E Commerce License in SHAMS Simplified! Read this and Save Your Time & Money.

17Jun, 23

E Commerce License in SHAMS Simplified! Read this and Save Your Time & Money.

SHAMS (Sharjah Media City Freezone) was founded in 2017 and is located near Dubai in the Emirate of Sharjah. SHAMS Freezone is one of the United Arab Emirates' newest and most modern free trade zones, with a strategic position to boot. It provides ideal framework conditions and state-of-the-art infrastructure for start-ups in creative fields, the Internet, media, services, and modern consulting firms as a media-free zone. Holding companies can now be formed under modern regulations. For foreigners, forming a free trade corporation in Sharjah is simple.

The sophisticated infrastructure of Sharjah Media City, as well as its strategic location in the United Arab Emirates, distinguish it. SHAMS was established as a modern free zone across a wide range of businesses, despite its origins as a media free zone. Sharjah Media City is one of the favorite free trade zones for young entrepreneurs and start-ups who wish to enter the region fast and easily, not least because of the much reduced prices compared to adjacent Dubai.

Thus in this Blog, Dhanguard will extensively discuss how you can get an E Commerce License in SHAMS along with why this is the right time to start your E Commerce Business in SHAMS. So without any further ado, let’s begin.

Why is this the right time to Start your E Commerce Business in SHAMS?

In the United Arab Emirates, Online Shopping is becoming more Popular

Many people in the UAE are switching from traditional purchasing modes to online buying, indicating the country's E commerce enterprises' viability.

Consumers' daily lives have become increasingly reliant on online buying. According to research, online purchasing in the Middle East has increased by 1500 percent in the last decade. The increased number of online customers has resulted in an increase in e-commerce enterprises that can quickly capitalize on this trend.

Impact of a Pandemic on E-Commerce:

People are increasingly turning to internet shopping from the comfort and safety of their homes, as a result of numerous lockdown restrictions around the UAE and the closure of shops and retail malls. Because most individuals work from home these days, they have more time to purchase online.

There has been a large rise in online grocery orders, with at least 10-15 times the normal volume. As a result, there has never been a better time for e-commerce companies to reach out to a highly engaged online audience.

The Rise of Tech-Savvy Consumers

Tech-savvy consumers are increasingly shopping online for personal or professional purposes. Experts predict that by 2040, 95% of all purchases will be made online.

Consumers are learning to make the appropriate purchasing selection through a succession of online interactions, and there is a rising awareness. They conduct online research, educate themselves, share facts, confirm their friend's decision, and finally make a decision.

For e-commerce enterprises, the growing share of tech-savvy customers is a crucial source of growth.

Deep Preference for Local UAE Websites: 

An incredible number of people in the region choose to shop online from local UAE-based websites over foreign-based platforms. This choice shows that local UAE websites, which compete with global e-commerce behemoths such as Amazon and Alibaba, have enormous growth potential.

The Emergence of Online Retail and E Commerce Companies

In the United Arab Emirates, there are currently over 100 excellent shopping websites and applications. Dubizzle (dubbed "Amazon of the Middle East") and SOUQ, two e-commerce sites started in 2005, are currently valued at more than USD 1 billion apiece.

With such promising growth potential, the e-commerce market provides several new entrepreneurs with the option to begin their own e-commerce businesses.

UAE Government Support

The UAE government plays an important role in supporting online transactions between businesses and consumers by developing cashless payment options for a variety of goods and government services.

Online Services: The UAE government has made major efforts to promote itself as an e-commerce powerhouse by providing basic online services that are comparable to those provided by some of the top European Union countries.

Investor-Friendly Government Policies: To establish a free zone company, the UAE government offers a number of advantages, including no personal income or corporation tax, 100 percent business ownership, 100 percent repatriation of business profits, and low customs charges.

Read More: Getting E Commerce License in AJMAN Simplified! Read now and Get Yours

How to get an E Commerce License in SHAMS?

Below mentioned is the step by step process to obtain your E commerce License in SHAMS-

Decide on a Jurisdiction

In the United Arab Emirates, there are two common options: free zones or the mainland. If you choose to do business on the mainland, the Department of Economic Development will offer you an E commerce license in any emirate (DED). The portal license is issued by the applicable freezone authorities if you choose the freezone.

Make a Decision about your Legal Structure.

It might be a sole proprietorship, a limited liability company, a civil company, a branch, or a representative office. The most common legal business entity chosen by entrepreneurs and business leaders new to the market is the Limited Liability Company.

Obtain a Trademark Registration

The DED requires you to reserve your trade name and get an initial approval certificate. Because you're running an e-commerce firm, it's best if your trade name or company name is simple to remember. The emirates have a set of name rules that are unfamiliar to those outside the region. When naming your company in the UAE, keep in mind that it cannot contain any offensive or blasphemous terminology. If you want your name to appear in the company name, you must spell it out completely, not simply your surname or initials.

Make an Application for an E Commerce License.

Whether you choose a freezone or a mainland arrangement, the process for your E commerce application will be different. If you want to start a business in a freezone, you can apply to the freezone directly. If you desire to establish a business on the mainland, you need to apply to the municipality or Department of Economic Development in the emirate where you want to do business. Along with your completed application form, you will be asked to submit some basic evidence, such as passport copies in both circumstances.

The required documents are stated below:

  • Copies of the shareholder's passports and visas

  • A copy of the sponsor's emirates identification card

  • Civil Works Agreement/Local Service Agreement

  • Certificate from the relevant authority stating that there are no objections (NOC)

  • A well drafted Memorandum of Association

Make a Visa Application

You can now apply for UAE residency visas for yourself and your employees once your license application is complete. The number of visas you can apply for is determined by the size of your company and the location in which it will be established. When it comes to applying for visas for dependents, such as domestic workers, spouses, or children, the process is just as simple, as long as you match the eligibility requirements.

Start a Corporate Bank Account

The last step before beginning to trade in the UAE is to open a corporate bank account. For foreign business owners in the UAE, this isn't always straightforward. While there are many local and international banks to select from in the UAE, each has its own set of application and acceptance criteria, making it difficult to navigate.


If you believe that obtaining a SHAMS E Commerce license is difficult and time consuming, having qualified counsel on your side can be incredibly beneficial. You can get a head start and receive all the approvals faster if we provide you with all the information you need about the procedure and regulatory requirements.

You must supply the correct documentation to obtain an E commerce license in SHAMS, and any errors will result in immediate denial. So, while these procedures will make the process much easier for you, you should consider hiring a professional to provide proper direction and assistance throughout the process.

Thus, we hope this blog provided you with insightful information. For more information on other related aspects, feel free to check out our website as well or get in touch with our Experts by visiting our Branch Office.