How to Start a Logistics and Delivery Company in Dubai 2026: License, Cost & Requirements

Dubai’s position as a major trade, e-commerce and distribution hub creates significant opportunities for entrepreneurs looking to start a logistics and delivery company in Dubai.

From last-mile delivery and e-commerce fulfilment to freight transportation and warehousing, logistics businesses can serve retailers, online stores, restaurants, manufacturers, importers and corporate clients across the UAE.

However, starting a logistics company requires more than obtaining a general trade licence. Depending on your activities, you may need approvals from the Roads and Transport Authority (RTA), Dubai Customs registration, suitable vehicles, office or warehouse facilities, employee visas and activity-specific permits.

This guide explains the logistics company setup process in Dubai in 2026, including licensing, costs, approvals, business activities and documents required.

What Is a Logistics and Delivery Company in Dubai?

A logistics company coordinates or performs the movement, storage and delivery of goods from one location to another.

Depending on the business model, services can include:

• Last-mile delivery
• Local goods transportation
• E-commerce delivery
• Courier services
• Freight transportation
• Freight forwarding
• Warehousing
• Distribution
• Order fulfilment
• Supply-chain services
• Import/export logistics
• Food transportation
• Commercial delivery services

The correct business licence depends on what your company actually does.

For example, a company operating delivery vehicles has different regulatory considerations from a consultancy that only manages supply chains.

Do You Need a License to Start a Logistics Company in Dubai?

Yes. You need an appropriate business licence covering the logistics, transportation, delivery or related activities your company intends to perform.

Dubai’s official Invest in Dubai platform confirms that a trade licence is the approved document enabling a business to legally conduct its licensed activities. Fees vary according to the type of licence and specific activities selected.

For transportation businesses, additional RTA requirements can apply.

RTA classifies commercial transportation activities as including the transport of light and heavy goods, ordinary goods, food products, dangerous materials and various passenger-transport services.

What License Is Required for a Logistics Company in Dubai?

There isn’t one universal “logistics licence” suitable for every logistics startup.

Your activity needs to match your actual operation.

Goods Transportation

If your company owns or operates vehicles to transport goods, appropriate commercial transport activities and RTA requirements can apply.

Last-Mile Delivery

A last-mile delivery company focuses on moving orders from a distribution point, retailer or fulfilment facility to the final customer.

This model is particularly relevant to:

• E-commerce stores
• Online marketplaces
• Retailers
• Grocery businesses
• Restaurants
• Pharmacies
• Local businesses

The exact activity should be confirmed according to the products transported and delivery model.

Courier Services

Courier businesses transport documents, parcels or packages.

Courier activities should not automatically be treated as identical to ordinary goods transportation because additional requirements can apply depending on the exact service.

Freight Forwarding

Freight forwarding businesses coordinate the transportation of goods between destinations and may deal with:

• Air freight
• Sea freight
• Road freight
• Shipping documentation
• Customs processes
• Cargo coordination

Your company structure and activities should reflect the freight services actually provided.

Warehousing and Fulfilment

A logistics company may also store products and fulfil customer orders.

This business model can require appropriate warehousing activities and suitable premises.

RTA Approval for a Logistics Company in Dubai

RTA approval is one of the most important considerations when your logistics company conducts regulated commercial transport activities.

RTA provides a dedicated process for activating commercial transport activities through the Invest in Dubai platform. For activities requiring approval, RTA currently indicates a processing period of approximately 3 to 15 days.

The requirements vary according to the transport activity.

RTA’s commercial transport framework includes activities relating to various types of goods and passenger transportation.

Therefore, you should determine your exact transport activity before completing the company setup.

Logistics Company License Cost in Dubai 2026

There is no single fixed price for every logistics company.

Dubai’s official business licensing portal states that trade licence fees vary according to the licence type and specific activities.

Your total setup cost can include:

Dubai currently charges AED 620 for standard trade-name reservation, according to the Invest in Dubai service.

Certain RTA activity permits have their own separate fees. For example, RTA currently lists a AED 1,000 new permit fee and AED 1,000 renewal fee for Freight Transport within Open Markets & Designated Areas. This should not be treated as a universal fee for all logistics activities.

How Much Does It Cost to Start a Delivery Company in Dubai?

The total investment depends heavily on the scale of your operation.

A small delivery company may need to budget for:

Licence + RTA requirements + office + visas + motorcycles/vans + insurance + drivers + tracking technology + working capital.

A large logistics operation can additionally require:

• Warehouse rent
• Commercial vehicles
• Forklifts
• Warehouse equipment
• Inventory-management software
• Larger workforce
• Fleet-management systems
• Customs registration

For this reason, avoid comparing logistics businesses purely by their advertised licence price.

Mainland vs Free Zone for a Logistics Company

Both mainland and free-zone structures are available in Dubai, but the correct option depends on the business model.

Dubai Mainland Logistics Company

A mainland structure can be particularly relevant when your business will physically transport and deliver goods throughout Dubai and the UAE.

Dubai DET manages registration and licensing of mainland businesses. The official Invest in Dubai platform notes that mainland companies can operate within and outside the UAE, subject to the rules applicable to their activities.

Mainland can be considered for businesses such as:

• Local delivery companies
• Goods transportation companies
• Last-mile delivery services
• Commercial transport businesses
• Local distribution companies

Dubai Free Zone Logistics Company

Dubai has numerous free zones, including specialised environments serving trade and logistics businesses.

A free-zone setup can be attractive for businesses involved in:

• International trade
• Warehousing
• Re-export
• Freight services
• International logistics
• E-commerce fulfilment

However, your ability to conduct specific operations outside the free zone needs to be considered before choosing the structure.

The cheapest licence is not necessarily the best logistics setup.

How to Start a Logistics Company in Dubai

Step 1: Define Your Logistics Business Model

First determine exactly what services you will offer.

For example:

Last-mile delivery + local goods transportation

or

Freight forwarding + warehousing + import/export logistics

This decision determines the licensing and approval requirements.

Step 2: Select the Correct Business Activities

Choose activities covering the services your company will actually perform.

This is particularly important for logistics because:

Delivery ≠ Freight Forwarding ≠ Warehousing ≠ Goods Transportation ≠ Courier Services

Do not assume that one generic logistics activity covers everything.

Step 3: Choose Mainland or Free Zone

Compare both options based on:

• Target customers
• Delivery territory
• Vehicles
• Warehouse requirements
• Import/export activities
• Number of employees
• Office requirements
• Regulatory approvals

Step 4: Reserve Your Trade Name

Choose an appropriate company name.

Dubai requires the trade name to comply with naming rules and to logically reflect the business activity.

Step 5: Obtain Initial Approval

Complete the initial company-formation requirements with the relevant licensing authority.

Step 6: Obtain RTA Approval

If your selected activities involve regulated commercial transportation, complete the applicable RTA requirements.

RTA provides activity-specific conditions and procedures for commercial transport businesses.

Step 7: Arrange Office or Warehouse Space

Your premises requirements depend on your operation.

A small delivery business can have very different requirements from a company operating:

• Distribution centre
• Fulfilment centre
• Cargo facility
• Commercial warehouse

Select the premises only after confirming that they are suitable for the licensed activities.

Step 8: Obtain Your Trade Licence

Complete company registration, submit the required documents and pay the applicable licensing fees.

Dubai Trade Licence Application – Invest in Dubai

Step 9: Register With RTA Where Required

RTA’s company registration process specifically includes business-licence information and activities relating to Goods and Passenger Transport. RTA also notes that a final approved trade licence—not merely an initial approval certificate—is required to complete company registration.

Step 10: Purchase or Lease Vehicles

Depending on your operation, your fleet could include:

• Delivery motorcycles
• Cars
• Delivery vans
• Light commercial vehicles
• Trucks
• Refrigerated vehicles
• Heavy vehicles

Vehicle requirements depend on the transportation activity.

Step 11: Hire Drivers and Delivery Staff

Your staffing requirements can include:

• Delivery riders
• Drivers
• Dispatchers
• Warehouse staff
• Logistics coordinators
• Customer-service staff
• Operations managers

Visa, employment, driving-licence and other requirements should be calculated when planning your startup budget.

Step 12: Set Up Logistics Technology

Technology can significantly improve delivery efficiency.

Consider implementing:

• GPS tracking
• Fleet-management software
• Delivery-management system
• Driver application
• Customer tracking
• Route optimisation
• Warehouse management system
• Inventory tracking
• Proof-of-delivery system
• CRM

For last-mile businesses, route efficiency can directly affect profitability.

Dubai Customs Registration for Logistics Companies

Customs requirements become particularly important if your company will handle imports, exports or customs-related transactions.

Dubai Customs provides a Request Business Registration service that allows companies to register so they can legally transact with Dubai Customs.

Customs registration may therefore become relevant for:

• Import businesses
• Export businesses
• Freight operations
• International logistics
• Customs-related cargo movements

Not every local delivery company will require the same customs setup.

Documents Required for Logistics Company Setup

Typical company-formation requirements can include:

• Passport copies of shareholders
• UAE visa copies where applicable
• Emirates ID where applicable
• Proposed company names
• Selected business activities
• Initial approval
• Incorporation documents
• Office or warehouse documents
• Vehicle documents
• RTA documentation where applicable
• Additional authority approvals
• Customs documentation where applicable

Requirements vary according to your exact activity.

How to Start a Last-Mile Delivery Business in Dubai

Last-mile delivery can be an attractive niche because businesses increasingly need fast local fulfilment.

Your potential customers can include:

• E-commerce stores
• Online retailers
• Grocery stores
• Restaurants
• Pharmacies
• Flower shops
• Corporate businesses
• Local retailers

A basic business model could be:

Merchant → Your Delivery Hub/Driver → Customer

You can charge merchants:

• Per delivery
• Monthly contract
• Volume-based pricing
• Same-day delivery fee
• Express delivery fee

The profitability of the business depends heavily on the number of deliveries each driver can complete efficiently.

E-Commerce Delivery Business in Dubai

E-commerce sellers often need delivery partners rather than maintaining their own fleet.

A logistics startup can provide:

Order collection → sorting → delivery → proof of delivery → returns management

You can also expand into:

• Same-day delivery
• Next-day delivery
• Cash-on-delivery management
• Returns
• Fulfilment
• Warehousing

This creates opportunities for recurring B2B contracts rather than relying solely on individual delivery orders.

Logistics Company With Warehouse in Dubai

If your company will store customers’ goods, warehousing becomes a major part of the setup.

You need to consider:

• Warehouse activity
• Suitable location
• Rent
• Storage capacity
• Fire and safety requirements
• Insurance
• Inventory system
• Loading/unloading access
• Staff
• Equipment
• Customs requirements where applicable

Dubai Customs also maintains a separate service relating to customs warehouse licensing, reinforcing that warehousing and customs-related operations can involve requirements beyond an ordinary trade licence.

Can Foreigners Start a Logistics Company in Dubai?

Foreign investors can establish businesses in Dubai through mainland and free-zone structures.

Invest in Dubai states that foreign investors have been able to enjoy 100% ownership in many mainland sectors since 2020.

However, ownership rules and activity-specific transport approvals are separate issues. Always confirm the requirements for the exact logistics activities you select.

Is a Logistics Company Profitable in Dubai?

A logistics business can generate recurring revenue, but profitability depends on operational efficiency.

Key factors include:

• Delivery volume
• Cost per delivery
• Fuel costs
• Driver salaries
• Vehicle lease costs
• Vehicle maintenance
• Insurance
• Warehouse rent
• Failed deliveries
• Delivery distance
• Customer acquisition
• Technology costs

For a last-mile company, one of the most important metrics is:

Revenue per delivery – Total cost per delivery = Delivery contribution margin

Increasing delivery density within specific areas can help reduce cost per order.

How to Reduce Logistics Business Setup Costs

Start with a clearly defined service instead of trying to launch every logistics activity at once.

For example, you could initially focus on:

Last-mile delivery + e-commerce delivery

Then expand into warehousing, fulfilment or freight services as demand grows.

Other ways to control costs include leasing vehicles instead of purchasing a large fleet immediately, choosing premises based on operational requirements, hiring according to actual order volume, and using scalable delivery software.

Why Start a Logistics Business in Dubai?

Dubai positions trade and logistics as one of its key economic sectors and describes the emirate as a strategic gateway for major commercial routes.

A logistics business can serve multiple growing markets, including:

• E-commerce
• Retail
• Restaurants
• Import/export
• Manufacturing
• Construction
• Automotive
• Healthcare
• Hospitality
• International trade

This provides opportunities for both specialised logistics startups and larger integrated operators.

Get a Logistics Company License in Dubai

Starting a logistics and delivery company in Dubai requires careful planning because the licensing requirements depend on exactly how goods are transported, stored and delivered.

Before registering the company, determine:

What will you transport? → Where will you transport it? → Will you own vehicles? → Do you need a warehouse? → Will you import/export goods?

These answers help determine the appropriate licence, RTA requirements, Customs registration and company structure.

For entrepreneurs who want to enter the market with a leaner operation, last-mile and e-commerce delivery can be worth evaluating before investing in a full warehouse and large commercial fleet.

Planning to start a logistics or delivery company in Dubai? Get professional assistance with business activity selection, trade licensing, RTA approvals, company formation, visas and logistics setup.

Frequently Asked Questions

How much does a logistics company license cost in Dubai?

There is no universal fixed licence cost. Dubai’s official licensing portal states that fees depend on the licence type and specific business activities. Transport permits, office or warehouse costs, visas, vehicles and external approvals can add to the total.

What license do I need to start a logistics company in Dubai?

The correct licence depends on whether you provide goods transportation, delivery, freight forwarding, warehousing, courier or other logistics services. Select activities based on the actual services the company will perform.

Do I need RTA approval for a logistics company in Dubai?

If your company performs activities regulated as commercial transportation, RTA requirements can apply. RTA maintains dedicated conditions and permit procedures for commercial transport activities.

How long does RTA approval take?

RTA currently states that commercial transport activities requiring approval can take approximately 3 to 15 days, depending on the activity and application.

Can I start a last-mile delivery company in Dubai?

Yes, provided you obtain the appropriate business activities and satisfy applicable transportation, vehicle and operational requirements.

Can I start an e-commerce delivery company in Dubai?

Yes. A delivery business can provide services to online retailers and e-commerce companies, subject to obtaining the appropriate licence and approvals for its operating model.

Do I need a warehouse to start a logistics company?

Not necessarily. A delivery-focused business and a warehousing/fulfilment business have different requirements. Whether you need a warehouse depends on whether your company stores and manages goods.

Do logistics companies need Dubai Customs registration?

It depends on the business activities. Companies that need to legally transact with Dubai Customs can use its business-registration service. A local delivery-only company may have different requirements from an international freight or import/export operation.

Can foreigners own a logistics company in Dubai?

Foreign investors can have 100% ownership in many Dubai mainland sectors, while free zones also provide foreign-ownership options. Activity-specific licensing requirements still apply.

What vehicles can a delivery company use?

The fleet can include motorcycles, cars, vans, light commercial vehicles and trucks depending on the licensed transport activity and type of goods.

Is mainland or free zone better for a logistics company?

It depends on the business. A local delivery company operating throughout Dubai may have different structural needs from an international logistics or warehousing business operating from a specialised free zone.

How can I start a logistics company with low investment?

Consider beginning with a focused delivery model, limited fleet and no warehouse if your licensed activity and operating model allow it. You can add warehousing, fulfilment and additional transport activities as the company grows.