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Company Formation

Trade Name Reservation

Definition

Reservation of a proposed company name with the licensing authority. Handled inside the document-clearing flow as the prerequisite for the initial approval certificate.

Attributes

TypeProcess
JurisdictionUAE
RegulatorDubai Department of Economic Development
Applicable lawUAE Commercial Companies Law
Governing authorityDubai Department of Economic Development
Established byDubai Department of Economic Development
CountryUAE

What it is

Trade Name Reservation is the first formal step of UAE company formation — locking down a proposed company name with the licensing authority before initial approval, MOA notarisation, or license issuance. DET maintains the mainland trade-name register; each free zone runs its own. Names must comply with naming conventions (no offensive, religious, or political terms; no brand-protected words; legal-form suffix included where required).

Reservation is paid (typically AED 600–800 mainland, AED 200–500 in free zones) and valid for 6 months — within which the trade license must be issued or the reservation lapses.

Key characteristics

Position in flow
Step 1 — before Initial Approval
Authority
DET (mainland) or Free Zone Authority
Validity
6 months
Fee
AED 200–800 depending on jurisdiction

How it works

The trade name reservation process typically involves the following steps: 1. Name Search: Conduct a search to verify the availability of your proposed trade name. This is usually done online through the DED or DMCC website. 2. Application Submission: Submit an application to the licensing authority, providing details of the proposed name, company type, and shareholders. 3. Document Submission: Submit supporting documents, such as identification of shareholders and the Memorandum of Association (MOA). 4. Review & Approval: The licensing authority reviews the application and documents. If approved, a trade name reservation is granted. 5. Final Approval: Once the reservation is approved, the company proceeds to the document-clearing process, which includes obtaining the Certificate of Incorporation.

Types of Trade Name Reservation

TypeDescriptionWhen it applies
Company Formation ProcessTrade name reservation is a specific stage within the broader company formation process.Applicable to all types of companies seeking to establish a presence in the UAE.

Examples

For example, a company intending to establish a trading company in the Dubai mainland would first reserve its trade name with the DED. Similarly, a company planning to operate within the DMCC free zone would reserve its trade name with DMCC. The reservation ensures that the chosen name is not already in use by another entity in the UAE, preventing legal issues and ensuring brand availability.

Why it matters

Naming compliance issues are the most common cause of early-stage rejections. Reserving the name first means downstream notarisation, license issuance, and bank onboarding don't get derailed by a name dispute or a brand-protected term.

Common misconceptions

  • Misconception

    Trade name reservation is the final step in company formation.

    Reality

    It is a preliminary step, preceding the application for a trade license.

FAQs

What names are not allowed for UAE companies?
Offensive language, religious or political references, names of God or prophets, names matching well-known brands without authorisation, and names already registered with the licensing authority. Mainland names must include a legal-form suffix (LLC, Sole Establishment) where required.
Can I reserve a name in English?
Yes. Mainland names register in both Arabic and English; the Arabic version is usually a transliteration of the English. Free zones generally accept English-only registration. Both versions appear on the trade license.

See also

For better understanding, see also

Sources

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