There is no better place to start gold trading other than Dubai, owing to its history of a successful journey in the value of gold. In fact, the value is inclining significantly. Gold is always popular among investors and customers in which both are abundantly present in Dubai. So if you are thinking about starting a gold trade business, this blog provides adequate knowledge on How to start a Gold trading business in Dubai? Also, you can consult a Business setup in Dubai to get assistance in starting your dream business.
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Benefits of Setting up a Gold Trade Company
You can directly trade without a local sponsor or an agent if you have mainland business. Another advantage that you may benefit from is the UAE’s 0% tax rate on both personal and corporate income. As the value of gold has never declined, it is a great idea to start a gold trading business in Dubai. Also, there are other beneficial factors for those who are starting their business in Dubai rather than any other destination.
You can directly trade gold to UAE consumers at the UAE’s gold market if you set up your gold business near the Gold Souk or on Deira commercial street. You have to have a trade license, residence visa, retail space, and stock.
Required Documents for Starting Gold Trade
A list of documents should be prepared in order to register the gold trade firm in Dubai.
- A copy of a valid passport of the owner and business partners should be submitted.
- The resume of the business manager should be updated.
- Acquire the legal documents as proof after registering the trade name.
- Initial approval can only be completed if you get all the documents, certifications, and permission from the respective authorities.
- Get the MOA (memorandum of association) signed and the AOA (article of association).
- Connect with a power of attorney for the representation of legal on any lease agreement.
A capital of at least AED 150,000 is needed for setting up a gold trading business in the Dubai-free zone. You have to pay rent for gold park management and a deposit of 15% of annual unit rent, which is not inclusive of the maintenance charge and is refundable. Moreover, there are licensing and permit charges to be paid to the authorized legal committee, and it can be dependent on the type of activities of your business.
How to Apply for a Gold Trade License
- Get a suitable company name.
This is a crucial step when establishing your business in Dubai. There are a set of rules to abide by, like not using any religion-related names or countries, not using any offensive or complicated language in the name, as well as not using the name that is already in use. Moreover, if you are using the name of an individual or naming your business, make sure you have used the full name of that individual.
- Apply for license
The second step in acquiring the gold trade license is to complete the application for the license. You can submit the application to the DED if your company is set up in the Dubai mainland. You have to submit the application to the respective authority of the chosen free zone if you are starting your business in the free zone. Additionally, you can either draft the application yourself or with the help of company formation experts. A list of documents that is to be submitted is mentioned below:
- An application form that is perfectly filled with adequate details.
- Copies of passports of the shareholders and the owner.
- 2 Colored passport-size photographs.
- Apply for visa
You can either apply for a visa on your own or with the help of an agent. You can also sponsor others for their visas if you are a holder of a UAE business license. This can be a domestic worker, spouse, child, or parent. The maximum number of visas you can take depends on the size of the company, chosen setup, personal earnings, and dependent visas.
Price of Gold Trading License in Dubai
The cost of starting a gold trade business in Dubai depends on the size of your business and the location of your company. As for the gold trading license in Dubai, it can cost around AED 17,000, along with a service charge. You can also get an on-site coworking facility which can cost around AED 20,000.
To sum it up, the treasured metal market in Dubai always promotes and encourages entrepreneurs to expand the gold trade business. The value of gold trading has never had the chance to go down, which makes it a great attraction for investors and traders around the globe. For the aforementioned details, starting a gold trade business in Dubai will flourish with great assistance. Seek a Business Setup Consultant in Dubai to learn more about starting a gold trading business in Dubai.
