You can start a restaurant in Dubai by following a clear, approvals-led process – choose your business structure right, secure the licenses, fit out correctly, and you’re ready to open.
Dubai isn’t just a city of skyscrapers; it’s a global food capital. A diverse population and over 18 million visitors each year keep demand high, with more than 13,000 restaurants and cafés, Dubai’s restaurant scene offers everything from street food to Michelin-starred experiences – and there are opportunities for every type of restaurant concept.
In this guide, we’ll explain how to start a restaurant in Dubai step-by-step: from choosing your business structure and getting the right licenses, to calculating costs and understanding what drives restaurants’ success here. As a leading business setup expert in Dubai, Creative Zone will also show you how our specialists can save you time, effort, and money.
How to start a restaurant in Dubai: Step-by-step
You can open a restaurant in Dubai by following a clear sequence of steps. It involves choosing your business structure, picking the right location, securing initial approval, registering a trade name, applying for your trade license and food license, getting any additional permits, fitting out your premises, hiring staff and securing visas, final inspection and approval, and opening a corporate bank account.
Step 1: Choose your business structure
Most entrepreneurs choose either a limited liability company (LLC) on the mainland or set up in a free zone.
- Mainland LLC: In many food and beverage (F&B) activities, 100% foreign ownership is now allowed. In some regulated activities, a Local Service Agent (LSA) may still be necessary, but for representation, not as a shareholder.
- Free zone setup: It offers full foreign ownership, simplified company setup, and tax breaks. If you want to trade directly on the mainland (e.g., in malls or street-front locations), you may need a distributor or Local Service Agent.
Step 2: Select the right location
Location, location, location: that’s the cornerstone of any restaurant’s success. Pick premises that match your concept and footfall goals.
Your lease agreement must be registered with Ejari (Dubai Land Department’s tenancy register), and make sure it meets Dubai Municipality’s strict health and safety standards: kitchen ventilation, grease traps, food storage areas, staff facilities, and fire safety systems.
Step 3: Reserve your trade name
Your restaurant’s name must follow UAE guidelines: no offensive or religious references and no duplication. Once approved, the Dubai Department of Economy and Tourism (DET) issues a trade name reservation certificate.
Step 4: Obtain initial approval
Apply to DET (for mainland setups) or your free zone authority with your trade name certificate, shareholder passports, and list of proposed activities. Initial approval is your green light to proceed with business setup and trade license application.
Step 5: Apply for your trade license
The trade license officially registers your restaurant as a legal business. On the mainland, it comes from the DET; in free zones, from the relevant authority.
Step 6: Secure a food license
The Dubai Municipality’s Food Safety Department approves your architectural and kitchen layout drawings and issues your food license. You’ll need to send in your drawings and specifications before you begin fit-out.
Step 7: Apply for additional permits (if needed)
Depending on your restaurant concept, you may also need extra approvals:
- Alcohol license (from Dubai Police and DET)
- Shisha permit (from Dubai Municipality)
- Pork handling permit (for non-halal food)
- Outdoor seating or signage permits
- Live entertainment permits
- Gas approval (if cooking with gas)
- Fire safety certificate from Dubai Civil Defence
Step 8: Design and fit out your premises
Once you have all approvals in place, you can fit out your premises to the approved plans: kitchens, exhaust systems, waste management, grease traps, dining furniture, décor, and fire safety equipment. This work will be inspected before you receive final approval and clearance to open.
Step 9: Hire staff and secure visas
Every staff member needs an employment visa and a valid health card. Your visa quota is linked to the size of your restaurant. Staff typically include chefs, servers, cleaners, managers, and delivery staff. Mandatory food safety training for staff is also a prerequisite.
Step 10: Final inspection and approval
Dubai Municipality and Civil Defence will carry out final inspections of your restaurant before you can open. Pass these checks, and you’ll receive the final clearance to open.
Step 11: Open a corporate bank account
Before trading, you’ll need a corporate bank account. Most banks require your trade license, tenancy agreement, Memorandum of Association (MOA), Emirates ID, and shareholder passports. We’ll introduce you to the banks best suited to the restaurant industry.
Step 12: Launch your restaurant
With approvals in place, staff on board, and all compliance regulations met, you can open your doors to customers.
Understanding restaurant licenses in Dubai
You need a trade license, a food license, and any permits tied to your specific activities; these approvals safeguard safety, compliance, and guest trust.
- Trade license: Issued by DET or a free zone authority, it legalizes your restaurant business.
- Food license: Required from the Dubai Municipality’s Food Safety Department, it confirms your restaurant follows food hygiene and safety regulations and standards. Your kitchen layout, storage, and waste disposal will be reviewed before approval.
- Additional permits: Depending on your activities, you may need additional permits for alcohol service, shisha, food import, delivery services, outdoor dining, or entertainment.
Overwhelmed? Don’t be. Each is designed to ensure your business complies with UAE regulations and operates to international standards for utmost customer trust. Creative Zone’s experts will ensure these licenses are secured quickly and without delays, so you can focus on building your business.
Requirements to open a restaurant in Dubai
Before you can open your restaurant, you need to satisfy legal requirements, premises/fit-out approvals, and documentation requirements.
- Legal requirements: You need a trade license, food license, visa registrations, and (in some cases) approvals from other authorities if your restaurant’s activities fall into a regulated sector – like serving alcohol, for instance.
- Premises and architectural requirements: Restaurants must comply with Dubai Municipality’s strict health and safety guidelines. Requirements include proper ventilation, fire safety equipment, dedicated storage for raw and cooked food, pest-proof facilities, grease traps in kitchens, and dedicated staff areas.
- Documents needed for approval: Essential paperwork includes an initial approval certificate, trade name registration certificate, tenancy contract and Ejari (rental registration), business plan, restaurant layout drawings, MOA, passport copies of shareholders, staff health cards, and Civil Defence and gas approvals (if applicable).
Cost of opening a restaurant in Dubai
Opening a restaurant in Dubai is an investment that depends on your concept, size, and location. On average, costs range between AED 500,000 and AED 1 million. Here’s a breakdown of typical figures:
- License fees and registration costs: AED 12,000 to AED 50,000, depending on your setup and approvals.
- Food license and permits: AED 6,000 to AED 15,000, depending on your restaurant’s size and services.
- Fit-out and equipment expenses: AED 200,000 to AED 500,000 for kitchens, dining areas, and interiors. Premium concepts can cost significantly more.
- Staffing and visa costs: Expect AED 7,500 to AED 15,000 per employee annually, depending on role, nationality, insurance, and housing benefits.
- Ongoing operational costs: Rent, utilities, marketing, food supplies, and staff salaries. Prime areas can cost AED 150,000 to AED 700,000 per year in rent.
- VAT and tax compliance: Restaurants need to register for VAT if their annual turnover exceeds AED 375,000. And a corporate tax of 9% applies to profits above AED 375,000.
Key factors for restaurant success in Dubai
Success comes down to five things: get these right and you’ll have momentum from day one.
- Prime location: Visibility and accessibility drive customer traffic.
- Unique concept: With thousands of competitors, your theme, menu, or service style must stand out.
- Quality and consistency: Customers expect excellent food and service every time.
- Strong marketing and branding: Build awareness through social media, influencers, and loyalty programs.
- Regulatory compliance: Dubai’s strict food safety and labor laws must always be followed.
Advantages of starting a restaurant business in Dubai
Dubai offers clear advantages for entrepreneurs in the F&B sector: high demand from a diverse population, high tourism numbers, cutting-edge infrastructure, and multiple business setup options.
- High consumer demand and diverse population: Dubai has a population of 4 million, of which over 90% are expats – from more than 200 nationalities – with a constant demand for diverse cuisines.
- Strong tourism sector: Tens of millions of annual tourists create ongoing opportunities for restaurants.
- World-class infrastructure: Modern logistics, supply chains, and technology make operations efficient.
- Multiple business setup options: From free zones to mainland LLCs, you can choose the structure that best suits your goals.
Things to consider when opening a restaurant in Dubai
Plan for these realities early to avoid unpleasant surprises later:
- High competition: Thousands of restaurants operate in Dubai, so standing out is vital.
- Food safety compliance: Strict rules govern hygiene, storage, and food handling.
- Staffing needs: Recruiting and retaining skilled chefs and staff can be challenging.
- Location and rental costs: Prime areas attract higher rents, which must be balanced against expected revenue.
Frequently asked questions.
How much does it cost to open a restaurant in Dubai?
Between AED 500,000 and AED 1 million, depending on location, size, and fit-out.
Is it profitable to start a restaurant in Dubai?
Yes. With the right concept, location, and management, restaurants can be highly profitable in Dubai thanks to high demand and tourism.
Do I need a local sponsor to open a restaurant?
Not necessarily. Recent reforms allow 100% foreign ownership of many F&B businesses on the mainland. In some cases, an LSA may be needed. Free zones also allow full foreign ownership.
What licenses are required to start a restaurant?
At a minimum, a trade license and a food license. Depending on your concept, you may also need permits for alcohol, shisha, outdoor seating, or entertainment.
Why choose Creative Zone for your restaurant business setup
Starting a restaurant in Dubai can be complex, but the right partner makes the process seamless. Creative Zone is one of the UAE’s most trusted business setup firms, helping over 75,000 entrepreneurs launch and grow since 2010.
From securing the right licenses to choosing the best location and navigating compliance requirements, we provide comprehensive end-to-end support.
With expert advisors, transparent pricing, and tailored solutions, we ensure your restaurant business starts on the strongest possible foundation. Whether you are opening a café, fine dining restaurant, or quick-service outlet, our team helps you every step of the way.
Are you ready to launch your restaurant in Dubai? Contact Creative Zone today and let’s make it happen!
