Gold trading business in Dubai has become one of the top ranking markets around the globe. Due to its prevailing gold trading business, Dubai is known as “The City of Gold”. Entrepreneurs and travelers from all over the world are attracted towards its prospering gold market.
Currently, gold trading in Dubai is one of the most promising industries which provides abundant infrastructure aid for sponsors. If you wish to establish a gold trading business in the UAE, you’d need to get a gold trading license and consider many other factors which will be discussed below.
Advantages of starting Gold Trading Business in Dubai
One of the most solid investments is trading in gold, because of the fact that the price of gold is stable in all markets. There are many advantages of starting a gold trading business in Dubai, some of which will be discussed below:
- You will get total control of your business and secure utmost profits from gold trading business within Free Zones.
- You will get immunity on sales tax and business taxes.
- Without paying taxes, you can withdraw all of the obtained business revenue.
- Hiring foreign employees is made simple, involving minimum legal paperwork.
- Gold trading and jewelry proprietors in the UAE benefit from round-the-clock security guards, the latest CCTV system, and fire alarm systems installed in every section.
- You enjoy continuous access to all community services and corporate resources.
- With air conditioning complexes, you don’t have to worry about Dubai’s blistering temperatures.
- Every piece of gold crafted and distributed at Dubai Gold and Diamond Park is imprinted.
- You get access to a high-quality shopping complex to ensure premium services for your customers.
How to Initiate Gold Trading Business in Dubai
Gold trading in Dubai is a flourishing sector due to high demand for gold by foreigners and tourists. Investing in gold can be profitable due to the thorough supervision of its prices, which implies that the price of gold in Dubai ranks among the highest worldwide. To acquire your gold trading license in Dubai, follow the steps provided below for a smooth process.
Select a Company Name
One of the important steps is to choose a captivating name for your company, and registering the name at UAE’s registry. The name of the company must be unique.
Abstain from using copied, displeasing or complex names. If you want to use your own name ensure to use full name and check for the availability of the name during registration process.
Select Your Trade Endeavors
You must select trade endeavors and apply for a trading license for your gold trading company in order to lawfully engage in trade. This license will permit you to do commercial activity which you mentioned in the application.
You can choose particular trade activities from the Department of Economic Development (DED) website. Failing to mention all of your business activities can result in fines.
That is why it is important to collaborate with an expert company to make sure that your trade endeavors and gold trading license are synchronized.
Select a Business Regulatory Area
There are two main business domain types for gold trading companies in Dubai, Free Zone and Mainland enterprises. Each option has specific advantages and demands.
Free Zone enterprises are generally favorable and economical compared to the mainland. Although they allow foreigners full ownership, Free Zone companies must establish a branch office or a dealer, to conduct business legally within the UAE.
A Mainland enterprise enables you to engage in Dubai market commerce, but it requires that a native sponsor keep 51% ownership of the company’s shares.
Request For Gold Trading License
If you’re initiating your gold trading enterprise in Dubai mainland, you can handover your application to the Department of Economic Development (DED).
But, if you choose to start your gold business within a Dubai free zone, you’ll need to submit your application to the administration of the selected free zone.
Open a Commercial Banking Account & Apply For Visa
Following the submission of your application for a gold trading license, it’s essential to open a commercial bank account to administer and manage financial dealings of your business. Also, applying for visas for yourself and your employees is crucial. After obtaining the Trading License, you’ll be able to sponsor others who wish to visit Dubai.
Necessary Documentations for Starting Gold Trading Business
Following are the documents that you need to provide for your license:
- Submit an application form
- 2 Passport-size photos
- Application fees
- Copies of passports and visas of the owner and stockholders
- Resume of the manager
- Photocopy of benefactor’s Emirates ID or passport
- Certificates, license and documentations of relevant parties
Top 3 Prime Spots To Launch a Gold Trading Business In Dubai
For sponsors, who want to start a gold trading business in Dubai there are various choices available. Here are the three major trade zones where you can acquire a Gold Trading License in the UAE.
- Permit to participate in gold trading within DMCC
- Gold Souk Market, Dubai
- Gold & Diamond Park in Dubai
Now we will discuss three significant zones in detail, where the sponsors can get a gold trading license to open their company.
DMCC Zone
Dubai Multi Commodities Centre is distinctive and one of the biggest zones in the UAE. It provides a huge scope of adequate options and an ideal location for your business establishment and growth in Dubai. In this zone the leading business is commerce of gold, and other valuable metals and gemstones.
Gold Souk Market, Dubai
Dubai Gold Souk market is located in the center of Deira, which makes it a prime location for your gold business. Almost 300 traders solely engage in jewelry trading in this zone.
Tourists from all over the world visit this place to buy jewelry. The main advantage of setting up your company here is that you can sell your jewelry directly to the visitors.
Gold & Diamond Park in Dubai
Located on Sheikh Zayed Rd in Dubai, The Gold & Diamond Park is a business complex with over 59 outlets. This mall is completely air-conditioned and contains up to 350 corporate workplaces and 118 production units.
Final Words
Starting a gold trading business in Dubai is profitable due to its commercially successful market. To establish your company you’ll need a gold trading license. Depending on whether you’re trading, or marketing the opportunity for success in this region is rich.
To ensure the success of your gold trading venture in Dubai’s prestigious environment be prepared to obtain the overflowing capital, knowledge, and commercial zeal of the city.
