What is the cost of opening a cafeteria in Dubai?

cost of opening a cafeteria in Dubai

Starting a business in Dubai requires an adequate amount of time, research, and investment. However, if you are moving forward with a good strategy and considering all the essential factors, then you can grow your business in a short span of time. Similarly, setting up a small food business, say a cafeteria, can get you good profits and gain a foothold in the UAE market as well.

Nonetheless, before stepping in, it’s important to assess the necessities of starting this venture, like permits and license requirements, construction and location plans, food safety compliances, and the overall cost of opening a cafeteria in Dubai.

Being a vogue tourist destination, Dubai tends to house a large number of high-quality cafeterias. And considering the tourist footfall, market competition, and growth of the food sector in the Emirate, starting a cafeteria of your own cannot be less than a profitable idea. Hence, we have brought to you all the information you will need to set up a small coffee shop or café in Dubai,

How to Open a Cafeteria in Dubai?

There are some prerequisites to starting a food business in Dubai. Firstly and most importantly, it’s mandatory to obtain a license, including the necessary permits and approvals from the relevant agencies.

Hence, to apply and obtain a cafeteria license in Dubai, you must follow the below guide –

1. Create a business plan

While planning a cafeteria business setup in Dubai, one can consider the given ideas in the business plan –

  • A startup plan to set up your cafeteria
  • A detailed operational plan outlining how you intend to run your business
  • Emergency/backup plans details in case of extreme pressure and adverse unforeseen circumstances

2. Find an appropriate space

Every business plan has vision, budget, and goals, and on that basis choose an appropriate location. For instance, locate a space that has a high footfall and visibility and can be easily accessible by road or metro. Also, if you set up your coffee shop near commercial and residential places, it can draw a large number of customers.

Additionally, you must also check if the selected place has a minimal number of coffee shops. The lesser the competition, the better the revenue!

3. Prepare the best layout

While planning to open a Cafeteria in Dubai, preparing a proper layout is very important. Every little factor concerning your operations will determine the success and efficiency of your café. For instance, the placement of wastebaskets for used utensils, the installation of chimneys far away from the seating area, etc.

A good layout helps you maintain an ideal distance, movement, and flow of operations without any obstructions.

4. Create a marketing strategy

Brand visibility and revenue growth depend on how effectively you advertise your business. Depending on your budget, you can build a comprehensive marketing strategy to reach out to a wide customers. For example, online marketing, distributing fliers and brochures, hosting events in your café, placing ads in newspapers, magazines, TV, etc.

5. Obtain the necessary licenses

It is critical to obtain the appropriate licenses required for a cafeteria business. However, the type of license you can apply for depends on the products or services you intend to carry out in your coffee shop. For example, selling coffee with snacks or refreshments, coffee with a proper meal, or just coffee. Hence, different types of offerings need different licenses and permissions.

To open a coffee shop in Dubai, normally you would require general business permissions, specific Food & Beverage (F&B) service regulations, and a few licenses –

  • Trade license from the Department of Economic Development
  • A business permit from the Department of Tourism and Commercial Marketing
  • Food license from Dubai Municipality’s Food Control Department

Additionally, you might require other licenses such as a driving license, in case you are operating a mobile food truck or café.

Also, the cafeteria license cost in Dubai may differ according to the size and nature of the business. The business formation consultants at the UAE expansion can extensively update you with the coffee shop or tea shop license cost in Dubai and all the overheads and expenses included in it.

6. Get the required equipment

For a food business or cafeteria, you would require some essential crockeries, cooking utensils, and equipment. The list may include the following –

  • Coffee/espresso makers
  • Coffee grinders
  • Coffee/tea brewers.
  • Ice makers
  • Hot water dispensers
  • High-speed ovens and refrigerators
  • Decanters/vessels/flasks
  • Accessories like cups, spoons, jugs, syrup pumps, creamers, blenders, juicers, sandwich makers, display racks, etc.
  • Kitchen essentials like cabinets, trolleys, ice containers, racks and shelves, tables, exhaust pipes, sinks, etc.
  • Cleaning and washing equipment

7. Comply with all the legal provisions and regulations

Before you begin with your procedures, make sure you are well-equipped with all the licensing, financial, and legal requirements. Any kind of non-compliance will only lead you to future issues or possibilities of business disruptions.

As discussed, these are some considerations for establishing a coffee shop successfully in Dubai. apart from that, you also need to manage your cash flows, hire trained staff, and conduct thorough market research before stepping in. For professional assistance, you can contact the team of UAE expansion.

Cost of opening a cafeteria in Dubai

Starting a business in Dubai requires proper planning, development, and regular compliance with government protocols. Nonetheless, it is equally important to budget for the formation of your company. Similarly, opening a coffee shop also needs planning, compliance as well as a financial investment.

Basically, the cost of opening a cafeteria in Dubai rest on a variety of factors such as location, commercial space, number of employees, menu creation, cost of governmental approvals and permissions, and many others.

Additionally, the license cost may include the following expenses –

  • Trademark reservation
  • Trade name registration
  • Initial approval
  • MOA notarization
  • Tenancy Contract Attestation
  • Foreign trade name reservation(if applicable)

Furthermore, a proper financial plan will help you keep track of your expenditure, which includes the cost of the restaurant, staffing, equipment, license, restaurant premises, and so on. All these factors together contribute to the cost of opening a cafeteria in Dubai.

Documentation Requirement for a Cafeteria in Dubai

For initial approval:

  • Trade name suggestions as per the UAE guidelines.
  • Passport copies of the owner/shareholders
  • Details of the local sponsor, if applicable
  • Business activity details

For food license:

  • Initial approval certificate
  • The layout of the premise
  • Approval Certificate from the planning department

For trade license:

  • License application
  • MOA, signed by the shareholders
  • Trade name registration letter
  • Passport detail of the shareholders

Construction plan requirements

  • Separate space for food processing, cooking, and storage
  • Windows and ventilation system
  • Equipment location for food processing
  • Placement of utensils washing machine and dryers
  • All entry and exit passages

Location requirements

  • Appropriate and accessible for customers
  • Sufficient space for equipment and food preparation
  • Separate space for dirt disposal and a facility for smoke emission
  • Washrooms away from the kitchen on the opposite side
  • Regular cleaning and washing of walls, floors, and roofs
  • Fire-insulated area
  • Separate washbasins for cleaning utensils, vegetables, and meat respectively

Meet business formation experts at UAE Expansion

Now that you are aware of the cost of opening a cafeteria in Dubai, it’s time that you step into this field and invest. If you need any kind of business-related support or expert solution to set up your business in Dubai or anywhere across UAE, we can help you start.

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