Dreaming of opening your own restaurant in Dubai? With its diverse food market and growing expat population, Dubai offers an ideal setting for starting a restaurant business. Although it may seem challenging, following a step by step process can help you turn your dream into a reality. Here’s a complete guide to opening a restaurant in Dubai.
Legal Requirements
Create a Business Plan
Develop a comprehensive business plan that outlines your vision, goals, and budget. This document should also include a contingency plan for unforeseen circumstances.
Choose a Region
Decide whether to open your restaurant in a Free Trade Zone (FTZ) or the Mainland Area. FTZ allows 100% ownership for expats without requiring a local sponsor, while the Mainland Area requires 51% ownership by a local Emirati sponsor.
Select a Location
Carefully choose a location for your restaurant, considering factors such as cuisine popularity, commercial activity, and accessibility. Obtain necessary permits in advance, including those for pork, alcohol, delivery, and operating during Ramadan.
Physical Requirements
Present a Map and Blueprint
Provide a detailed map and blueprint of your restaurant, including interior design plans, food storage locations, ventilation routes, fire hazard solutions, and entrance/exit points, including emergency exits.
Meet Architectural Requirements
Ensure that the flooring, counters, and walls are non-absorbent and fire resistant. Install separate wash basins for cleaning meat, vegetables, and other items. Dedicate 40% of the total area for the kitchen and install a proper ventilation system.
Obtaining Dubai Trade License
Submit an Application
Prepare and submit your application for preliminary approval, which includes choosing a name for your restaurant and defining the business activities.
Complete the Application
Fill out the application form and submit it to the Department of Economic Development (DED). Rent a suitable restaurant space and obtain approval for the tenancy contract from Ejari (Dubai Land Department). Additionally, seek approval from the Department of Tourism and Commerce Marketing (DTCM).
Submit Required Documents
Provide all necessary documents to the DED, including the initial approval letter, business plan, tenancy contract, and blueprints/floor plans. If opening in the Mainland Area, include a Memorandum of Association with the local sponsor.
Dubai Food License Requirements
Obtain Initial Approval
Once you receive initial approval from the DED, proceed to obtain your food license from the Food Safety Department. Submit your Dubai trade license along with the initial approval letter, business plan, tenancy contract, and blueprints/floor plans.
Required Documents
Include copies of the trade license or primary approval from the DED (for the mainland) or relevant free zone authority (for FTZ). Provide an interior design layout blueprint of the premises, highlighting entry and exit passages, food processing and storage areas, ventilation systems, and equipment locations.
Acquire Trade and Food Licenses
Once you receive your trade and food licenses, you can officially open your restaurant in Dubai.
Considerations and Costs
Keep in mind that the total cost of opening a restaurant in Dubai can vary based on factors such as location, size, necessary approvals, and ingredient and supply costs. Expenses to consider include license fees, rent, permissions, staff training, capital expenses, staff visas, interior design, furniture, kitchen appliances, and opening stock.
By following this step-by-step guide and fulfilling the legal and physical requirements, you can embark on your journey of opening a successful restaurant in Dubai.