How does Fatura Go help with selling online in the UAE?

1. Keep the records: UAE VAT law requires invoices and VAT records to be kept for at least five years. Fatura Go keeps issued invoices, credit notes, expenses and bills in one place, with each receipt attached to its expense. Every order invoice and refund credit note is kept in your account with the rest of your sales. 2. Prepare the invoice: The Fatura Go Shopify app turns each paid order into a tax invoice and each refund into a credit note, and issues a full tax invoice when the buyer gives a TRN or the total is over AED 10,000. 3. Get help: Need an accountant to check or file it for you? Leave a request with Fatura Go support at support@invoicefatura.com and say what you need. If you already work with an accountant, invite them to your account with their own login.

How to start selling online in the UAE: licence, payments, VAT and invoices

Last updated: 10 November 2026

An online store in the UAE needs the same things in the same order, whether it runs on Shopify, Instagram or a marketplace: a licence that covers e-commerce, a way to take payment, a check on VAT, an invoice for each order, and a plan for e-invoicing in 2027. This guide takes them one at a time.

Each rule links to its official source with the date we last checked it. Licence steps vary by emirate and free zone, and Shopify can change its terms and rates, so confirm with the authority or provider before you commit. This is general guidance, not legal or tax advice.

Quick answers

What is this guide?: A plain-language walk-through of starting an online store in the UAE in 5 steps: the e-commerce licence, payments and cash on delivery, VAT registration, invoices for each order and e-invoicing in 2027, with links to the official sources.
Do I need a licence to sell online in the UAE?: Yes. The UAE government says you must have the appropriate licence for e-commerce, and that covers websites, apps, social media and marketplaces. Routes include a mainland commercial licence with e-commerce activity, the Dubai eTrader licence and free zone licences.
Is Shopify Payments available in the UAE?: Yes. Shopify's help centre lists the UAE as a supported country, for LLCs, Free Zone LLCs, Sole Establishments and Free Zone Sole Establishments with a company registration number and a UAE bank account in AED.

1.Get the right e-commerce licence

Online selling needs a licence that covers it. The UAE's e-commerce law covers websites, mobile apps, social media and marketplaces, for physical goods and digital products alike (u.ae: eCommerce, checked 10 November 2026). So a Shopify store or an Instagram shop counts. There are three main routes:

Route	Issued by	What it is for
Mainland commercial licence with e-commerce activity	Your emirate's economic department, such as Dubai Department of Economy and Tourism (DET).	For selling directly to customers across the UAE. Some emirates issue a standalone individual e-commerce licence; others add the activity to a regular commercial licence.
Dubai eTrader licence	DET, through Invest in Dubai.	A home-based licence for individuals selling through social media and online platforms. Sole proprietorship only.
Free zone licence	The free zone authority, such as Dubai CommerCity, Masdar City, Sharjah Media City, RAK Economic Zone or Ajman Free Zone.	For selling inside the zone and internationally. Selling directly to mainland customers may need a local distributor or further approvals.

The eTrader details come from Dubai.ae: eCommerce, checked 10 November 2026. That page and u.ae both say every e-commerce licence also needs approval or a no-objection certificate from the Telecommunications and Digital Government Regulatory Authority (TDRA). Build that into your timeline.

Where are your customers? Selling mainly to people in the UAE, look at a mainland licence or eTrader first. A free zone can still work, but in Dubai a free zone company operating on the mainland needs a DET licence or permit (Dubai Executive Council Resolution No. 11 of 2025, checked 3 November 2026). Selling mainly abroad, a free zone is worth comparing.

What does an e-commerce licence in Dubai cost?

We don't quote a figure, because there is no single official price to quote. The Dubai and federal e-commerce pages linked here don't publish one, and the total depends on the route, the legal form and the package you choose. Figures on setup agents' sites are usually their own packages.

Before you pay anyone, ask the licensing authority or provider for a written, itemised quote covering:

the licence and registration fees, and the renewal fee
trade name and initial approval
any charge for the TDRA approval
an office or flexi-desk, if your route needs one
residence visas, if you need them

What the e-commerce law asks of you

Federal Decree-Law No. 14 of 2023 applies to free zone sellers too when they sell outside their zone (Article 2). Among other things, it requires you to (Federal Decree-Law No. 14 of 2023, checked 10 November 2026):

publish your prices, delivery and payment fees and your terms, and not add fees beyond those you announced
show your licence, physical address and contact details, and give customers a way to complain
accept returns or exchanges in the listed cases, such as goods that arrive defective, incomplete or not as described
sell only permitted goods, with approvals for regulated ones
give a detailed non-paper invoice for each purchase

The licence is only the start. Visas, the bank account and corporate tax are covered in how to start a business in the UAE. A company must register for corporate tax within 3 months of incorporation; on a personal licence, see corporate tax for freelancers.

2.Set up payments and cash on delivery

Shopify Payments in the UAE

Shopify Payments is available to businesses located in the UAE (Shopify Help: Shopify Payments in the UAE, checked 10 November 2026). Older forum posts and blogs say otherwise, or limit it to certain plans, but Shopify's UAE help pages state no plan restriction on using it. What they do set out:

Who qualifies: LLC, Free Zone LLC, Sole Establishment and Free Zone Sole Establishment, with a company registration number. Non-profits are not eligible (Shopify Help: UAE requirements, checked 10 November 2026).
Documents: a UAE-issued trade licence (or freelancer permit for a sole establishment); for an LLC, also the memorandum of association and recent proof of the bank account; plus identity documents for the people behind the business.
Bank account: at a UAE-based bank, in AED, with an IBAN starting AE. An LLC needs an account in the business name.
Payment methods: Visa, Mastercard, Maestro, Apple Pay, Google Pay and Shop Pay, for online selling only (Shopify Help: UAE payment methods, checked 10 November 2026).
Payouts: in AED on all plans, with a minimum settlement time of 5 business days and a minimum payout of AED 20 (Shopify Help: UAE payouts, checked 10 November 2026).
Rates: on the Basic plan, online cards cost 2.9% + AED 1 and American Express 3.9% + AED 1. Other plans differ (Shopify UAE pricing, checked 10 November 2026).

Shopify's requirements don't mention the eTrader licence. If you hold one, check with Shopify whether it is accepted before you plan around Shopify Payments.

Other payment providers

You can connect another provider instead (Shopify Help: third-party payment providers, checked 10 November 2026). Shopify then adds its own third-party transaction fee on those payments, from 2% on Basic down to 0.2% on Plus, on top of what the provider charges. Compare the two together. Merchant acquiring and payment aggregation are licensed services in the UAE (CBUAE Rulebook: Retail Payment Services licence categories, checked 10 November 2026), so ask a UAE provider which licence it holds.

Cash on delivery

In Shopify, go to Settings, then Payments, and activate cash on delivery as a manual payment method. Orders stay unpaid until you mark them as paid on the order page, and Shopify charges no third-party transaction fee on manual payments (Shopify Help: manual payment methods, checked 10 November 2026).

Once you are VAT registered, COD has three traps:

VAT does not wait for the courier. The date of supply is the earliest of when the goods are transferred, when payment is received or when the tax invoice is issued (VAT Decree-Law, Articles 25 and 67, checked 10 November 2026). That is by delivery at the latest, even if the courier pays you weeks later.
Courier deductions don't reduce your sales. VAT is due on what the customer pays. The courier's fee is your expense, so reconcile each remittance against the orders it covers.
Refused parcels need tidying. If you already issued a tax invoice for an order that comes back, correct it with a tax credit note.

3.Check your VAT registration threshold

VAT depends on your sales, not on where the store is hosted (FTA: registration for VAT, checked 10 November 2026):

Mandatory: when taxable sales and imports exceed AED 375,000 over the last 12 months, or you expect them to in the next 30 days. Apply within 30 days. Late registration costs AED 10,000 (Cabinet Decision No. 40 of 2017, as amended by Cabinet Decision No. 129 of 2025, checked 10 November 2026).
Voluntary: allowed once taxable sales or taxable expenses exceed AED 187,500. See should I register voluntarily?
What counts: add up every channel: your store, marketplaces and social sales. Zero-rated exports count, and so do imports of the stock you sell.

Once you are registered:

Charge 5% on sales delivered inside the UAE. Delivery charged to a UAE customer is usually 5% too; see VAT on delivery charges.
Goods you export directly can be zero-rated, if they leave within 90 days of the date of supply and you keep the customs or shipping evidence (VAT Executive Regulation, Articles 30 and 59, checked 10 November 2026).
File a return for each period, usually quarterly, within 28 days of the period end (FTA: filing VAT returns and making payments, checked 10 November 2026).

Not sure where you stand? Read do I need to register for VAT? or try the VAT registration checker.

4.Issue an invoice for every order

Every online sale needs a detailed non-paper invoice under the e-commerce law, whether or not you are VAT registered. An emailed PDF or a link does that job today. What the invoice must contain depends on your VAT status:

Not VAT registered: issue an ordinary invoice, without VAT and without calling it a tax invoice. See invoicing without VAT registration.
VAT registered, private customer: a simplified tax invoice is allowed.
VAT registered, business customer: a simplified tax invoice is allowed up to AED 10,000; above that you need a full tax invoice (VAT Executive Regulation, Articles 30 and 59, checked 10 November 2026). See tax invoice vs simplified tax invoice.

A tax invoice is due within 14 days of the date of supply (VAT Decree-Law, Articles 25 and 67, checked 10 November 2026). On a busy store, that is hard to do by hand.

On Shopify? The Fatura Go app turns each paid order into a bilingual tax invoice and each refund into a credit note. A COD order is invoiced when you mark it as paid, so mark it soon after delivery to stay inside the 14 days.

Get the Shopify app Not on Shopify? Create an invoice How the app works

5.Get ready for e-invoicing in 2027

A store that sells only to private individuals is outside the e-invoicing system for now: business-to-consumer transactions are excluded until the Minister of Finance decides otherwise (Ministerial Decision No. 244 of 2025, checked 10 November 2026).

Sales to businesses and government are different. If any customer buys in the course of a business, those orders are in scope, and you need an accredited service provider (ASP):

Revenue under AED 50 million: appoint an ASP by 31 March 2027 and go live on 1 July 2027.
Revenue of AED 50 million or more: the ASP deadline was 30 October 2026 and go-live is 1 January 2027.
Selling through a platform: responsibility for the e-invoice stays with you as the supplier, even if the platform issues it on your behalf (MoF Electronic Invoicing Guidelines v2.0, checked 10 November 2026).

The test is whether the buyer is carrying on a business, so a company ordering without giving a TRN can still be in scope. Check your orders before assuming you are consumer-only, then use the e-invoicing checker or read the UAE e-invoicing hub for deadlines and penalties. Fatura Go is preparing for the UAE 2027 e-invoicing rollout, integrating with accredited providers.

How Fatura Go helps with selling online in the UAE

1. Keep the records
UAE VAT law requires invoices and VAT records to be kept for at least five years. Fatura Go keeps issued invoices, credit notes, expenses and bills in one place, with each receipt attached to its expense. Every order invoice and refund credit note is kept in your account with the rest of your sales.
2. Prepare the invoice
The Fatura Go Shopify app turns each paid order into a tax invoice and each refund into a credit note, and issues a full tax invoice when the buyer gives a TRN or the total is over AED 10,000.
3. Get help
Need an accountant to check or file it for you? Leave a request with Fatura Go support and say what you need. If you already work with an accountant, invite them to your account with their own login.

Frequently asked questions

How much does an e-commerce license in Dubai cost?

There is no single official price. The Dubai and federal e-commerce pages do not publish one, and the total depends on the route (mainland, eTrader or free zone), the legal form and the package. Ask the licensing authority or provider for a written, itemised quote covering licence and renewal fees, trade name and initial approval, any charge for the TDRA approval, an office if needed, and visas.

Do I need a licence for a Shopify store or an Instagram shop?

Yes. Federal Decree-Law No. 14 of 2023 covers selling through websites, apps, social media and marketplaces, and the UAE government says you need the appropriate licence. Every e-commerce licence also needs approval or a no-objection certificate from the TDRA.

What is the Dubai eTrader licence?

A home-based licence from Dubai Department of Economy and Tourism for individuals selling through social media and online platforms. It is issued only under the sole proprietorship legal form.

Can a free zone company sell to customers in the UAE?

Free zone companies can operate inside their zone and internationally. To sell directly on the UAE mainland, the UAE government says they may need a local distributor or further approvals, and in Dubai a free zone company operating on the mainland needs a licence or permit from Dubai Economy and Tourism.

Can I use Shopify Payments with an eTrader licence?

Shopify's UAE requirements do not mention the eTrader licence. They list LLC, Free Zone LLC, Sole Establishment and Free Zone Sole Establishment, and require a company registration number and a trade licence or freelancer permit issued in the UAE. Check with Shopify before relying on it.

When is VAT due on a cash on delivery order?

On the date of supply, which is the earliest of the goods being transferred, payment being received or the tax invoice being issued. For cash on delivery that is by delivery at the latest, even if the courier pays you later. A tax invoice is due within 14 days of the date of supply.

When does an online store have to register for VAT?

When taxable sales and imports exceed AED 375,000 over the last 12 months, or are expected to in the next 30 days. Count every sales channel, including zero-rated exports. Apply within 30 days, or face a AED 10,000 late registration penalty. Voluntary registration is allowed from AED 187,500.

Does UAE e-invoicing apply to an online store?

Not for sales to private individuals: business-to-consumer transactions are excluded until the Minister of Finance decides otherwise, and a business selling only to consumers is outside the system. Sales to businesses and government are in scope. With revenue under AED 50 million, appoint an accredited service provider by 31 March 2027 and go live on 1 July 2027.