Starting July 1, the Abu Dhabi Department of Economic Development (ADDED) will require all businesses and social media influencers to obtain appropriate licenses for advertising on websites and social media platforms. This new mandate, reported by state news agency WAM, aims to ensure compliance with local regulations and organize the rapidly evolving digital advertising landscape.
Compliance and Regulations
ADDED has urged all economic establishments and social media influencers to obtain the necessary licenses to practice advertising services via electronic platforms. Non-compliance with these regulations will result in penalties and fines ranging from Dhs3,000 to Dhs10,000. Persistent disregard for ADDED’s circulars may even lead to business closures.
Purpose of the Licensing Regulations
The primary goal of enforcing these licensing regulations is to regulate advertising activities and uphold standards within the growing field of digital marketing. These regulations ensure that businesses and influencers operate within a legal framework, promoting transparency and accountability in the industry.
Who Needs a License?
Licenses are mandatory for:
- Individual social media influencers operating in Abu Dhabi.
- Groups or collectives of influencers working together under a registered company.
- Businesses that engage influencers for promotional activities.
Licensing Fees
The cost of obtaining the required licenses through ADDED’s Tamm platform is as follows:
- Individual Influencers: Dhs1,250.
- Companies or groups of influencers: Dhs5,000.
Penalties for Non-Compliance
Unlicensed social media influencers and businesses face fines of up to Dhs10,000. Companies operating without the necessary permits could also face closure.
Additional Licensing Requirements
Influencers operating in Abu Dhabi must also secure a permit from the UAE Media Council. This dual requirement ensures compliance with both local and national media guidelines.
How to Apply for a License
Applications can be made through the Tamm website, which serves as the official portal for Abu Dhabi government services. The process involves registering and paying the relevant fees for either an individual or company license.
Benefits of Licensing
Holding the proper licenses allows influencers and businesses to:
- Legally engage in advertising and promotional activities on digital platforms.
- Ensure compliance with Abu Dhabi’s regulatory standards.
- Avoid potential fines and legal issues associated with unlicensed operations.
- Contribute to a more transparent and regulated digital advertising environment.
Considerations for Influencers Operating Outside Abu Dhabi
Influencers earning revenue from social media posts anywhere in the UAE must also obtain a National Media Council license. Licensing requirements and costs vary across different emirates:
- Dubai: Requires both a UAE Media Council license and an individual freelance trade license, with total costs reaching Dhs30,000.
- Ras Al Khaimah: Offers a social media influencer license for Dhs3,550 annually, inclusive of the National Media Council permit.
- Ajman: Provides licenses starting at Dhs2,500 for individuals and Dhs10,000 for companies, with an additional Dhs260 for National Media Council approval.
Industry Reception
Many industry professionals and marketing agencies support these regulations, viewing them as necessary for maintaining standards and compliance. The rules are seen as beneficial for ensuring transparency and accountability in the fast-growing field of influencer marketing.
News Source: Gulf Business
