How to set up a transport business in the UAE?

How to set up a transport business in the UAE?

The UAE is an international transit hub for several countries. The strategic location and diverse business environment elevated the logistics system to combine various modes of transport from different continents. Since UAE has a constantly thriving economy, business setup in Dubai is a dream for several investors worldwide. More than 20,000 companies start every year in the UAE. The business-friendly government and visa regulations encourage foreign nationals to set up a dream company.?


Transport is a promising and profitable business sector in the UAE. Transportation is highly demanding in Emirates like Dubai, Abu Dhabi, etc. Transport companies cater to small and large businesses with storage and shipping needs. In a transport business, you can store products, repack, and deliver worldwide.?


The transport company is essential in many parts of the supply chain. In such a scenario, starting a transport business is a lucrative business idea.?


If you have plans to start a transport business, read the below steps


How to start a transport business in Dubai?


As mentioned above, transportation is increasing in Dubai and creates a massive demand for transport companies.?


Below listed are the necessary steps to start a transport business,?


  • Partner with an expert


Before commencing your business setup process, partner with Flybiz business setup company. A transport company in the UAE should follow strict business structure and formation regulations.? Flybiz business setup consultants handle all the company setup processes. We help you obtain the transport company operating license. Additionally, we guide you through various legal paperwork to start your company in the UAE.?


  • Business structure is crucial


A business structure is crucial for your business setup in the UAE. Dubai is popular for its free zones. Free zones are economic zones dedicated to specific industries. Additionally, they offer tax benefits, unique authority, and other support services. The free zone offers specific licenses to investors. In addition, businesses get access to amazing infrastructure, logistics, professional workers, and a good volume of customers for transportation services.


  • Select the company type


Transport is not a single business, there are different variations and you can choose the best option.?


Some of the transport business options are,?


  1. Car rental company
  2. Passenger transport
  3. Motorcycle rental company
  4. Luxury vehicle transport
  5. Petroleum transport
  6. Light trucks cargo transport
  7. Heavy trucks cargo transport
  8. Water transport service
  9. Refrigerated transport


Additionally, you have to mention the business operation area and confirm the activity on the DED list. If you don’t list the business activities accurately, it may result in chaos.?


  • Register your company name


The Flybiz business setup team helps you choose the company name. According to the UAE naming conventions, avoid using offensive language or references to Allah or Islam. You can use your name but include your full name instead of initials or surname. We help you check whether the name is available to register.?


  • Notarize the documents


Our business setup consultants process the visa application and company documents. Our agents aid in the notarization of your company documents. We can start the notarization process only after getting approval for the company name. You have to submit the MOA or Memorandum of Association and AOA or Articles of Association with the DED.?


  • Apply for the business license


To start a transportation business, initially apply for a commercial license and move on to the transportation license. The licenses are given by two different government agencies. You have to apply for the commercial license at the DED or Department of Economic Development, whereas the National transport authority issues the transport company license.?


You have to submit the application form, business plan, and the following documents,


  1. ID proof of shareholders and directors
  2. Copy of passports of directors and shareholders
  3. Trade name confirmation copy from the registry office
  4. Commercial license copy
  5. Cities management agencies' initial activity approval
  6. Notarized MOA
  7. Notarized AOA
  8. Lease or property agreement copy of the company
  9. Trade license payment ( for each passenger vehicle, you have to pay AED 100 and additionally, AED 5 for a single passenger seat. To transport commercial goods, you should make a payment of AED 100 along with AED 10 for every ton of gross weight.)


  • Business License


Once you complete all the above steps, finally, the National transport authority issues the business license. The process takes almost 2 weeks but after the covid-19 pandemic, it may take up to 4 weeks.?


How to grow your transport business in Dubai?


Although the transport business is profitable in Dubai, you need a robust plan for execution and flexibility to adapt to trending market conditions.?


Few suggestions to expand your transport company,


  • Market research


The transport business has a lot of competitors in the country. So, you need a perfect business plan based on the research niche. Additionally, you have to finalize the USP. To increase the business reach conduct competitor analysis, do research, figure out the target audience, and track business trends.?


  • Build a fleet


A good fleet of vehicles will enhance your transport business. It’s significant to lease or purchase the vehicles you want for your business. It can be buses, taxis, or limos. Furthermore, the vehicles should meet the industry standards. Moreover, keep it comfortable for people or make room for goods.?


  • Skilled drivers


Drivers are the backbone of a transport business. So, you need professional and expert drivers with valid driving licenses in the UAE. A skilled driver is an asset to grow your business in Dubai.?


  • Improve digital presence



You need better brand awareness in this digital world. It’s better to have a fully-functional website describing your transport services. Additionally, start a social media page to boost online traffic. A mobile app is also a good choice where clients can directly book your transport services.


  • Good customer service


A transport business completely depends on customers. So, if you provide good customer service, your customers come back for more services. Good customer service make a huge difference in your transport business.?



Start your transport business with Flybiz consultants


The transport business is profitable and sustainable in the UAE. Although, the government has simplified the company setup and transport license process. Flybiz can help you speed up the process. With in-depth knowledge, we accomplish the legal requirements.?


Flybiz offers exceptional service to entrepreneurs seeking to set up their transport business in the UAE. Our company formation experts consistently work with your team to launch the business. Reach out for expert business setup services in the UAE! Drop a mail, we’ll get back to you at the earliest.?




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