The global restaurant industry is booming especially the UAE restaurant industry. Despite economic fluctuations around the world, nothing seems to be able to suppress our appetite.
The latest figures estimate the international food market to be around $ 3 million. Here in the UAE, the trends are pretty much the same. The Emirates restaurant market is estimated to cost about $ 3.3 billion. Fast food restaurants accounted for an estimated $ 1.5 billion, followed by casual dinners worth $ 880 million and gourmet meals worth an estimated $ 840 million.
However, the large market is not the only reason the UAE restaurant industry is such an attractive choice. Here in the Emirates, we eat out 6.75 times a week on average – 4.2 times the US average.
So if you are looking to find a UAE restaurant industry or open a coffee shop in Dubai, start now.
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Benefits of Starting a food business in the UAE
It’s easy to see why this market area is so popular. Many professionals in the UAE are familiar with the type of delivery on demand.
With several giants already on the market – including Talabat and Uber Eats – we are now seeing much smaller food and beverage shops in Dubai teaming up to create their ordering and delivery apps.
It suggests a market gap for smaller, more flexible, and fairer applications for food delivery. It is a good growth opportunity and development for anyone looking to start grocery deliveries in Dubai, United Arab Emirates.
It is an excellent opportunity for entrepreneurs with the right skills – and you don’t have to own a restaurant or catering business. Delivery service You can easily pick up and deliver groceries from local restaurants. If this sounds appealing, there’s more good news – with the right support, applying for a Dubai grocery delivery license can be a breeze.
How to Start Food Business in UAE?
If you love food, Dubai is the best place to try some of the world’s most delicious and lively dishes. Yes, you can enjoy many European, Middle Eastern, Asian, African, and Southeast Asian dishes in one place. A restaurant or grocery store is the right choice in Dubai and the United Arab Emirates, provided you understand some basic business requirements and regulations.
Here is a small plan on how to start a restaurant business in Dubai.
Food Licensing
Getting a restaurant license in Dubai is an essential aspect of starting a restaurant business in Dubai. Obtaining a retail and wholesale permit is mandatory before starting your dream business in a restaurant/cafe in one of the Middle East’s most desirable companies and travel destinations. The Food and Food Safety Department issues food licenses. Dubai business permits the Ministry of Economic Development, Dubai, and the Ministry of Tourism and Trade issues.
Acquiring these two licenses is essential in starting and running a restaurant business in Dubai. If not, you could face penalties or even suspension. You should also ensure that the documentation section is error-free and verify by the responsible authority. Even if you have experience running a restaurant or cafeteria on the other side of the world, business in Dubai is slightly different. Because of this, you may need ongoing support and assistance from a local or a proactive business creation professional like Kilton. Kiltons Business Setup Services LLC has decades of experience and experience in the company formation field in Dubai and all other Emirates. Starting your restaurant business from scratch is a daunting task (no exaggeration at all) and may require additional permits such as an alcohol license, a Ramadan permit, etc.
Find Right Business Location
Finding the right location is an essential factor in the success or profitability of your business. Have a clear picture of your customers and their tastes. Based on the same, set up prices for a variety of foods. Let me explain in simple terms. If your customers can’t afford your food, it can significantly impact your company’s profitability. For example, if you invest in an area where the general population is living, you might want to choose a restaurant that offers affordable food. Bur Dubai, Deira, and Karama are some of the cheapest residential areas in Dubai.
Meanwhile, many tourists prefer luxury, glamorous and expensive places such as Palm Jumeirah or Emirates Hills. In these places, you can see famous restaurants. Therefore, your customer’s cost capacity is a crucial factor here.
If you have many competitors, it is always wise to consider a different location unless you have something unique to offer your customer (e.g., delicious food). You can seriously think about an area under construction or an upcoming tourist attraction, or a particular location that is sure to attract a large number of your target customers. To do this, you’ll need reliable help and on-site support to determine the right location based on your company type, type, and budget.
Prepare Business Plan
Your business plan should prioritize four main aspects, and these are listed below.
- Do you have specific goals for your business?
- Set aside money as an emergency fund to deal with unexpected events.
- Every dirham you invest in the business will help you grow your bottom line.
- As you climb, step onto the ladder to protect your brand.
Obtain Dubai Food Code
In Dubai, the food code is essential for all companies engaged in the food sector. Companies that fall into this category are restaurants, cafes, hotels, bakeries, grocery stores, shops, food production units, food warehouses, caterers, canteens, etc. Hence, the same food code applies to the catering trade. The Food Code is a system that has to follow to ensure compliance with food safety.
Select a Good Design and Layout for your restaurant
Specific requirements must meet when designing and designing a restaurant. Approval from the food control department is required before construction begins. Please contact Kiltons Food Advisors for detailed design and layout guidance.
Receive Other Permits
You may need to obtain other permits, such as B. vehicle permit, hog permit, alcohol permit, etc.
By now, you may have received an indication of how tedious and time consuming the whole process of entering a restaurant is in Dubai. Only an efficient and experienced business setup professional with a thorough understanding of the latest market scenarios can manage the entire licensing and inclusion process.
Cost For Setting Food Business
The cost of starting a food business depends on the company’s structure and the facilities you choose.
First of all, you have to consider the cost of the license fee, rent, visa, and capital requirements for kitchen equipment.
Conclusion
For business setup in Dubai you need to know the distribution of costs that occur during the process. Below are the main areas where you should allocate your investment.
The food industry in Dubai offers excellent opportunities for entrepreneurs. With the increasing number of tourists, easing visa requirements to encourage expatriate immigration further, and the arrival of the upcoming Expo 2020, those opportunities are growing.
Plus, starting your UAE restaurant industry is relatively easy, if a little specific. You may need prior knowledge of the licensing process, especially when it comes to sourcing your foodstuffs. The application process is only easy and smooth if your commercial license application is completed at the time of application and without errors.
