Dubai’s vibrant landscape is shaped not only by its iconic architecture and global vision but also by the strong, enduring threads of commerce that drive its economy. The UAE’s textile industry is a multi-billion dollar market, fueled by a dynamic local population, a constant influx of tourists, and its strategic position as a global re-export hub. For savvy investors and entrepreneurs, the question isn’t if the textile market is lucrative, but how to claim a piece of it.
Thinking of launching your textile business in Dubai? You’re exactly where you need to be. At Best Solution a business setup consultancy in Dubai, UAE, we specialize in transforming entrepreneurial vision into operational reality. We’ll walk you through every stage of how to start a textile business in Dubai, ensuring a seamless, compliant, and stress-free launch
Why Textile Business in Dubai
Dubai has emerged as a key player in the global textile industry, with the UAE’s textile market valued in the billions and growing steadily each year. Dubai serves as a major re-export hub for fabrics and garments, exporting textiles to over 50 countries and attracting global brands looking to tap into markets across the Middle East, Africa, and Asia. Dubai’s textile sector is booming—the UAE market is projected to grow from USD 15.1 billion in 2024 to USD 20.9 billion by 2029. With strong government support, modern trade facilities, and regular international textile exhibitions, Dubai offers unmatched opportunities for growth and global reach in the textile sector.
Step-by-Step Guide to Start a Textile Business in Dubai
Starting a garment business setup can be a smooth journey with the right guidance. This step-by-step guide covers everything you need—from choosing the right business structure and obtaining a trade license to meeting legal requirements.
Step 1: Define Your Business Activities
You must clearly define your business activities from the approved list provided by the Department of Economy & Tourism in Dubai(DET) or the relevant free zone authority. This could include “Textile Trading,” “Garments Trading,” “Ready-made Garments Trading,” or even “Textile Manufacturing.” This choice will be on your license and dictates your legal operational scope.
Step 2: Choose and Register Your Company Name
Selecting a name for your business is more than just branding — it’s a legal requirement. Your trade name must be unique and follow the UAE’s naming rules, which means avoiding offensive terms or religious references. As part of the trade name registration service in Dubai, we ensure your chosen names meet the criteria, check their availability, and take care of the reservation process for you, making this step seamless and hassle-free.
Step 3: Select the Right Jurisdiction
The next crucial step is selecting the right jurisdiction — Mainland or Free Zone — for your textile venture. If you’re planning to focus on manufacturing, importing, or wholesaling garments, Dubai Textile City in the Ras Al Khor Free Zone is a strategic hub dedicated to textile and apparel businesses. It offers industry-focused infrastructure, cost advantages, and a supportive ecosystem. On the other hand, if you want the flexibility to trade across Dubai and the wider UAE, a mainland company setup may be ideal.
Step 4: Select the Legal Structure
Choosing the right legal structure is crucial when setting up your textile business in Dubai. You can opt for an LLC if there are multiple shareholders or a Sole Proprietorship for single ownership. Both mainland and free zones allow different structures, each tied to your business license type.
Step 5: Secure Your Initial Approval
This is a no-objection certificate from the authorities stating they approve of you establishing the business. We will compile and submit the required documents, including passport copies of the shareholders and the application form, to get this crucial first green light.
Step 6: Draft and Attest Your MOA/LSA
For a mainland company, a Memorandum of Association (MOA) is required, outlining the ownership structure and business objectives. This document must be drafted in both English and Arabic and notarized. For a sole proprietorship, a Local Service Agent (LSA) agreement may be needed. We handle the drafting and attestation to ensure full legal compliance.
Step 8: Find Your Physical Space (Office, Warehouse, or Retail)
All businesses in Dubai,UAE require a physical address. This could be a retail shop, a warehouse for storage and distribution, or a flexible desk space. You must provide a tenancy contract (Ejari) to the authorities. Best Solution offers expert assistance with office space and flexi desk arrangements in Dubai, UAE helping you secure a cost-effective and compliant workspace tailored to your business needs.”
Step 9: Obtain Your Textile Trading License
With all the above documents in place, we will submit the final application to the DET or free zone authority. Upon payment of the fees, your textile trading license in Dubai, UAE will be issued.
Step 10: Apply for Visas
Once the license is issued, you can apply for your investor visa and any employee visas. We recommend applying for your employees’ entry permits at least 30 days in advance to avoid delays. Early processing ensures a smooth transition, timely immigration clearance, and stress-free employee onboarding. Learn more about our visa services in Dubai, UAE and how we simplify this for you.
Step 11: Open a Corporate Bank Account
The final, critical step is opening a corporate bank account in Dubai, UAE. This can be challenging, but our strong relationships with leading UAE banks ensure a smooth and swift process.
Cost to Start a Textile Business in Dubai
The cost of starting a textile business in Dubai varies based on several factors, including the type of business license, chosen jurisdiction (mainland or free zone), office space or flexi desk, trade name registration, and legal structure. Each element directly impacts your total company setup cost. For accurate planning and cost-effective decisions, it’s best to consult a reputed business setup advisory in Dubai like Best Solution, which offers expert guidance tailored to your goals.
Essential Documents required for textile business in Dubai, UAE
- Initial Approval Certificate from the licensing authority
- Trade Name Registration Certificate
- Passport copies of the investor and all shareholders
- Visa copies of all business partners (if applicable)
- UAE residence visa copy (for residents) or passport copy (for visitors)
- Attested Memorandum of Association (MOA) or Local Service Agent (LSA) agreement
- Ejari certificate or lease agreement as proof of a valid business address (shop, office, or flexi-desk)
- UAE ID copies (for UAE nationals involved in the business)
- Approval from relevant textile departments for manufacturing, wholesale, or trading activities
- No Objection Certificate (NOC) from current sponsor (if applicable for UAE residents)
- Business activity approval aligned with your textile license (e.g., garments trading, textile manufacturing)
Having these documents ready streamlines your company registration process and ensures full legal compliance in both mainland and free zone jurisdictions.
How Best Solution help you to Set Up a Textile Business in Dubai
Obtaining your business license in Dubai is only the first milestone—lasting success depends on what comes next. From securing a resilient supply chain and streamlining import/export logistics to navigating customs clearance in both mainland and free zone jurisdictions, every phase of your textile business demands specialised guidance.
As an experienced business setup consultant in Dubai, UAE, Best Solution goes far beyond licensing: we connect you with vetted suppliers, manufacturers, and logistics partners worldwide, advise on customs codes, VAT, and documentation, and optimize costs at each step. We’re also here to support you whenever confusion arises—whether it’s a trade‑license renewal, visa processing, corporate banking, or ongoing regulatory compliance. With our end‑to‑end expertise, you can focus on growth while we handle the operational details of your Dubai business journey.
Partner with the Experts for a Seamless Launch
Starting a textile business in Dubai offers incredible potential—but navigating the business setup process requires local expertise and strategic planning. From selecting the right legal structure and obtaining your trade license to managing customs, compliance, and operations, every step plays a crucial role in your success.
That’s where Best Solution, a well-known and experienced company setup advisory in Dubai, UAE, makes all the difference. As our CEO, Essa Al Harthi, often advises clients, “Your focus should be on your business, not on bureaucracy. Our job is to clear the path for your success.” With deep market knowledge and end-to-end support, we simplify your journey—ensuring your company formation in Dubai is smooth, cost-effective, and fully compliant.
Let Best Solution be your trusted partner in launching and growing your textile venture in the UAE. Ready to begin? Get in touch with Best Solution today for expert guidance and a customized business setup strategy designed to match your goals.
Frequently Asked Questions
Can a foreigner 100% own a textile business in Dubai?
Yes. As of recent reforms, 100% foreign ownership is allowed for most activities on the Dubai mainland. It has always been a standard feature of free zone companies.
What is the cheapest way to start a textile business in Dubai?
Generally, a free zone setup with a flexi-desk package is the most cost-effective way to get a license and visa. However, this may limit your ability to trade directly in the local market, so the “best” option depends on your business model.
Do I need a physical office to get a textile license?
Yes, a physical address is mandatory for all businesses in the UAE. This can range from a minimum-cost flexi-desk in a free zone to a large warehouse or retail shop on the mainland. Your tenancy contract (Ejari) is a key document for licensing.
How long does it take to get a textile trading license in Dubai?
With all documents correctly prepared, the process can be very fast. Best Solution can facilitate the issuance of your license in as little as two business days.
Disclaimer : This guide provides a general information . Regulations and costs may change time to time based on government rules, so consult the best solution’s professional Business Setup consultants for the latest updates. Refer to the glossary for definitions of key terms which is mentioned in this article. Refer to the glossary for definitions of key terms. Refer to the glossary for definitions of key terms.
