Buying a logistics or freight company in Dubai.
Logistics businesses in the UAE trade on contracts and licences rather than assets. A freight forwarder with three long-term corporate contracts is worth several times one with the same revenue spread across two hundred spot shipments. The licence category also matters more than in most sectors — freight forwarding, customs clearance and warehousing each have separate requirements.
Sector-specific due diligence
Contract terms and whether they survive change of ownership — many contain change-of-control clauses. Customs code registration and whether it transfers. Outstanding claims for damaged or lost cargo. Vehicle ownership and RTA registration. Warehouse lease terms and any dilapidation liability.
The trap in this sector
Contracts that look long-term but terminate on thirty days' notice, or contain change-of-control provisions the seller has not mentioned.
Timeline and cost
| Item | Detail |
|---|---|
| Typical price range | AED 500,000 – 15,000,000 |
| Valuation basis | 2–4× annual profit |
| Search and initial review | 2–8 weeks |
| Due diligence | 3–6 weeks |
| Negotiation and documentation | 2–4 weeks |
| Licence transfer or reissue | 2–6 weeks |
| Total, realistic | 2–6 months |
What I do
- Establish what you are actually looking for, in economic terms rather than sector labels
- Source opportunities, including businesses whose owners have not formally listed
- Verify the counterparty before any substantive discussion
- Coordinate due diligence across corporate, financial, operational and compliance workstreams
- Establish early whether the licence transfers, and structure the deal around the answer
- Manage the transaction to completion: documentation, licence, banking, visas, handover
Retainer from AED 15,000/month
Credited against the success fee. Success fee 10% on transactions up to AED 2M (minimum AED 75,000), Double Lehman scale above. Legal, audit and government costs are separate.
Common questions
How much does a logistics or freight company cost in Dubai?
Typically AED 500,000 – 15,000,000, valued at around 2–4× annual profit. The range is wide because the same revenue is worth very different amounts depending on how transferable it is — contracted, recurring income commands a materially higher multiple than income tied to the departing owner.
What should I check before buying a logistics or freight company?
Contract terms and whether they survive change of ownership — many contain change-of-control clauses. Customs code registration and whether it transfers. Outstanding claims for damaged or lost cargo. Vehicle ownership and RTA registration. Warehouse lease terms and any dilapidation liability.
Does the trade licence transfer with the business?
Not always. Some free zones permit direct share transfer; others require the licence to be reissued or a new entity formed and assets migrated. The answer depends on the zone, the activity and sometimes the specific case — establish it before terms are agreed, not after.
What happens to the staff visas?
Employee residency is sponsored by the company, so a share transfer usually preserves it while a new-entity structure does not — in which case every visa is reissued at cost and on the immigration authority's timeline. For a business with staff this is a material line item sellers rarely raise.
How long does the purchase take?
Two to six months from serious interest to completion. Due diligence takes three to six weeks if the seller's records are in order, considerably longer if not. Licence transfer, banking and visa reassignment add four to eight weeks after commercial terms are agreed.
What is the most common trap in this sector?
Contracts that look long-term but terminate on thirty days' notice, or contain change-of-control provisions the seller has not mentioned.
Reviewed by Denis Chernikov, Private Client Advisor, nine years in the UAE private client sector.
Describe your matter
Two or three sentences on the substance. I respond within one business day.