There are several steps included in opening a restaurant business or a cafeteria in Dubai. This involves both standard company formation procedure and specific procedures for food and beverage industry.
Step 1 – Business Activity
The foremost step involves an initial application, where you will have to outline your business activity. Even though the industry is food and beverage, you should specify the type of business, like whether you intend to run a cafe, restaurant, bar, take away kitchen, etc.
You will have to specify the type of cuisine you wish to sell and determine how you want to sell it like take-out, eat-in, or delivery.
These details are mandatory as it helps avoid delays in the license application. It is important to note that trading activities not listed under your license cannot be carried out. It is always advisable to work with a company set up expert at this stage, as it is such a specific part of the application.
Step 2 – Company Name
The second most important thing is the name of your company. While choosing a name, you must abide by certain regulations.
- Avoid blasphemous or offensive language
- Avoid names of reputed organizations
- Avoid abbreviations if registering your company after your name.
Always check if your chosen name is available for registering. You can seek the help of a company formation expert for this.
Step 3 – License Application
There are two stages in the license application
The first step is to apply for the trade license. Suppose you wish to set up your business in the Dubai mainland. In that case, you should make the application to the Dubai Department of Economic Development.
In case you want to set up your business in Free Zone areas, you should apply directly to the managing authority. In both cases, you must provide the following documents
- Completed application form
- passport copy (owner or owners)
- Passport size photos
In addition to your trade license, you will also need a food license issued by the Dubai Municipality’s food safety department.
The food control department must also approve of your plans. In order to achieve this, you will have to provide the department with a copy of trade license, details of food processing, storing, washing areas, floor plan of your eatery, etc.
The critical aspect is that you should adhere to Dubai’s Food Code, which covers everything from where food is made, stored, and also the ventilation and emergency.
Step 4 – Visa
Visa Application for both your employees and yourself is made.
The visa application is straightforward, and with the help of company formation agents, you can get your visa.
You can also sponsor your spouse, children, parent, or a domestic worker as you hold a UAE business license.
The number of visas you apply for depends on the company’s size, the chosen setup, and personal earnings.
Cost of starting a restaurant in Dubai
The cost of setting up a restaurant in Dubai varies widely. For example, the price of opening a food truck is much lower than opening a large restaurant.
The cost also depends on the chosen cuisine, the area you wish to set up your business, number of employees, etc.
The most ingenious way is to approach a company formation expert who can understand your requirements and comes out with a detailed quote.