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How to start an eCommerce business in UAE

How to start an eCommerce business in UAE

With global e-commerce giants like Amazon and Alibaba, online shopping has become a new way of conducting business, and it has been adopted by consumers very well, all over the world.

On that note, online shopping is growing quite rapidly in the United Arab Emirates (UAE) as well and it seems to be growing at the fastest rate in Dubai, among all the Emirates. A large number of people are moving away from traditional shopping modes to online shopping, thereby signifying the viability of e-commerce in the Middle Eastern region.

Starting an eCommerce business entails hard work and demands many steps and decisions that need to come together at the right time. We have put together a comprehensive blueprint for starting an eCommerce business in UAE. Check it out below.

Research the shopping trends in the region

starting your research is the first critical step. Growing any online business is an investment. Before you make a decision on what to sell online, you need to understand the different shopping trends in the region.

You can begin this by being strategic in identifying a set of products or a niche that trendy, or not so easy to find in stores or on popular eCommerce websites like Amazon. That’s why going the generic route and opting to sell books or jewelry will likely lead to a dead end. There are already lots of major players out there meeting those demands.

Instead, prefer to research on more specific items that appeal to a particular audience. Start this process by making a list of potential products you might like to sell. Brainstormed about things that you, your friends, coworkers, or family would be interested in. Also explore social selling sites for more input on what to sell.

Read more: Setting up an e-commerce business in Abu Dhabi
Write a business plan

When your research is complete, it’s the perfect time to write your business plan. A business plan will be a blue print that helps bring your ideas and thoughts together. A business plan is an essential factor in determining what to prioritize and how to effectively reach new customers.

Register the business

Choose a name and register your business by furnishing all the important documents for registration. If you want to make your registration hassles free, you may seek the guidance of a team of business setup experts as they can offer guidance in the process of setting up an e commerce business in UAE.

Acquire an e commerce license

Licensing process for e commerce business setup is swift and easy. Business owners can choose which legal entity they want to start their online business in and whether to operate in a free zone or non-free zone.

There are multiple advantages for foreign business investors to operate an e commerce business in a free zone. The licensing procedure will be with the respective free zone that you wish to operate in.

If you prefer a mainland e commerce business, licensing process will be carried out with the Dubai Economic Department. Business setup specialists can help you acquire depending upon your specific needs.

Develop a business web site

This is one of the most important parts of your e commerce business. It is important to have a stable website, which is user friendly and has an excellent user interface.

For developing a website, you need to choose and register a domain name for the website,

Domain name is typically the name that you will use to register your company. It is important to have a unique domain name, one that is not taken up already and one that is easy to search and remember by the users. Speak to business consultants to know more about domain and trademark registration in UAE.

Set an online payment method

Another important requirement for starting a business online is the payment method.  You will be selling products online. The most preferable way is to also take the payment online. Although there are lot of business that have the upon delivery payment mode, which is also preferred by some customers. It is better to have a proper page available for payment along with few other options for payments.

Secure Ware housing and storage

This is applicable if a person is conducting business for consumer goods

Check the availability of long terms a short-term storage if it is necessary for your eCommerce business.

Read more: How to Get E-commerce License in Dubai Commercity

E commerce Business set up in UAE

If you are an investor looking for a profitable venture you can speak to our consultants.

The team of FAR Consulting Middle East has years of experience in business setup in UAE and have guided multiple business owners establish their presence of their business es in the region call us today set their business.

Is it legal to sell online in UAE?

The Dubai laws do not allow any random person to launch an ecommerce store and start selling products. If you want to set up an online business in Dubai you have to apply for an eCommerce license with the relevant free zone authority or Dubai Economic Department if it’s in UAE.

Do you require a physical office space for obtaining e commerce license in UAE?

This requirement is totally based upon the investor. But it’s not a necessity of. With flexi desk facility, you can have this license and products will be stored by suppliers.