For licenses expiring until the end of December 2020

Extending the exemption from the headquarters requirement for the "Abu Dhabi Merchant" license for an additional year

The Department of Economic Development Abu Dhabi issued an administrative decision to extend the exemption from the headquarters requirement for the "Abu Dhabi Merchant" license for an additional year for licenses expiring until the end of December 2020, with the aim of supporting entrepreneurs and encouraging micro and small enterprises in the business sector at the level of the Emirate of Abu Dhabi in order to reduce the burdens resulting from them due to the repercussions Covid-19 crisis.

His Excellency Rashid Abdul Karim Al Balushi, Undersecretary of the Department said: “This decision comes within the framework of Abu Dhabi Economic’s efforts to enhance the role of entrepreneurship at the emirate level and provide them with support due to the repercussions of the Covid 19 pandemic, as the decision allows entrepreneurs and owners of micro, small and medium enterprises to start practicing their business. And the expansion of their commercial activities for four consecutive years without the need to provide a headquarters for the license. "

He affirmed the department’s keenness to continue its efforts and initiatives aimed at stimulating the business and investment environment in the emirate, in line with the directives and vision of the Abu Dhabi government’s leadership, pointing to the importance of the Abu Dhabi Merchant License as one of the department’s most prominent initiatives aimed at enhancing Abu Dhabi’s competitiveness and leadership and supporting its economic, development and social path.

He pointed out that 14,613 licenses were issued since the launch of the license in 2017 until the end of September 2020, where the activity of "electronic trading" through social media sites reaped the largest share of those licenses with a total of 3,489 licenses, followed by the activities of "general trade" and "selling snacks." "With a total of 1,473 and 1,465, respectively.

His Excellency the Undersecretary of the Department stated that the Abu Dhabi Dealer License has undergone many amendments until the end of this year, with the aim of enabling and strengthening the role of entrepreneurs at the level of the Emirate of Abu Dhabi, as it included issuing the license for a period of two years, renewable for another year without requiring a workplace, bringing the total period to three years Consecutively, stressing that adding another year for the expiring licenses until the end of this year to be 4 years instead of three is an exception due to the repercussions of the Covid 19 crisis during the current year. 

He added, "Before these amendments, the validity of the Abu Dhabi Merchant license was for only two years upon issuance, and then a decision was issued to extend it to three years only. After the expiration of this period, the owner of the license must provide a place of work to be able to continue his economic activity, while the department continues to exempt licenses." The new "merchant of Abu Dhabi" from local fees for two consecutive years, in implementation of the directives of His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, Deputy Supreme Commander of the Armed Forces, Chairman of the Executive Council of the Emirate of Abu Dhabi, and exempting all new economic licenses in the emirate from all fees For a period of two years from the date of issuance of the license.  

It is noteworthy that Abu Dhabi Economy launched the Abu Dhabi Merchant License in 2017, as part of its efforts to stimulate the economic climate and create a stimulating business environment in the Emirate of Abu Dhabi, where the license witnessed a large turnout of entrepreneurs and investors, translated by the cumulative number of licenses issued until the end of September of this year.

The initiative contributes to enhancing the role of the private sector by enabling the owners of micro, small and medium enterprises and entrepreneurs to engage in more than 1,000 economic activities without the need for a workplace, which saves them a large part of the costs of establishing a business. 

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