Auto licence renewal gains pace
dubai — The auto renewal service for trade licences in Dubai is gaining popularity among investors as it registered 34 per cent growth in the first 10 months of 2018, latest data shows.
The service was launched by the Business Registration and Licensing (BRL) sector in Dubai’s Department of Economic Development (DED). Around 39,747 licences were updated using the auto renewal service during January-October 2018. The sector renewed 115,700 licences in total during the period, the DED said on Saturday.
Among the auto renewed licences, 74 per cent were commercial, 22 per cent professional and two per cent related to tourism and industrial.
The latest BRL report showed that the percentage of auto renewal transactions accounted for 46.9 per cent during Q2 of 2018 compared to 14.9 per cent in the first quarter.
“Business licences can be auto renewed in two simple steps and in less than two minutes,” said Abdulaziz bin Hathboor, director of customer relation division, BRL sector.
He said business owners can send a text message with their trade licence number to 6969 and they will receive a payment voucher. They can then complete the payment through any of the payment channels provided in the text message. Business owners can also log on to the Dubai DED website or download the DED Business App, which they can access as a onetime visitor only.
“The auto renewal service has helped business licence owners in Dubai in saving their time and effort and focus more on developing their business by leveraging the emirate’s advantages as a hub for competitive and sustainable growth,” said bin Hathboor.
Leading activities
According to the distribution of economic activities of auto renewed licences during the first 10 months, the top five activities for commercial licences were general trade followed by readymade clothing, perfume and cosmetics, watches and spare parts and gifts.
Moreover, the top five activities for professional licences were restaurant, men’s salon, selling snacks, cafe, and sewing and embroidery of women’s clothing.
The top five activities for tourism licences were internal tourism tour operator, travel and tourism agent, hotel, tourism trips, and rental of hotel apartments, while the top five activities for industrial licences were metal repair for buildings, turnery workshop, home furniture, office furniture, and industry furniture and kitchen installations.
Jitendra Gianchandani, chairman and managing partner, Jitendra Consulting Group, said the two-step auto renewal of business licence, launched in 2015, is very efficient and time-saving and requires sending an SMS (6969) to the DED, if the tenancy contract is renewed and attested by the DLD.
“More than 40 per cent growth in auto renewal shows Dubai’s continuous efforts to improve its business environment have borne fruit. Dubai has improved its overall ranking from 21 to 11 in the ‘Ease of doing business’ report 2018 issued by the World Bank. Owners can renew their trade licence while travelling and by paying electronically,” Gianchandani told Khaleej Times. The DED offers a number of payment channels for transactions related to auto renewals, such as online through eServices, the DED business app and e-dirham G2, or cash and check payments through authorised banks and outsourced service centres. Direct debit from the licence owner’s account through participating banks is also an option.
“Auto renewal has proven to be of immense value to business in Dubai while also expediting the transformation of Duba into a smart city. It’s a great addition that not only adds to the competitiveness of Dubai but is also aimed at promoting happiness across all communities in Dubai,” noted bin Hathboor.
The auto renewal service allows business licence owners to renew their licences for more than one year and a maximum of four years provided the lease is valid. If the licence renewal is for more than one year, the number of years must be added in the text message, e.g. licence number — number of years. Further, the location of the company must be the same as the previous year.
Business licences can be auto renewed in two simple steps and in less than two minutes Abdulaziz bin Hathboor, director of customer relation, BRL sector, DED