Cloud kitchen is also said as the virtual restaurant, dark kitchen or ghost kitchen. It has a delivery-only restaurant format that doesn’t provide a dine-in facility. Cloud Kitchen models accept orders through online platforms like mobile apps, websites, third-party platforms, or hotline numbers.

Delivery-only restaurant format relies on online food aggregators like DoorDash, UberEats, Deliveroo to accept large online orders. Hence, partnering with third-party platforms seems necessary. The delivery-only restaurant has a low investment, low risk and high-profit model. To set up a cloud kitchen might seem cheaper when compared to a traditional restaurant.

The cloud kitchen allows restaurateurs to experiment with different formats and concepts. This gives rise to varied food delivery business models like aggregator-managed cloud kitchen, multi-brand kitchen model and co-working spaces.

The Cloud Kitchen Business in the UAE

The ease of replicating, low set-up costs and scaling operations makes cloud kitchen the most profitable food business formats. They do not require a storefront at a prime location or the front-of-house staff to serve customers. This takes only one-third of the resources to establish a cloud kitchen business.

The detailed checklist for the cloud kitchen business in UAE

Acquire the Trading licenses and Food

You have to acquire your food and trading licenses from authorities. You must approach the Department of Food and Safety for the food license, where the trade license is obtained from the Department of Economic Development (DED), costing AED of 10,000 to AED 12,000 along with the Department of Tourism and Commerce Marketing (DTCM).

Choosing a location

You have to choose the best location in Dubai. You can decide either to go to the mainland area or operate within the free zones. Get approval from the DED authorities, to open a restaurant in the mainland area.

Draft the business plan

The professional restaurant business plan needs all the necessary factors like target marketing, SWOT analysis, market survey, preparing a financial plan, preparing a contingency plan for uncertainties, research, break-even analysis, your cash flow projections and so on. Each single factor contributes to the growth of your business.

Expenditure and estimating cost

A proper financial plan is needed to start your restaurant. Have a track on how much you need to spend. How much would the type of restaurant cost? What would be the cost of staffing and pieces of equipment? How much could the license cost?
To estimate the expenditure and investment might be a daunting task in a restaurant business.

Documents Needed For Starting A Restaurant in Dubai

Few documents are needed to submit to the authorities before you begin a cafeteria business or a new restaurant in Dubai.

• The trading license.
• The food and safety license.
• Get a Non-Objection Certificate (NOC) from the local municipality of Dubai.

Other permits needed are:

• The Ramadan permit.
• The Liquor permit.
• The Pork permit.
• The Delivery permit.

Above mentioned documents are needed for every old and new restaurant business in Dubai, to run the activities without any interference or shutting of business by authorities.

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