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Online Shopping in UAE

Selling at Online Marketplaces such as Amazon and Noon – What Traders Need to Know?

Online Shopping Platforms are becoming popular in the UAE. The online Trading license in UAE is growing at a rapid pace. By 2022, eCommerce sales are to touch an all-time high rate. There will be a drastic growth rate for online shopping platforms over the years with a more tech-savvy audience entering the online shopping world.

For online traders and eCommerce companies aiming to sell at Amazon and Noon, they must follow a straightforward process of registration of the company in the portal as an authorized seller. Other eCommerce Trading players also follow a similar registration process for onboarding traders to their platforms.

While obtaining the online Trading license in UAE business jurisdictions – Mainland or Free Zone, Certain products require preapprovals for selling items online. Our Business Consultants will handle the approval request efficiently and assist in the eCommerce License processing in UAE.

Advantages of Selling with Large Online Marketplaces in UAE

Traders have ample advantage in associating with larger online platforms such as Amazon and Noon. The platforms have all the required infrastructure for the traders to easily sell their products online without any hassles.

A few of the benefits the online traders enjoy by partnering with large online platforms are:

  • Boost your product visibility
  • Get access to a wide audience
  • Gain faster customer trust
  • Outsourced infrastructure facilities
  • No requirement of having packaging, logistics unit
  • Competitive pricing advantages and promotions
  • Free Training and Access to Learning resources for business improvements

How to Sell on Amazon, Noon, and other Online Platforms in UAE?

To sell in online marketplaces, the trader must have a valid online Trading license in UAE. The eCommerce License can be obtained from the Free Zone or the mainland of UAE.

The eCommerce Landscape in UAE is maturing and there is immense growth potential in the field. There is a growing population in UAE that is using the internet daily for various activities.

Online Trading License in UAE

Hence, the target audience for the eCommerce business is large in UAE. The advanced infrastructure, internet penetration, warehouse facilities, logistics, delivery support, etc., support the eCommerce growth in the region.

Documents Required to Sell on Online Trade Platforms such as Amazon, Noon, etc.

  • Tradename, address, and contact information
  • Valid bank account and billing address
  • The phone number that is active and reachable for the registration and verification process
  • ECommerce License License and power of attorney if you are the legal representative
  • Emirates ID of the authorized personnel
  • VAT Certificate
  • Bank Account details on a signed and stamped company letterhead
  • Proof of purchase/invoice, a distribution authorization letter, manufacturer permit, certificate for health for beauty products

Approaching the large market players in the eCommerce sector will be beneficial for new traders. They can easily launch their online shop and start selling online with minimum hurdles.

How to Get an Online Trading License in UAE?

Online Trading License in UAE can be obtained from Free Zones and Mainland. Depending on products sold, warehousing and logistic requirement, budget, etc., the investor can opt for the right business jurisdiction.

Selling Online in UAE

Free Zones have selected warehouse space depending on the available square meters. Similarly, office type also varies in square meters. There are Flexi-desk to 50 sq.m offices in Free Zones for various business activities.

For the Online Traders to have more customized office space for their eCommerce business activities, opting for a  mainland company will give them more flexibility in terms of office expansion requirements.

There is an availability of larger office spaces depending on the number of employees, and huge warehouse and manufacturing units in the mainland to expand on a large scale basis.

Steps in Opening an Online Trading Company in UAE?

The process of opening an Online Trading in the UAE is straightforward. The investors can easily obtain an online trading license in UAE and start selling their products online seamlessly within a few business days.

  1. Choose the right tradename for the eCommerce company. It will be used throughout the company documents, marketing materials, websites, and in other communication channels
  2. Choose the right business license type, company structure (depending on shareholders -FZE, FZC, FZ-LLC), and business jurisdiction (Free Zone & Mainland).
  3. Submit the required shareholder information, application form, passport, and photographs of the owner to the respective Authority for review and approval
  4. Make the required Fee payment for obtaining the eCommerce License from the Free Zone or Mainland depending on the chosen business jurisdiction.
  5. Take office space, warehousing facilities, and get associated with other partners for distribution, delivery, payment processing, logistics support, and more.
  6. Apply for the UAE Residence visa under the company and proceed with a corporate bank account opening in UAE for facilitating the sales and operations of the new company.

What is the Scope of an Online Trading Company in the UAE?

Online Trading Company in UAE has enormous scope in terms of market reach and variety of products that can be sold through the website or an online platform.

Also, to conduct overseas import and export, the company can take general trading with an import-export code from the customs. The company can expand to newer markets by involving in the global trade along with eCommerce.

Online Trading companies in UAE have an ample audience base from UAE and also nearby economies such as India, Saudi Arabia, and the rest of North Africa, the middle east, and south Asia.

Hence, there is an enormous growth opportunity for eCommerce companies in UAE. The Free Zones and the Mainland of UAE are supporting the growth by providing the right company formation options, required amenities, and other infrastructural support solutions for the eCommerce sector to grow rapidly.

To know more about the eCommerce Company Formation in UAE, give us a call!

Contact Us: Aurion Business Consultants