Cafeteria License Cost Dubai: Affordable Setup Guide
A hotspot for entrepreneurs, Dubai is the best place to launch businesses in top industries. This may include the food industry like cafeterias. A diverse population and vibrant economy attract new employers to embark on the Dubai market. The increasing demand for dining experiences is another reason that makes them believe in investing here.
For opening a cafeteria, Dubai offers an ideal environment. Before you dive into this exciting venture, understand the cost involved. Know the cost of obtaining a cafeteria license. Explore how much it costs you to set up your business in Dubai. Let’s go!
Key Takeaways:
- Dubai license cost ranges from AED 24,000 to AED 35,000.
- The price can vary from case to case. It is based on factors like cafeteria size, location, and employee number.
- Compliance with Dubai’s labor laws, food safety, and hygiene standards. It is essential for a successful cafeteria business.
How Much Cost for Cafeteria License in Dubai
It’s a lucrative venture to start your cafeteria business in Dubai. Before moving forward must know the Dubai cafeteria license cost. The cost falls between 10,000-25,000 AED. However, the overall license costs you up to AED 35,000. A detailed breakdown of the various costs involved:
Category | Cost (in AED) |
Cafeteria License Fee | 10,000 to 25,000 |
Initial Approval | 220 to 420 |
Drafting the MOA | 2,000 to 3,000 |
External Approvals | 5,000 to 10,000 |
Trade Name Registration | 750 |
1. Cafeteria License Fee
A cafeteria license fee is a significant cost to set up your cafeteria. The cost ranges between 10,000 and 25,000 AED. However, it depends on factors like:
- Location and
- The scale of your operations.
2. Trade Name Registration
Your cafeteria’s trade name is an essential part of its identity. Trade name registration will cost around AED 750. Register it with the Department of Economic Development. Guaranteeing that your business name is unique and protected.
3. Initial Approval
Initial approval from the DED is needed. This is essential before proceeding with your cafeteria Dubai setup. Permitting you to move forward with the licensing process. For instance, the initial step cost ranges from 220 to 420 AED.
4. Drafting the Memorandum of Association
A MOA is drafted if you are setting up a Limited Liability company. MOA is popularly known as a Memorandum of Association. The draft outlines the roles and responsibilities of business partners. To draft this document, it costs you between 2,000-3,000 AED.
5. External Approvals
You are required to obtain additional approvals from various authorities. However, it depends on your cafeteria’s nature and its offerings. These can include:
- Dubai Municipality:
For health and safety regulations.
- (DTCM) Department of Tourism and Commerce Marketing:
If located in a tourist area or hotel.
- Civil Defense:
To ensure fire safety standards are met.
The external approvals cost range from 5,000-10,000 AED
Additional Considerations
Besides the cafeteria license cost in Dubai, setting up a cafeteria in Dubai involves a few more considerations:
Staffing:
Hire competent staff for various roles, including:
- Chefs
- Servers, and
- Managers
Dubai’s labor laws grant employees work contracts and insurance coverage.
Hygiene and Food Safety:
Concerning food safety and hygiene, Dubai has strict regulations. However, regular inspections are essential. It can be done by the Dubai Municipality. This step will ensure compliance with these standards. However, failure to meet them can result in fines or even business closure. So, complying with these is a must.
A Step-by-Step Guide to the License Process
Obtaining a cafeteria license in Dubai is a simple process. Here’s a simplified guide:
1. Choose Your Business Structure
Decide on the type of business structure you prefer. You can choose from:
- Sole Proprietorship:
Owned and operated by one person.
- Partnership:
Owned by two or more individuals.
- Limited Liability Company (LLC):
Popular for business setups, requiring at least two and a maximum of fifty shareholders.
The business structure will determine the required legal documentation and your liabilities.
2. Select a Location
The location of the cafeteria will play a significant role. A good location is imperative for its success. Be sure the area adheres to Dubai’s zoning laws. No matter whatever location you choose. It can be in a bustling mall or a quieter neighborhood,
3. Register Your Trade Name
Be sure that your trade name is unique and complies with the regulations. You should avoid using any religious or political connotations. Register it with the DED once you’ve decided on a name.
4. Get Initial Approval
Submit your trade name registration and documents (passport, visa, Emirates ID) to receive preliminary approval from the DED. This allows you to move forward but does not permit you to operate.
5. Draft the Memorandum of Association (MOA)
Draft an MOA if you are setting up an LLC. It is used to outline the business structure and the responsibilities of each partner.
6. Obtain External Approvals
If required, seek external approvals from other authorities based on your cafeteria’s offerings. This could include approvals from the Dubai Municipality, Civil Defense, and the DTCM.
7. Finalize Lease Agreement and EJARI Registration
Sign a lease agreement and register it with EJARI after obtaining preliminary approvals. It is Dubai’s official system for rental contracts. The step is important to do. As it ensures that your lease is legally binding.
8. Apply for the Cafeteria License
Finally, submit all the necessary documents, including:
- Initial approval certificate
- Trade name registration
- MOA (if applicable)
- External approvals
- EJARI registration
- Passport-sized photos
Once everything is in order, the DED will issue your cafeteria license.
Final Words:
In conclusion, opening a Dubai cafeteria offers great potential. However, understanding the cafeteria license cost in Dubai and its process is a must. It’s your key to success. Ensures beforehand that you plan your budget carefully. Plus complying with all necessary regulations is important.
Need assistance with the cafeteria license process? Do not hesitate to reach out! We are a professional service provider. We support businesses in assisting with the licensing process. From document gathering to license approval, we will stand on your side. At Connect Zone, let’s streamline your cafeteria setup as we guarantee a smooth journey to success!