Selling things and running a small online business

Selling cupcakes to classmates or prints online feels small, but it is still trade. Before you sell, check the rules, be honest about what you sell and look after your customers.

Before you sell anything

• Decide what you sell, who buys it, what it costs you to make and what price covers your costs and time.
• Talk to a parent or guardian first. As a minor you will need their help with licences, bank accounts and any contracts.
• Check whether your school or community has rules on selling on site.
• Start small: a school market, a charity sale or a family event lets you test demand without big costs.

Licences in the UAE (in general terms)

• The UAE government portal says that to sell products or services online on the UAE mainland, you need a commercial licence that includes eCommerce activity.
• Licences are issued by the economic department of each emirate, such as the Dubai Department of Economy and Tourism or the Abu Dhabi Department of Economic Development.
• u.ae explains that initial approval for a business does not by itself authorise you to run the activity: you need the licence itself.
• There are several licence types depending on the activity and the emirate. Check the official website of your emirate's economic department, or u.ae, before you start selling regularly.
• Selling a few of your own used items is different from running a business, but if you sell regularly for profit, assume a licence is needed and check.

Honesty and product safety

• The UAE consumer protection law gives consumers the right to correct information about what they buy, a safe environment when buying, and fair compensation for defective goods.
• Describe products truthfully: real photos, accurate sizes, honest condition for second-hand items. Do not advertise misleading prices.
• Food is high-risk. Follow food hygiene rules, list ingredients and common allergens such as nuts, milk, eggs and wheat, and never guess.
• Do not sell anything that could be unsafe or that you do not have the right to sell, such as copies of branded goods or other people's artwork.

Customer service

• Reply to messages promptly and politely, even complaints.
• Give each buyer a receipt or invoice showing what they bought, the price and the date. UAE suppliers are required to give a dated invoice in Arabic.
• Have a clear policy on returns and faulty items and stick to it. Repairing or replacing a defective product is a supplier duty under UAE consumer law.
• Protect customer data: do not share buyers' phone numbers or addresses, and do not use them for marketing without permission.

If you sell from abroad: the UK example

• In the UK, individuals have a trading allowance of up to GBP 1,000 a year of gross trading income without it being taxed.
• If your gross trading income is GBP 1,000 or less, you usually do not need to tell HMRC, with some exceptions.
• Above that, you may need to register for Self Assessment. Check GOV.UK when your sales grow.