently asked questions
What is a flexi desk and is it enough to get visas? A flexi desk is a shared workstation with a registered address; IFZA's version includes 10 hours of access a week and one hour of meeting room use a month, according to its website (undated). Whether it is enough for visas depends on the visa quota rules of your free zone and package, so get the visa allocation for your exact package in writing before you pay.
What is Ejari and when do I need it? Ejari is the Dubai Land Department system for registering tenancy contracts in Dubai; its e-service lists an AED 100 registration fee, plus other fees that vary by channel, as of 5 October 2026. DET's FAQ lists a lease certificate from the Real Estate Regulatory Agency among licence documents, so a Dubai mainland office lease normally has to be registered; confirm the requirement for your activity.
How much share capital do I need to set up a UAE company? The figure is set by the licensing authority and depends on the legal form and the activity, and Qawi has not verified a single universal minimum, so no number is quoted here. Ask the authority or free zone for the figure for your activity in writing, and ask whether it must be deposited.
How many business activities can I add to one licence? The limit depends on the authority and the licence type. Abu Dhabi's virtual licence, for example, includes six activities, with each extra activity costing AED 100, as of 5 October 2026.
Can I run e-commerce and consulting under the same licence? That depends on whether both activities sit on the same authority's activity list and whether the licence type allows trading in physical goods; Dubai's e-trader licence, as reported by Emirates 24/7, limits expatriates to professional services. Check both activities against the licensing authority's list before you apply.
About Qawi · Qawi is a corporate services firm licensed in the Sharjah Media City (SHAMS) free zone, handling company formation, visas and PRO, bookkeeping, VAT and corporate tax for UAE businesses. Guides are researched from FTA, Ministry of Finance and free zone sources. Qawi on LinkedIn
Sources
- Sharjah Economic Development Department, FAQ
- Dubai Economy and Tourism, FAQ
- Dubai Economy and Tourism, new trade licence service
- Dubai Land Department, register or renew Ejari tenancy contract
- Dubai Land Department, FAQ
- Executive Council Resolution No. (5) of 2024 Approving the Principles of Facilitating the Investor's Journey in the Emirate of Dubai
- Abu Dhabi Department of Economic Development, licensing requirements
- u.ae, Obtaining a virtual licence
- Abu Dhabi virtual licence page
- u.ae, Leasing a property in the UAE
- SHAMS Free Zone, business setup packages
- SHAMS Free Zone, Sharjah free zones explained
- IFZA, types of office spaces
- IFZA, physical vs virtual vs flexi-desk office in Dubai
- Emirates 24/7, Dubai e-Trader licence guide (news report, not an official source)
Last checked: 5 October 2026
This is general information, not tax or legal advice for your specific situation.