With so many people depending on computers, the wholesale of machinery, equipment and supplies is an exciting and rewarding field to enter. Obtaining a business license for computers, computer peripheral equipment and software from Meydan Free Zone can help your business establish itself as a credible player in the market and provide access to various opportunities to help it grow and succeed.
Wholesale of computers and computer peripheral equipment refers to buying and selling these products in large quantities to other businesses or individuals who then resell them or use them for their own purposes. This can include desktop and laptop computers, printers, scanners, keyboards, mice, and other related equipment. However, wholesale of software involves buying and selling software products in large quantities. This can include operating systems, productivity software, security software, video games, and other software products.
As a wholesaler of computers, you can choose one of the following business activity when applying for a business license with Meydan Free Zone:
4651.00 Wholesale of Computers, Computer Peripheral Equipment and Wholesale of Software
Apply for your trade license under the wholesale of machinery, equipment, and supplies activities and choose wholesale of computers, computer peripheral equipment, and wholesale of software with activity code 4651.00.
Your license allows you to purchase and sell computers, computer peripherals, and software in large quantities to other businesses or individuals, who then resell or use them. Your trade license allows you to resell computer peripheral equipment such as desktop and laptop computers, printers, scanners, keyboards, mouse, and other such merchandise with your trade license from Meydan Free Zone. Conversely, wholesale software refers to the procurement and sale of software products in large volumes. Such products may include operating systems, productivity software, security software, video games, and other software commodities.
You can primarily purchase large quantities of products directly from manufacturers or distributors and then sell them to retailers, other wholesalers, or directly to end-users at a markup. The primary focus of your businesses is to buy and sell products in bulk, which allows you to maximize scale and lower costs, ultimately enabling you to offer competitive pricing to your customers.
Inclusions:
As a wholesale trader of computers, computer peripherals, and software, there are several types of trading activities you can engage in.
- Bulk Sales to Retailers: You can sell your products in bulk to retailers, who will then sell them to end customers.
- Online Sales: With the rise of e-commerce, you can establish an online store to sell your products. You can use e-commerce platforms such as Amazon, eBay, or Shopify to reach a wider audience.
- Direct Sales: You can sell your products directly to customers through your own physical storefront or by attending trade shows or events.
- Distribution: You can become a distributor of computer hardware and software products. You will buy products from manufacturers and sell them to retailers or other wholesalers.
- B2B Sales: You can sell your products to other businesses that need computer hardware and software products. You can target specific industries or businesses that require specialized products.
- Import and Export: You can import computer hardware and software products from other countries and sell them in your own country or export them to other countries.
Exclusions:
It is not permissible to conduct wholesale transactions of certain electronic parts with a wholesale of computers, computer peripheral equipment and wholesale of software license. Specifically, it is not allowed to wholesale electronic valves and tubes, semiconductor devices, microchips and integrated circuits, or printed circuits. Additionally, it is not permissible to wholesale blank audio and video tapes, diskettes, magnetic and optical disks (CDs, DVDs), or telephone and communications equipment.
Third-Party Approvals: Post License
The wholesale trade of computers, computer peripherals, and software does not require third-party approval.
ESR
Wholesale of computers, computer peripheral equipment, and software businesses are not subject to certain regulatory requirements such as Ultimate Beneficial Ownership (UBO) or Economic Substance Regulations (ESR). This is because these types of businesses primarily deal with the distribution and sale of physical goods and digital software products rather than engaging in complex financial transactions that involve multiple parties.
UBO regulations require companies to identify and disclose the individuals who ultimately own or control the business, while ESR requirements relate to the level of economic activity a company must have in a particular jurisdiction in order to avoid being seen as a tax avoidance scheme. However, since wholesale businesses typically do not have significant operations in the countries where they sell their products, they are not subject to these regulations.
AML
Anti-Money Laundering (AML) regulations are laws and regulations that aim to prevent the use of the financial system for illegal activities such as money laundering, terrorist financing, and other financial crimes. These regulations apply to a wide range of financial institutions and businesses, including banks, broker-dealers, casinos, and money service businesses.
AML regulations require these entities to implement programs to detect and prevent money laundering and other financial crimes. These programs typically include procedures for identifying and verifying customers, monitoring transactions, and reporting suspicious activity to the appropriate authorities.
However, wholesalers of computers, computer peripheral equipment, and software are not explicitly covered by AML regulations. This is because these businesses do not typically engage in financial transactions that would be subject to AML regulations, such as opening bank accounts, accepting deposits, or processing payments.
