Starting a tea shop in Dubai is an exciting idea, but you need to know the cost of getting a tea shop license. Dubai’s booming economy and diverse culture make it a great place for tea shops and cafeterias. With many people loving unique tea experiences, the demand is high.
The cost of a tea shop license in Dubai depends on factors like location, size, and luxury level. You’ll need to consider premises, equipment, and staff. This guide will help you understand the costs and steps to get your tea shop license and start your business successfully.
What is a Cafeteria License?
If you are looking to open a cafeteria in Dubai, the requirement is to obtain a cafeteria license prior to starting your operations. This license is issued by the Dubai Economic Department (DED) and is mandatory to avoid legal lawsuits.
Here are the necessary details relating to the legal structure of the cafeteria license:
- Name of the License: Cafeteria License
- Activity Group: Restaurants and Coffee Shops
- License Type: Professional
Steps to Open a Cafeteria in Dubai
Choose a Business Activity
First, select the specific type of cafeteria or restaurant you plan to operate. Ensure the chosen activity is listed under the permitted activities by the Department of Economic Development (DED).
Reserve a Trade Name
Choose a unique trade name for your cafeteria. Submit the trade name reservation application to the DED for approval.
Obtain Initial Approval from DED
Submit the initial approval application along with required documents, such as passport copies of the owners and the trade name reservation certificate.
Secure a Location and Register Lease Agreement
Find a suitable location for your cafeteria. Sign a tenancy contract and register the lease agreement with the Ejari system.
Ensure Food Safety Compliance
Submit the kitchen layout plan to the Dubai Municipality’s Food Safety Department. Ensure your premises comply with food safety standards.
Apply for a Trade License
Submit the completed trade license application to the DED along with the required documents, including passport copies, visa copies, and the Ejari registration certificate.
Obtain a Food License
Apply for a food license from the Dubai Municipality. Ensure your premises pass the food safety inspection.
Get a No Objection Certificate (NOC) from Civil Defence
Submit the NOC application to the Dubai Civil Defence. Ensure your premises meet fire safety standards.
Apply for a Signage Permit
If you plan to display a signboard for your cafeteria, apply for a signage permit from the Dubai Municipality. Submit the design and location for approval.
Pass Health and Safety Inspection
Undergo a health and safety inspection by the Dubai Municipality to ensure compliance with local health regulations.
Set Up the Cafeteria
Plan and execute the interior design and fit-out of the cafeteria. Hire qualified staff and apply for their employment visas.
Develop a Marketing Strategy
Create a marketing strategy to attract customers. Promote your cafeteria through various channels.
Final Approval and License Issuance
Once all inspections and approvals are completed, submit the final documents to the DED. Receive your trade license and other necessary permits to start operating your cafeteria.
What Types of Licenses are Required for Tea Shops in Dubai?
Before understanding the procedure of opening a tea shop in Dubai, it’s important to know the types of licenses available.
There are three main license types:
Commercial License
Issued to companies or individuals engaged in trading activities.
Industrial License
Required for those involved in manufacturing activities.
Professional License
-
- Issued to service providers, artisans, and craftsmen.
- Cafeteria License: Falls under the this category, necessary for operating a tea shop.
How to Prepare for Your DED License Inspection?
Before opening your tea shop, it’s essential to prepare thoroughly for the Dubai Economic Department (DED) inspection. Here are the key steps to ensure a smooth and successful inspection process:
Additional Tips:
- Stay Updated: Regularly check the DED website for any updates or changes in the licensing process.
- Consult a Professional: Consider hiring a business setup consultant to navigate the process smoothly and ensure all requirements are met.
By following these steps and ensuring all preparations are in place, you can increase your chances of a successful DED inspection and obtain your cafeteria license to operate your tea shop.
Documents Required to open a tea shop
- Trade Name Reservation Certificate
- Initial Approval Certificate
- Passport Copies of All Business Partners and Shareholders
- No Objection Certificate (NOC) from Current Sponsor (if applicable)
- Memorandum of Association (MOA)
- Lease Agreement (Ejari)
- Location Plan
- Food Safety Documentation
- Civil Defence Approval
- Signage Permit
- Health and Fitness Certificates for Food Handlers
- Professional License (if applicable)
- Insurance Certificates
- Interior Fit-Out Approval (if applicable)
- Environmental Impact Assessment (if applicable)
These documents ensure that your tea shop meets the regulatory and safety standards required by the DED and other relevant authorities.
What is the cost of a cafeteria license in Dubai?
The cost of getting a cafeteria license in Dubai involves several fees, including trade name reservation, initial approval, and the trade license itself. Here is a detailed breakdown:
| Item | Cost (AED) |
|---|---|
| Trade Name Reservation | 620 – 720 |
| Initial Approval from the Department of Economic Development (DED) | 100 – 500 |
| Trade License (Restaurant/Cafeteria License) | 10,000 – 15,000 per year |
| Food License from the Department of Food and Safety | 10,000 per year |
| No Objection Certificate (NOC) from Civil Defence Department | 1,500 – 3,000 |
| Signage Permit | 2,000 – 4,000 |
| Ejari Registration (Lease Agreement) | 195 |
| Total Estimated Cost for Licenses and Approvals | 24,415 – 33,415 per year |
FAQS (Frequently Asked Questions)
Which is the cheapest Trade License in the UAE?
The cheapest trade licenses are usually available in free zones, starting from around AED 5,750.
Is tea business profitable in Dubai?
Yes, the tea business is profitable in Dubai due to high demand from locals and tourists, especially in high foot traffic areas.
How to start a small shop in Dubai?
Start by choosing a business structure, securing a trade license, renting a commercial space, and fulfilling all legal requirements, such as DED registration and obtaining a trade name.
How much money do I need to start a business in Dubai?
Starting a small business in Dubai can cost from AED 8,000 to AED 10,000 for licenses, excluding additional costs for space and staffing.
Which business is most profitable in Dubai?
Profitable businesses in Dubai include eCommerce, tourism, healthcare, and consultancy services due to high demand and growth potential.
How to sell tea in Dubai?
To sell tea in Dubai, obtain a trade license, ensure compliance with food safety standards, and potentially import unique teas with proper import permits.
Can I import unique teas from abroad for my tea shop?
Yes, you can import teas with the proper trade license and import permits, adhering to Dubai’s food safety regulations.
Is a Tea Shop in Dubai a Viable Investment?
A tea shop in Dubai is a viable investment due to the city’s diverse population and high demand for unique culinary experiences.
Do I need a local sponsor to open a tea shop in Dubai?
A local sponsor is required for a mainland setup, holding 51% ownership; however, free zones allow 100% foreign ownership.
How Do Tea Licenses Work?
Tea licenses in Dubai fall under the commercial or professional categories, depending on the business structure and operations.
How Much Does A Food License Cost In Dubai?
A food license in Dubai can cost approximately AED 10,000 annually.
How Much Does It Cost To Get A Commercial License In Dubai?
A commercial license in Dubai can range from AED 15,000 to AED 50,000, depending on various factors like business location and structure.
How Much Money Do I Need To Open A Cafeteria In Dubai?
The cost to open a cafeteria in Dubai ranges from AED 100,000 to AED 500,000, depending on scale and location.
How much does a cafeteria license cost?
The cost for a cafeteria license in Dubai varies, typically between AED 10,000 and AED 15,000 per year.
How long does it take to set up a tea shop in Dubai?
Setting up a tea shop in Dubai can take a few weeks, provided all documents are prepared and approvals are obtained promptly.
