Delivery Service License in Dubai: A Complete GuideDecember 29, 2022
The landscape of how delivery services has been transformed to a whole new level in the past couple of years. Especially, after the global pandemic of Covi-19 people started relying more on getting everything online which led to an increase in online orders. Resultantly, a delivery service license in Dubai became a widely held and ideal choice for many potential investors who want to set up their business in this highly competitive and emerging market.
What Is a Delivery Service License in Dubai?
A delivery service license in Dubai is a license issued by the relevant government authority to the potential investor. It can be issued under an LLC or professional business structure as per your requirements. You should also decide on the ideal jurisdiction – mainland or freezone, to open your delivery service company in Dubai.
Starting a Delivery Company in Dubai
The delivery service market is continuously growing in Dubai on a rapid scale with service providers trying to meet the increasing demands of people. As stated above, a huge increase in consumers’ demands for online delivery services especially food has been witnessed in past years.
According to reports, the online food delivery industry is projected to grow to US$1.69 billion in 2022 with an annual CAGR rate of 18.65% between 2022 to 2027. The facts and figures indicate that the market will continue to grow; attracting a large number of investors to step forward and start a delivery business in Dubai.
Cost of Delivery Service License in Dubai
The delivery license cost in Dubai can vary depending on several factors associated with your business. For instance, the type, size, business model and structure, legal requirements, and jurisdiction where you open a delivery service company can affect the cost. In addition to that, the business setup company you are hiring to help you with the process may also affect the cost of the license.
Nevertheless, the approximate delivery license cost in Dubai ranges between AED 6500 to 10000 AED. You may work with an experienced business setup consultant like Avyanco as we can assist you to manage the entire process thoughtfully while helping you minimize the costs.
Benefits of Starting a Delivery Company in Dubai
When it comes to starting a delivery service company in Dubai, the benefits are endless. Some of them are mentioned below:
- It is a multi-billion-dollar market.
- The industry is continuously growing.
- You can open your business in any jurisdiction including Mainland and Free Zone.
- Less paperwork and legal requirements; easy business setup process.
- You can open a small delivery service company with a relatively low investment.
- Immense expenses will not be needed to set up a food delivery service business in Dubai.
Steps to Get a Delivery License in Dubai
To open a delivery company license in Dubai, there is a certain procedure that you will have to follow.
- Decide Legal Structure
The very first step is to decide the legal structure of your business. You need to make a decision whether you want to open your delivery service company in Dubai Mainland or Freezone.
- Register A Company Name
Now is the time when you will decide on the name of your delivery service company and get it registered. Make sure that the name you are choosing is not blasphemous and any other company’s name. Choose a simple, relevant, short, and catchy name that can attract your business too.
Fill out the Application Form for your delivery service company in Dubai and submit it to the entity to get initial approval for your business. You will also have to prepare for the MOA and get your DED payment voucher. You will receive a delivery service license once you submit the payment.
Now you can apply for the visa, and it is a must to open a corporate bank account to receive payments and make transactions. Avyanco can help you make the process smooth by doing everything on your behalf including arranging your documents, applying for approval, and opening your bank account in Dubai.
Documents Required to Get a Delivery License
To start a delivery business in Dubai, you must provide the required documents to the relevant department. The below mentioned are the essential documents you will need to provide:
- Emirates ID of partners
- Copies of the partners' passports
- Approval of the licensing authorities
- Valid visit or residence visa of partners
Avyanco will help you prepare all the required documents accurately in order to avoid any complications during the process.
Activities Under Delivery Service Business License
There is a wide range of scope for delivery service business in Dubai.
- Online stores are increasingly looking for courier delivery services in Dubai that can help them with delivering goods and products.
- Restaurants and cafes are a core segment that people usually rely on. Customers usually make a food purchase online and receive their desired products sitting at home.
- Besides, parcel delivery or courier services are also in high demand in Dubai. In addition to that, boutiques and other businesses that do not usually hire full-time delivery staff also look for delivery service providers. Thus, you will have various options to expand your business in Dubai.
How Avyanco Can Help You Setup A Delivery Business in Dubai?
The delivery service industry is extremely lucrative and makes it possible to easily and quickly get a license. However, finding the right business setup partner is necessary for smooth business license approval and to ensure that the business runs well.
Avyanco is the leading business setup advisory working actively to help investors open delivery services companies in Dubai effortlessly. At Avyanco, our professionals have an in-depth understanding of the procedure for starting a delivery service company in Dubai. To help you get started quickly, we take care of all the paperwork and assist you with obtaining all necessary approvals and permits during the process.
If you have already decided to start a delivery service company in Dubai, we can help!