In Sharjah, the Sharjah Economic Development Department (SEDD) issues mainland business licences, and choosing the right type is the first step of any setup. Here are the licence types SEDD publishes, the documents it lists, and the questions to ask before you apply.
The licence packages SEDD lists
SEDD’s home page (read 6 October 2026) describes a Business Setup Package with five formats:
| Licence | Purpose, per SEDD |
|---|---|
| Licence (industrial, professional and commercial) | For conducting activities from a physical premises |
| Instant licence | SEDD says it lets you start your business activity within one day |
| Electronic trading licence | For online trading without a physical premises |
| Accreditation (home-based) licence | To conduct multiple activities from home |
| Birq licence | A commercial licence designed for young UAE nationals |
(SEDD) Activities in each class vary: SEDD provides an activity finder to browse available activities and requirements.
Commercial, professional and industrial
- Commercial: trading activities.
- Professional: services based on a profession or skill.
- Industrial: manufacturing and related activities. SEDD’s FAQ names target industrial sectors such as pharmaceuticals and medical equipment, building materials, chemicals, plastics and rubber, agriculture and food, and machinery and equipment, and lists support services for industrial facilities.
Company forms and ownership
SEDD’s FAQ lists licence procedures for limited liability, general partnership and limited partnership companies, and for sole proprietorships. A commercial or industrial sole proprietorship may be owned by UAE or GCC nationals only. Ownership requirements for other forms depend on the activity. Ask SEDD or an adviser.
Documents SEDD lists for licensing
For limited liability, general and limited partnerships, SEDD’s FAQ lists items including a trade name certificate, passport and ID copies of local and, if required, foreign investors, residency approval, a no-objection letter where a foreign investor works in a government entity, court permission for minors, a technical evaluation report, a certified lease contract and title deed if required, and activity-specific approvals. Requirements for your case may differ.
Other things SEDD handles
SEDD’s FAQ also covers amendments (trade name, activity, partners), branch registration, cancellation and licence renewal. Costs for these vary; see Sharjah business setup cost.
Free zone licences are separate
Free zones issue their own licences.
How to choose
- Do you need premises, or customers visiting a physical location? If yes, a premises-based licence. If you only sell online, ask about an electronic trading licence.
- Do you need to start quickly? Ask SEDD whether the instant licence covers your activity and what conditions apply.
- Are you a small home-based professional? Ask whether the home-based accreditation licence covers your activities.
- Are you a young UAE national entrepreneur? Ask SEDD about the Birq licence.
- Do you manufacture? Ask about industrial licensing and any support for industrial facilities.
- Do you work in media or tech? Ask the relevant free zone authority about its licences.
Always confirm current requirements and fees directly with SEDD, and see Sharjah business setup cost.
Common pitfalls
- Choosing an activity that does not match what you actually do.
- Assuming a home-based or online licence covers all activities.
- Signing a lease before confirming your licence requirements.
- Forgetting activity-specific approvals.
Frequently asked questions
What licence do I need to open a shop in Sharjah?
A premises-based commercial licence from SEDD, with activity approvals where required.
Can I run an online business from home?
SEDD lists an electronic trading licence and a home-based accreditation licence; ask which fits your activity.
Can a foreigner own a sole proprietorship?
SEDD’s FAQ says UAE or GCC nationals only.
How long does licensing take?
SEDD says its instant licence lets you start your activity within one day. For other licences, timing depends on the activity, approvals and documents.
General information only, not legal or tax advice. Rules and fees change, so confirm with the relevant authority (such as SEDD, FTA or SRERD) or a licensed adviser before you act. Last checked: 6 October 2026.
Next step: Need premises that fit your licence?