How to start an online store in the UAE: a step-by-step guide

You need four things to sell online in the UAE: a product people want, a license, a store that takes payments, and a way to deliver. This guide shows how to start an online store in the UAE step by step, with real costs in AED.

At the time of writing (October 2026), a home-based license costs about AED 1,115–1,370, if you qualify for one. The store is the cost that varies most. If you build it yourself on a ready-made platform such as Shopify, your fixed costs for year one come to about AED 2,500–3,000. That covers the license, Shopify's Basic plan paid yearly with VAT, and a domain name. A custom store built for you costs more to build, but there is no monthly platform plan and no platform fee on each sale. Payment fees, delivery and marketing come on top.

How to start an online store in the UAE: the 10 steps at a glance

1. Choose what to sell and check demand.
2. Get the right license for selling online.
3. Open a business bank account.
4. Choose where to sell, and how to build your store.
5. Get a domain name.
6. Build your store in Arabic and English.
7. Set up payments.
8. Set up delivery.
9. Sort out VAT, policies and privacy.
10. Launch and find your first customers.

Steps 2, 3 and 7 need approval from authorities, banks or payment providers. Start them early, and build your store while you wait.

Step 1: Choose what to sell and check demand

Before you buy stock, check three things.

• Demand: Search Google, Instagram and TikTok for your product with "UAE" or "Dubai". Look at similar products on Amazon.ae and Noon, and read the bad reviews. Each common complaint is a gap you could fill.
• Margin: Work out what is left after product cost, packaging, delivery, payment fees and VAT (once you are registered). Say you sell a candle for AED 105 including VAT: AED 5 is VAT, so you keep AED 100. If the candle and box cost AED 40, and delivery and fees take AED 25, you have AED 35 left for marketing and profit.
• Rules for your product: In Dubai, cosmetics, perfumes and personal care products usually need registering with Dubai Municipality (its Montaji system) before sale. Other emirates have their own rules. Food made at home, medicines, supplements, e-cigarettes and some electronics also have extra rules, so check with the authority first.

We usually advise a small first range: you learn faster and tie up less cash. We also have guides on how to start a perfume business online or an abaya business online, and on dropshipping in the UAE.

Step 2: Get the right e-commerce license

UAE rules expect anyone who sells online to hold a license that covers e-commerce. The main law is Federal Decree-Law No. 14 of 2023, on trading by modern technological means.

Which license fits depends on your nationality, your emirate and whether you work from home.

The home-based licenses cost least but have limits. An eTrader license allows one owner and no physical shop, and Eitimad holders cannot hire staff.

Mainland licenses come from your emirate's economic department. Free zones are business areas with their own authorities, and their companies usually need extra steps to sell to customers elsewhere in the UAE.

If you are an expat and want to start an online business in Dubai, the official eTrader wording does not cover you. Ask the Department of Economy and Tourism (DET) about newer options, but plan for a mainland or free zone license. Abu Dhabi says Tajer is open to residents too: confirm on TAMM, its government services platform.

If you already have a shop, ask your licensing authority about adding an e-commerce activity to your current license. See how to take your shop online in the UAE.

Compare every route in our guide to choosing an e-commerce license in the UAE, or read the Dubai eTrader license guide. The official overview is on the UAE government's e-commerce page.

Step 3: Open a business bank account

Payment providers, Tabby and Tamara pay your money into a bank account, so the business needs one. A separate account also keeps your records clean for VAT and Corporate Tax.

Each bank sets its own requirements and fees, so compare two or three. Open the account in AED and in your business's name: payment providers usually ask for a UAE bank account in the business's name.

Also ask each payment provider how often it pays out, because that decides how fast you can restock. Tabby, for example, pays out weekly.

Step 4: Choose where to sell and how to build your store

There are four main ways to sell online in the UAE. Many brands use more than one.

• Marketplaces such as Amazon.ae and Noon: Shoppers are already there, but you pay a referral fee (a commission) on each sale, set by category. On Amazon.ae, for example, apparel is listed at 15%, so check the current fee tables. This suits testing demand, and reaching people who already shop there.
• Instagram or WhatsApp only: Free to start, but there is no checkout. Orders get lost in chats, and your business depends on one account. This suits testing an idea with a few orders a week.
• A do-it-yourself store on a ready-made platform: You build the store from a design template (a theme) and add features with apps or plugins. Shopify includes hosting and security in its monthly fee. WooCommerce is a free WordPress plugin, but you pay for hosting, a theme, extensions and upkeep (updates, backups and security). This suits simple stores and small budgets, if you have time to learn the settings.
• A custom store built for you: It is designed and built from scratch around how your business works. There is no monthly platform plan and no platform fee on each sale, but it usually costs more to build, and someone has to host it and look after it. This suits businesses with needs a template or app cannot meet.

Your own store, however it is built, lets you set the prices, keep the customer list and pay no commission, only payment fees. The catch: you must bring the visitors yourself.

We usually advise your own store as the base, with Instagram and marketplaces bringing in new people. Compare fees in Amazon, Noon or your own online store.

We build custom stores, so we are not neutral here. A platform store is a good fit for many simple stores. A custom store makes sense when you need features a template or app cannot give you, want no platform fee on each sale, or want full control. Compare them in Shopify, WooCommerce or a custom store, or see who needs a custom online store. Moving from another platform? Read how to move your online store without losing sales.

Step 5: Get a domain name

Your domain name is your web address, such as yourbrand.com or yourbrand.ae. Choose one that is short, easy to spell and easy to say on the phone. Ideally, match your Instagram name.

• A .com address: No paperwork, and it works everywhere. It suits you if you plan to sell across the GCC later.
• A .ae address: It shows customers you are a UAE business. The .ae Domain Administration (aeDA) runs it under the TDRA (the UAE's telecoms regulator). Registrars may ask for documents such as a trade license.

You pay a small yearly fee to the domain provider. You then connect it to your store through its DNS settings (where your web address points).

Step 6: Build your store in Arabic and English

Design for the phone first. That is where people land when they tap your link on Instagram or WhatsApp.

Design, products and photos

On a platform, start from a clean, fast theme (a design template), then add your logo, colours and fonts. A custom store is designed for your brand from the start: share your logo, colours and a few stores you like with whoever builds it. Before launch, add pages for About, Contact (with your WhatsApp number), delivery, returns, privacy and common questions.

For each product, write a clear title, set options such as size and colour, and show the price including VAT if you are registered. In the description, answer the questions people ask in DMs: material, size, care and delivery time. Use bright, sharp photos from several angles, plus one of the product in use.

Arabic and English

UAE rules generally expect product information and invoices in Arabic, alongside any other language. Check what applies to your products.

Arabic reads from right to left, so the whole layout must flip. On a platform, check that your theme supports right-to-left text before you choose it. On a custom store, ask for both languages to be designed from the start. Either way, use machine translation only as a first draft, and have a native speaker check the Arabic. See our guide to building an Arabic and English online store.

This is the part our Website package covers. We design and build your store from scratch for your brand, in Arabic and English, add your products, and set up payments and delivery. It also includes 8 custom features you choose, such as a size guide or gift wrapping.

Step 7: Set up payments

UAE shoppers expect cards, Apple Pay, buy now pay later and cash on delivery.

Cards and Apple Pay

A payment gateway is the service that takes card payments for you and sends the money to your bank. UAE options include Tap Payments, Checkout.com, Telr, Network International, Amazon Payment Services, PayTabs, Mamo, Ziina and Stripe. Before you sign, check that the one you choose offers Apple Pay on your store.

How it connects depends on how your store is built. On a custom store, your developer connects the provider you choose through its API (a link that lets two systems pass orders and payments to each other), and you pay only the provider's fees. On a ready-made platform, you choose from providers that connect to it. At the time of writing, Shopify also adds 2% to each sale on its Basic plan when you use a third-party provider. Compare providers and fees in our guide to payment gateways in the UAE.

Tabby and Tamara

Tabby and Tamara let shoppers split the price with no interest. Tabby splits it into 4 payments, and Tamara into 2 to 4, or up to 6. You get paid upfront, minus a fee agreed in your contract. With Tabby, you carry no risk if the shopper does not pay. Apply to each as a merchant, then connect them to your checkout, as you would a payment provider. See how Tabby and Tamara work for online stores.

Cash on delivery

You can offer cash on delivery (COD) as a way to pay at checkout, and many UAE couriers collect the cash for you. COD has fallen sharply but is still widely offered. A 2024 Checkout.com report on the Middle East and North Africa found the share of shoppers who prefer it halved, from 41% to 20%, over four years.

The risk is refused parcels: you usually pay for the delivery and make no sale. Confirm each COD order by WhatsApp before you send it, and see our guide to cash on delivery in the UAE for more fixes.

Step 8: Set up delivery across the UAE

Next-day delivery is common in the UAE, and same-day is available in the main cities. You have four ways to deliver.

• Deliver yourself: Fine for a few local orders, but hard to grow.
• Use a courier: Quiqup and Jeebly offer same-day and next-day delivery. Aramex offers domestic express delivery, and Emirates Post (EMX) next-day delivery to all emirates. iMile, founded in Dubai, is another option. DHL Express is mainly for orders going abroad.
• Use a multi-courier service: One dashboard for several couriers, such as OTO, Waslio, Shipforless or swftbox.
• Use a fulfilment company: It stores your stock, packs your orders and ships them. Quiqup offers this too.

Courier prices depend on weight, speed, area and volume, so get quotes from three. Ask how often they pay out the cash they collect on delivery. Also ask whether they can be connected to your store, so orders and tracking pass between you without retyping.

In your store's settings, set delivery prices per area, such as one price for Dubai and another for other emirates. Set a free-delivery threshold a little above your typical order, and show delivery times on product pages. Our guide to delivery companies for online stores in the UAE compares the options.

Step 9: Sort out VAT, policies and privacy

VAT and Corporate Tax

UAE VAT is 5%. You must register when your taxable sales plus imports go over AED 375,000 in the last 12 months, or will go over it in the next 30 days. You may register by choice once you pass AED 187,500. Apply within 30 days of having to register, on the Federal Tax Authority's VAT registration page.

Once registered, the prices you show shoppers must include VAT. A dress priced at AED 210 includes AED 10 of VAT. Set your store to show prices with VAT included, so the price on the page matches the checkout.

Corporate Tax is 0% on taxable income up to AED 375,000 and 9% above it. Businesses with revenue of AED 3 million or less can choose Small Business Relief, which treats them as having no taxable income. If you trade as an individual, Corporate Tax applies only above AED 1 million of business turnover in a calendar year. Our VAT guide for online stores covers invoices and filing.

Return and privacy policies

Write a clear return and refund policy, and show it before people buy. The UAE's consumer protection law (Federal Law No. 15 of 2020) gives shoppers rights when goods are faulty or not as described. Decide your return window, which items cannot be returned, and who pays for return delivery. Start from our return and refund policy template.

For privacy, the UAE's data protection law is Federal Decree-Law No. 45 of 2021. Collect only the data you need, keep it secure and use it only for the reason you collected it. Ask permission before you send marketing messages, and publish a privacy policy.

Step 10: Launch and get your first customers

Before you go live, place real test orders with each payment method, then refund one. Check every page on your phone. Our online store launch checklist covers 40 checks.

Then launch in stages.

1. Soft launch: Tell friends, family and followers first, and ask for honest feedback and your first reviews.
2. Instagram: Put your store link in your bio (Instagram allows up to five links) and add product links to your stories.
3. WhatsApp: Use the free WhatsApp Business app. WhatsApp does not take payments for you in the UAE, so send a payment link from your store.
4. Google: Add your store to Google Search Console, Google's free tool for site owners. Then add your products to Google Merchant Center, to show them in Google's Shopping results.
5. Creators: If you pay influencers, ask whether they hold the permit the UAE Media Council requires.

Time your launch before a busy season, not during it. White Friday (Amazon.ae) and Yellow Friday (Noon) usually fall in the last ten days or so of November. Black Friday is on 27 November 2026, and Ramadan 2027 is expected to begin around 8 February 2027. See our guides to getting your first customers and the UAE sales calendar.

How long does it take, and what does it cost?

Timing depends mostly on approvals and on how ready your products are. The Tajer Abu Dhabi license takes about 10 working days to process, and banks and payment providers set their own timelines. If your photos and product texts are ready, a small do-it-yourself store can often be set up in a few weeks. If someone builds your store for you, ask for the timeline in writing before you start.

Building the store is the cost that varies most. If you hire help, first read how to choose an e-commerce agency in the UAE.

Every route also has running costs.

• License: About AED 1,115 for Tajer Abu Dhabi (3 years) or AED 1,370 for eTrader (usually yearly). Mainland and free zone licenses cost more.
• Platform plan, if you do it yourself: From about AED 107 a month on Shopify's Basic plan paid yearly, or AED 143 paid monthly, and expect VAT on the bill. A custom store has no platform plan.
• Domain name: A small yearly fee.
• Payment fees: A percentage plus a small fixed fee per card sale. On a platform, an extra fee per sale may come on top (see Step 7).
• Delivery: Paid per parcel, so get quotes.

With us, there is no platform plan to pay: only the domain name is paid separately, straight to the provider. You can split our price into smaller payments with Tabby, and scholarships take 20% to 100% off for shops that need help. See our packages and prices, or the full cost breakdown for UAE online stores.

Frequently asked questions

Can I start an online store in the UAE without a license?

No. UAE rules expect anyone who sells online to hold a license that covers e-commerce, and payment providers usually ask for one. You can build your store while you wait. Home-based licenses cost about AED 1,115–1,370 if you qualify.

How much does it cost to start an online business in the UAE?

If you qualify for a home-based license and build the store yourself on a ready-made platform, expect about AED 2,500–3,000 in fixed costs for year one. That covers the license, Shopify's Basic plan paid yearly with VAT, and a domain name. A custom store from our Website package is 7,870 AED a year plus your license and domain name, with no platform plan. Payment fees, delivery and marketing come on top, and mainland or free zone licenses cost more.

Should I use a ready-made platform or a custom store?

It depends on what your business needs. A do-it-yourself platform store costs least to start, and suits simple stores if you have time to set it up. A custom store costs more to build, but it is made around how you sell, with no platform plan and no platform fee on each sale. It suits businesses with needs a template or app cannot meet.

Can expats start an online store in the UAE?

Yes. Expats can usually get a mainland trade license with an e-commerce activity, or a free zone e-commerce license. The Dubai eTrader license is officially for UAE and GCC nationals, while Abu Dhabi describes Tajer as open to residents too. Check your case with DET or on TAMM.

How do I open an online store in Abu Dhabi?

If you sell from home, start with the Tajer Abu Dhabi license, which you apply for on TAMM. It costs about AED 1,115, lasts 3 years and takes about 10 working days. The other steps are the same as anywhere in the UAE.

Do I need a website if I already sell on Instagram?

You can start on Instagram, but your own store makes selling easier. It shows prices, takes payments around the clock and keeps every order in one place. Instagram becomes the shop window that sends people to your checkout. Read why Instagram sellers need their own online store.