Dubai is famed around the world and is a trade and logistics hub. Few goods do not pass through the UAE in the form of imports and exports, from food and beverages to minerals, tobacco, technology, and textiles.
Another thriving trade out here is auto spare parts. Thanks to the UAE’s incredible location and world-class infrastructure, our auto aftermarket industry is estimated to be worth almost USD 320m and is predicted to grow at a CAGR of 14.8% up to 2025.
A growing market like the UAE presents an incredible opportunity for those skilled and resourceful enough to trade in it. And when you start a UAE business with the help of Meydan Free Zone, starting an auto spare parts trading company can be quick and easy. Our team are experts in business setup in Dubai and can help you with licensing visas and much more.
Start an auto parts trading business in Dubai
In this article, we’ll cover everything you need to know to start your auto spare parts trading business in Dubai, UAE, including:
Benefits of starting an auto spare parts trading business in Dubai, UAE
Dubai is home to one of the most thriving vehicle re-export markets in the Middle East and one of the largest tire trading industries.
It is also primed for global trade. Direct links by road, sea, and air, incredible transport and logistics infrastructure, and tried and tested import and export processes are just some of the reasons.
You will also benefit from the UAE’s tax rate of 0% on personal income when you trade out here. And there are more advantages when you start your trading business in a UAE Free Zone. These include 100% customs tax exemption and the freedom to repatriate capital and profits, and 0% on corporate tax.
The procedure to get an auto spare parts trading license in Dubai
Setting up in a free zone is almost always the most straightforward and cost-effective way to start an auto spare parts trading business in the UAE. And when you establish your business at Meydan Free Zone, our expert team can guide you through the following company formation process.
We will get the ball rolling by helping you choose and register your company name. The UAE has a very clear set of naming parameters that you’ll need to stick to. But don’t worry; all are straightforward and largely common sense. Essentially, you should avoid blasphemous and offensive language and the names of well-known organisations. There are a few more rules too, which we will cover in your initial consultation.
Once this early decision is successfully navigated, your dedicated contact will assist you through the UAE Trade License application process. During this process, you will be asked to submit a completed application form on an online portal containing details about your business and its shareholders and proof of address and identification. You will complete your KYC and UBO process, and if your spare part trading requires any third-party approvals from internal ministries, experts at Meydan Free Zone will help you sort out all the legal permits.
You will also require a residency visa to reside in and run your business from the UAE. As part of this process, you’ll need to undergo a fitness, blood, and chest x-ray. You can also sponsor the visas of others, such as dependent children and parents, your spouse, and any domestic staff.
Finally, all UAE businesses require a corporate bank account. Meydan Free Zone can help with this step, too, advising on the right financial institution for your needs and circumstances.
Documents required to get an auto spare parts trading license
When applying to start an auto spare parts trading business in the UAE, you may be required to submit any of the following documents:
- Completed application form on online portal
- Coloured passport copies of the company’s shareholders, managers, and directors
- Specimen signature of the company’s shareholders, managers, and directors
Dubai auto spare parts trading license costs
A spare parts auto trading license in Meydan Free Zone starts at AED 12,500, and our experts can draw out a customized proposal based on the number of visas.
Take your business to new heights at Meydan Free Zone
Meydan Free Zone is a thriving, centrally located economic district with one of the most prestigious business addresses in the region.
We offer our businesses a host of innovative investment and lifestyle benefits in a secure, regulated environment that empowers productivity. And we can help you join them too.
Our expert team can assist you across the entire company formation journey, from registering your company name to managing your license and visa applications.
