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Traders will have the opportunity to obtain a license for their online trading platform. This new E-Commerce initiative has sparked some questions in relation to whether or not an E-Trading license is necessary, and if so, what an E-Trading license can allow you to do. When activities are conducted via an online platform, it generates a lot of confusion in terms of whether or not these what are trading platforms dubai constitute conducting commercial activities within the What are trading platforms dubai, given that they are online.

Article 6 of Law no. Therefore the strict application of law requires a foreign company to be fully incorporated and hold a valid license to conduct activity in the UAE. Some may argue that an online business does not need to have a registered office what are trading platforms dubai does it need to employ staff in the UAE to carry out any activity on the ground, thus, Article and Article do not apply.

However, it is difficult to predict how the Authorities will address this argument given their discretion is not structured by statute or practice. The strict approach is that in order to conduct any commercial activity within the UAE, the appropriate license must be obtained. A prerequisite to obtaining a license is to obtain what are trading platforms dubai maintain a registered office.

Therefore, the Authorities can in their discretion apply the strict approach best place to trade cryptocurrency quora a company seeking an E-Trading license in the UAE.

In practice, there may be many unlicensed online platforms trading across the UAE. However it cannot be guaranteed that what are trading platforms dubai regulator will not identify these unlicensed online traders and impose a penalty between AEDto AEDAn E-Trading license provides traders the opportunity to sell to the general public over the internet without needing any human interaction, using any of the applications that rely on the internet. It involves co-ordinating with payment service providers which offer online electronic payments by a variety of payment methods including credit card, smart cards and digital money E-cash.

Typically, if a company is licensed to trade in a particular industry, that trading license will qualify the company to also trade online. Unlike Dubai mainland which is subject to the CCL, free zones have their own set of regulations when what are trading platforms dubai comes to licensing business activities. Free zone companies cannot conduct commercial activities outside of the free zone.

Therefore, for a trader to freely trade and sell its products online, into the wider UAE, the trader must also obtain a license to do so from the DED. Some free zones do offer E-Commerce activities, but the scope of a free zone E-Commerce activity is limited to facilitating a sale through an electronic medium, rather than directly conducting retailing activities.

In short, a free zone company with an E-Commerce activity can only act as a middleman, unless it also obtains a license from the DED to allow the free zone company to trade freely across the UAE.

The conditions are that the license holder must be a UAE national, over the age of 18 and the license cannot be used to open a physical store, nor can it issue visas. June — July Is an E-Trading license necessary? Jewellery and precious stones E-Trading.

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