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Alghad License Terms

Stemming from the Department of Economic Development's keenness on encouraging citizens on engaging in commercial activity, the DED introduced a new type of license authorizing their holders to practice commercial activity from their homes; provided the Commercial Affairs Administration scrutinizes and evaluates each application individually.


Objectives of License:

  1. Making way for citizens of both genders to engage in commercial activity.
  2. Minimizing expenses borne by license holders since the license does not require a specific store for practicing commercial activity, but allows its holders to conduct business from the comfort of their homes.
  3. Limiting commercial practices by individual or persons without a proper license. 


General Provisions:

  1. Licenses are exclusive to UAE citizens.
  2. License holders must be at least 21 years of age.
  3. The home from which the business activity shall be practiced must be located within the borders of the Emirate.  
  4. The license does not permit the bringing of labour from within or beyond the Emirate.
  5. The business activity must be legitimate.
  6. It is permissible for license holders to place a commercial sign outside their homes provided its dimensions are no larger than 30 x 30 centimeters.
  7. Trading in materials impacting public health and/ or safety is prohibited.
  8. Commitment to working hours decided by the DED.
  9. The activity must pose no detriment whatsoever to neighbors: 
    1. Not cause crowding or overcrowding in front of the home.
    2. The activity must not be noisy or result in smoke, dust or odor (smell/ stench/ stink/ scent) emissions.
    3. The activity must not result in increasing garbage and waste in the neighborhood.
    4. License holders must not store goods inside or in front of their homes.
    5. License holders must not deal in hazardous, toxic or flammable materials.
    6. Sheltering animals in the home for any purpose is strictly prohibited.
    7. Practicing the activity must not result in crowding in public spaces the neighborhood.
    8. Practicing the activity must not result in large numbers of frequenters visiting the home in order not to violate neighbors' sanctity.
  10. License period valid for one year (renewable).
  11. The license holders must be the owner of the home or one of its residents.
  12. The maximum number of licenses per home is capped at two licenses.
  13. The license fee is set at AED 100 per annum.

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