UAE’s food and beverage industry market size has grown to over AED 145 billion compared to the past years, as per 2021 statistics. It is expected to get a much more substantial value in the coming years. This statistics is a reflection of the great potential for growth and opportunities present in the food and beverage industry of the UAE business market.
With a rapidly emerging population of fast-moving and affluent professionals who are accustomed to the on-demand food delivery services in Dubai and UAE, it comes as no surprise that the food and beverage industry in UAE is an attention-grabbing sector for business entrepreneurs.
Here we provide you with all the necessary information concerning starting a catering company formation in Dubai.
Starting a catering business in Dubai – Initial steps to consider
When starting any business in Dubai or UAE, there are a few matters that need to be essentially taken care of at the beginning. One among them is choosing a company name. There are naming conventions in UAE that you need to adhere to while choosing a company name like avoiding any offensive or blasphemous language in the company name, avoiding abbreviations or initials if you intend to include your name in your business name, etc. You must also check and ensure that your chosen business name is available to be registered. Another important to consider initially is whether you would like to opt for a free zone or mainland setup for your business. If you wish to step up in the mainland, you can make your trade license application to the Department of Economic Development (DED) or municipality of the emirate that you intend to set up your business in. If a free zone is what you consider, then you must submit your application to the relevant managing authority.
Applying for catering business license
For applying for a trade license, you need to importantly consider several catering license requirements. You can apply to Dubai Food Safety Department for your catering license, with your trade license in hand. A floor plan for your kitchen and food preparation area including details of all entrances and exits, food storage areas, food processing areas, all food processing equipment, all windows and ventilation, and all washing equipment is to be provided as part of your application to the concerned authority.
You should observe strict compliance with UAE’s Food Code which covers everything from where food can be made and stored to many other things. Once you have satisfied all catering license requirements, you will be able to receive your license to carry out food delivery activities and be ready to trade.
Starting a food delivery app
Walk-in, telephone, online methods are all great and convenient ways to accept orders for your business but the most demanded form of receiving orders in UAE is via the use of dedicated apps. Though such a setup would cost you some additional money, it can provide your customers with the extra level of comfort and ease that can give you great customer reach, profits, and brand visibility. Work with a company that specializes in mobile application designing and create an app that best suits your business and your existing and prospective customers. Depending on the level of functionality you require for your app, the food delivery app cost would vary. It would cost anywhere between USD 10,000 and USD 30,000 for an app.
Cost of catering license
One of the most asked questions by an entrepreneur who wants to venture into the food and beverage industry is regarding the cost of a catering license. Estimating the cost of a food service delivery involves the consideration of multiple factors like the size and location of your business, the cost of your premises and ingredients, etc. A trade license would be the first cost to consider and you can obtain a food and beverage license from Fujairah Creative City, inclusive of one visa, for AED 22,200. In addition to this, you will also need to factor in the cost of your food safety license, your kitchen and premises, and app development.
Launch you food delivery service business in Dubai
If you possess the right skills and the best knowledge, then setting up a food delivery service in Dubai can be easier to navigate through. A certain degree of prior knowledge regarding the application processes is very much essential because getting a trade license extends beyond simply applying for a license. The application process will seem straightforward only if your application is complete at the time of submission and free from any errors.
To ensure that you receive your catering license and sort out other legal requirements at an appropriate time, seek the help of a company formation specialist to successfully launch your Business Setup in Dubai.
