Selling on Amazon in the UAE is one of the most attractive ways for entrepreneurs and brands to reach millions of customers. However, with the rapid growth of e-commerce and Amazon’s evolving policies, many sellers now face an important legal question: Do you need a license to sell on Amazon in the UAE? The short answer in 2026 is yes, a valid commercial license is required if you want to operate legally and grow your business long-term.
In this detailed guide, we’ll cover everything you need to know about licensing requirements for Amazon UAE sellers, how to stay compliant, and how this affects your business strategy. If you’re looking to scale your e-commerce presence or considering professional support, our marketplace management services and Amazon account management services can help you hit the ground running.
Why is Licensing Mandatory for Amazon UAE Sellers?
Amazon requires all UAE-based sellers to provide a valid commercial license when operating on its marketplace. Whether you sell physical products or use Fulfilled By Amazon (FBA), your account must be backed by a legally recognized business entity or trade license issued by a UAE authority.
Without a valid license:
- Amazon may eventually suspend or deactivate your seller account.
- You risk non-compliance with UAE business laws, which carry fines and legal consequences.
- You may lose access to Amazon services, including payouts and account support.
Starting January 1, 2026, Amazon UAE plans to enforce this requirement more strictly especially for accounts registered under individual profiles, meaning only licensed businesses will be allowed to operate.
This makes compliance not just a formality, but a business necessity if you want to grow your Amazon store, improve credibility, and avoid disruptions.
Types of Commercial Licenses Needed to Sell on Amazon UAE
1. Mainland License
A mainland commercial license, typically issued by a Department of Economic Development (DED) , allows you to operate anywhere in the UAE. This type of license is suitable for businesses with larger ambitions, including:
- Importing products
- Selling to customers across all Emirates
- Building a corporate presence
Requirements often include:
- Trade name reservation
- Ejari (lease agreement) for office address
- Local service agent for certain setups
A mainland license also makes it easier to get a UAE corporate bank account, which is essential for receiving Amazon payments.
2. Free Zone License
Many Amazon sellers prefer to start with a free zone license because it’s often more streamlined and cost-efficient.
Free zones like Meydan Free Zone, SHAMS, and SPC Free Zone allow:
- E-commerce or trading activities suitable for Amazon selling
- Full foreign ownership
- Faster setup times (sometimes under a week)
A free zone license usually includes e-commerce trade authority and can be enough to get your Amazon seller account running. Some free zones also offer support services like Amazon onboarding and logistics integration.
3. DED Trader License (E-Trader)
For small or home-based sellers, a DED Trader License also called an e-trader license can be an affordable way to begin. It’s available through portals like Dubai’s Invest Dubai platform and can be issued with minimal cost compared to full mainland or free zone licenses.
However, it’s important to note:
- Not all e-trader licenses cover e-commerce through marketplaces or importing goods.
- Some sellers report that Amazon requires the license activity to explicitly allow “e-commerce” to accept the license.
This means you need to choose the right activity codes and confirm with licensing authorities or professional setup services.
Step-by-Step: How to Get Licensed to Sell on Amazon UAE
Step 1: Choose Your Business Structure
Decide whether you want:
- A mainland LLC
- A free zone company
- A DED Trader license
This depends on your long-term goals and budget.
Step 2: Select Your Business Activity
When applying for your license, choose business activities that include:
- E-commerce
- Online trading
- Marketplace selling
This is critical because Amazon reviews your license activity against what's allowed on its platform.
Step 3: Submit Required Documents
Typical requirements include:
- Passport copy and Emirates ID (if resident)
- Rent agreement (Ejari) or flexi-desk agreement
- Business plan and company information
Once approved, your trade license will be issued.
Step 4: Register for Tax and Compliance
If your annual revenue exceeds AED 375,000, you must register for VAT. Even if below the threshold, having tax registration prepared strengthens your professional setup.
You might also need to comply with:
- Corporate tax requirements
- Customs and import documentation if you’re importing products
Step 5: Link Your License to Amazon Seller Central
Once you have your commercial license:
- Go to Seller Central → Account Settings
- Navigate to Identity Verification
- Upload your commercial trade license
- Wait for Amazon to verify (typically 48 hours to 7 days)
Can You Sell on Amazon UAE Without a License?
Technically, some individuals start selling with a basic seller account, but this is not legally compliant in the UAE if you earn revenue or sell products long term.
Amazon itself allows initial account setup without business verification in some cases, but if you don’t submit a commercial license:
- Your account may be flagged
- You could lose selling privileges after the deadlines
- UAE law considers unlicensed trading illegal
This enforcement is part of Amazon’s move to ensure that all e-commerce sellers meet legal and regulatory standards in the country.
If you’re not sure whether your current setup qualifies, it’s always safer to consult a business setup expert and secure the correct license before scaling your operations.
Other Legal and Compliance Considerations
VAT Registration
If you exceed AED 375,000 in annual sales, VAT registration is mandatory. This ensures compliance with UAE tax laws and helps avoid penalties.
Import and Product Regulations
Certain product categories (e.g., cosmetics, food, supplements) may require additional approvals or certifications from local authorities before they can be sold legally. This aligns with UAE regulations that protect consumer safety and quality standards.
Banking Requirements
To receive Amazon payouts, a UAE-based corporate bank account is typically necessary. Banks will require your license, Emirates ID, and other corporate documents to open these accounts.
Why This Matters for Your Business Growth
Having a valid commercial license is not just a compliance box — it’s a business foundation that allows you to:
- Build a credible brand
- Access Amazon programs like Buy with Prime or brand registry
- Expand into other marketplaces like Noon
- Get better logistics and fulfillment options
Conclusion
Yes, in 2026 and beyond, a commercial license is required to sell on Amazon UAE if you’re operating as a UAE-based seller. It’s not only about legal compliance but also about building a scalable, reputable, and professional e-commerce business that can grow long term.
Before you launch or scale your Amazon store, ensure you:
- Understand your licensing requirements
- Choose the right jurisdiction (mainland, free zone, or DED)
- Prepare for VAT and product regulations
- Link your license to your Amazon seller account
For more on how to start selling and scale your Amazon presence, check out our related blog on how to sell on Amazon and explore how ProCommerce can help you at every step.