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How to open a restaurant in Dubai or A Cafeteria

October 27, 2022

An exciting blend of distinct cuisine cultures, as well as a diversified population of over 200 nationalities, are among the top factors that inspire entrepreneurs from all over the world to open a restaurant in Dubai or start a cafeteria in Dubai. Setting up a food business in Dubai can be quite a profitable venture. You can make a pretty decent profit catering to foodies from different sections such as locals, residents, and tourists. Having a successful restaurant business in Dubai which is a vibrant tourism hotspot it is also a stepping stone to long-term success and growth in the food industry as a whole. That said, there are quite a few processes that you'll need to complete before you can open a cafeteria in Dubai or start an eatery business in Dubai.

Why it's a great idea to open a restaurant in Dubai or Start a cafeteria in Dubai

Bolstered by the global 'foodie' movement, it's easy to see why Dubai and the UAE as a whole are fascinating new destinations for aspiring restaurateurs. Dubai, a city that attracts around 4.7 million tourists each year, is a fantastic place to establish a restaurant business. Dubai is quickly becoming one of the top worldwide cuisine destinations, and opening a restaurant in Dubai may be incredibly profitable if done correctly.

  • A thriving and diverse consumer base from every continent on the planet: Asia, Europe, the Americas, and the Middle East are all represented.
  • Tourism is a rapidly expanding industry.
  • A strong government commitment to increasing the economy's and GDP's growth.
  • Incentives for opening a restaurant in Dubai or starting a cafeteria in the food and beverage business.

However, before you officially open a restaurant in Dubai or the UAE and claim your slice of the pie, there are quite a few hurdles you must clear. These include getting a restaurant license in Dubai for your restaurant, or if you're starting a cafeteria business in Dubai, you need to get your cafeteria license in Dubai. You'll also need to factor in the cost of cafeteria business setup in Dubai, or the cost of a restaurant license in Dubai, whichever is applicable.

Cafeteria License in Dubai - Opening a Cafeteria in Dubai

Obtaining a cafeteria license in Dubai is the most important thing you need to do before you open a cafeteria in Dubai. The Food and Safety Department can issue a food Permit, and the Department of Economic Development ( DED) of Dubai can issue a cafeteria trade license. Obtaining a restaurant license or a cafeteria license is a time-consuming process. Let us examine the procedures for obtaining a cafeteria business license in Dubai first.

  • Reserve The Trade name of the Company
  • Get Initial Approval from DED
  • Get Lease agreement of the cafeteria
  • Sign the MOA/LSA agreement in DED
  • Get Approval from Dubai Municipality – Food Control department and Drainage Department
  • Get EHS certificate from Civil Defense of Dubai
  • Get the license from DED
  • Hire an interior decoration company to do fit out
  • Get visas under the company
  • Operate your business right after approval from DM.

Restaurant License in Dubai – Important facts

To open a restaurant in Dubai, you must first obtain these two types of licenses:

  • A trade license and
  • A food license.

 Trade License is issued by Dubai's Department of Economic Development. You must specify the type of restaurant you intend to operate because it must be clearly stated in the license. Depending on factors such as the sort of restaurant you own and operate, a Trade License could cost as follows:

Sr. No.

Particulars

Fee Tenure

Amount in AED

1

Initial Approval Fees

One Time

120.00

2

Name Approval Fees

One Time

620.00

3

Tasheel Fees

One Time

345.00

4

Notary Verification Fees

One Time

250.00

5

MOA/LSA-Notary Fees

One Time

825.00

6

License Fees Approximately

Part- Annually

10,000.00

7

Immigration Card Fees

Annual

750.00

8

Stamp of the Company

One Time

100.00

9

Labour Card Fees

One Time

1,000.00

10

DM Approval Fees

Part- Annually

NA

11

Investor Residence visa Fees

Part-3 Years

4,250.00

12

Office or Shop Rent

Annual

As Per Tenancy Contract

 

Total

 

18,260.00

Additional Fees:

  • Premises rent
  • Local UAE national Sponsorship Fees
  • 5% of the Annual premises rent
  • All visa Expenses
  • Interior, furniture, and kitchen equipment Cost
  • Professional Fees for Service Provider

Food license in Dubai is issued by the Food Safety Department which is in charge of issuing the Food License for restaurants. After you have obtained your Trade License, you must obtain this license in order to secure approval for your restaurant's development plan. To secure a Food License, certain documents must be submitted to the food safety department.

How to start a cafeteria in dubai

Restaurant license cost in Dubai

DED (Dubai Economic Development) can help you secure a restaurant license in Dubai. It can be registered as a sole proprietorship where a foreign national can become 100% owner of the restaurant in Dubai. The cost of a restaurant license in Dubai is approximately AED 18, 260 as mention in the above table. This is excluding rental and furnishing costs. Don't let the cost factor discourage you, though. Cafeterias and restaurants in Dubai play an important role in everyone's social life and way of life in Dubai. With an increasing number of tourist and business visitors, there is a significant demand for restaurants and cafeterias in Dubai and the UAE.

Steps to open a Restaurant in Dubai or Start a Cafeteria in Dubai

To open a restaurant on the Dubai mainland, entrepreneurs must first get a trade license from the Dubai Economic Development (DED). The establishment of a restaurant in Dubai can be accomplished in the following basic steps:

  1. Choose a trade name.
  2. Select a local sponsor (if applicable).
  3. Get the Pre approval from DED
  4. Get the restaurant's interior designed in accordance with the Food and Safety Department's guidelines. When renting business premises, adhere to the department's criteria.
  5. Obtain the tenancy agreement and the Ejari for the rented space.
  6. Sign MOA/LSA agreement in DED
  7. Submit all necessary documentation to the Department of Economic Development (DED)
  8. Obtain a letter of authorization from the Food Safety Department and permission from Dubai Municipality

How Avyanco can help you Open an Eatery Business in Dubai

The above mentioned processes may make the process of operating a restaurant in Dubai appear simple, but it is not. Setting up a restaurant in Dubai necessitates a number of permits and approvals. Every restaurant or cafeteria in Dubai or anywhere in the UAE must follow a strict food code, irrespective of whether it is a fine dining restaurant, cafe, or bakery. This food code is intended to assist the person in charge of running the restaurant is operating in accordance with the regulations. It would be best if aspiring restaurateurs were to use the services of the top business setup consultants in Dubai like Avyanco to guide them through the process smoothly and in accordance with rules and regulations.

Final Thoughts

Eatery businesses in Dubai are among the most profitable businesses to setup in Dubai due to a high number of tourists and busy residents who don’t have time to cook for themselves or who want to taste multiple cuisines from different countries. Moreover, Dubai is a cosmopolitan city where everyone wants to try new cuisine which helps restaurateurs in Dubai to retain and get new customers every day.

For a visionary entrepreneur passionate about hospitality business sector, I would encourage you to start a restaurant in Dubai or open a cafeteria in Dubai as both businesses are among the top industry due to the daily lifestyle of Dubai residents and visitors who are always busy for frequently cooking or going in their own kitchen regularly.

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