How to Start a Small Cafeteria in Dubai

How to Start a Small Cafeteria in Dubai?

Dubai is a good destination in the world for business people, as the economy is growing and there is a multicultural community with an industrial culture. There are many business ventures to plan out and open, but one of the best business plans is a small cafeteria in Dubai. A cafeteria is a profitable business plan, providing you with an opportunity to serve quick bites, coffee in a comfortable space for social gatherings. 

The UAE has always welcomed business activity, and Dubai has the support, infrastructure, straightforward start-up opportunities, and different customers. If you're excited to start a small cafeteria in Dubai, make sure you research laws around opening a small cafeteria business, get familiar with the trade license process, understand the location, cost variables, and general investment. In this blog, we will provide you proper guide about the cafeteria business in Dubai.

Why Start A Cafeteria in Dubai?

There are many benefits of opening a cafeteria in Dubai. The large population of a city such as tourists, professionals, and residents from different cultural backgrounds. Cafeterias are popular because they provide affordable meals, snacks, and drinks. Here are the major reasons to start a cafeteria business in Dubai. 

• Due to the large number of expatriates, students, and working individuals, the city always has a demand for budget-friendly restaurants. 
• Dubai has a huge tourism industry. Millions of visitors every year are looking for casual and budget places to eat. 
• The cafeterias have a less barriers to entry compared to large restaurants and hotels. 
• You can offer flexible menus such as traditional Arabic snacks, continental fast food, and beverages. 
• You will always have the chance to increase business with large cafes and hotels.

Step-by-Step Guide to Start a Profitable Small Cafeteria Business in Dubai

Step 1: Choose the Right Business Location

The first step to start your business is choosing a location for your cafeteria in Dubai. A cafeteria that is located near offices, residential areas, a college, or a tourist attraction to attract customers. We can help you find a suitable location for your business that will allow you to cater to a range of customers. Some of the popular locations for the cafeteria business are:

• You can start your business in business areas like Dubai Marina, Business Bay, and Downtown Dubai.
• You can open a cafe close to residential areas such as Bur Dubai, Karama, Deira, and Jumeirah.
• Tourist attractions such as the Dubai Mall, the Palm Jumeirah, and Global Village

Step 2: Legal Requirements and Trade License 

If you want to start a cafeteria, you need a proper food and Beverage license in Dubai. This license is issued by the Department of Economic Development (DED). Additionally, you have to get approval from the Dubai Municipality’s Food Safety Department. The main requirements for the license are:

• Trade license from the DED
• Food safety license from the Dubai Municipality 
• Approval for the cafeteria layout and kitchen design from the Food Safety Department.
  The Employee health cards for staff handling food. 

Step 3: Decide the Business Structure 

You have to choose the right business structure to open your cafeteria in Dubai. Every option provides a different type of benefit and challenge. We have a team of experts who can guide you to select a proper structure for a cafeteria business. The options you have to start your business are:

• Sole Proprietorship: This business structure is best for small cafeterias that are owned by a single person. 
• Limited Liability Company (LLC): This is suitable for people who want to start their business as partners. 
• Free Zone Company: This is ideal for investors who want 100% ownership of their business. Its business structure also provides export and import flexibility. 

Step 4: Understand the Cost for Cafeteria Business 

The cost of starting a cafeteria in Dubai depends on the size and location of your business. You have to invest an average of AED 200,000* to AED 500,000* to open a cafeteria in Dubai. You have to make a proper budget to avoid any overspending on the business. Here is the cost breakdown for you:

Step 5: Documents Required for Cafeteria Setup in Dubai 

You need the following documents to get a cafeteria license in Dubai:

• Copies of passports of the owners/partners
• Emirates ID
• Trade name reservations certificate 
• Tenancy contract and Ejari 
• Initial approval from DED
• Kitchen layout plan for approval
• NOC from the Dubai municipality 

Step 6: Design and Layout Approval 

Your cafeteria layout, you have to follow the Dubai Food Code guidelines. The important requirements are:

• Proper ventilation system 
• Pest control measures
• Separate storage for the raw and cooked food. 
• Adequate drainage and waste disposal 
• Easy to clean floors and walls. 

Step 7: Hire the Right Staff

The cafeterias in Dubai need a properly trained staff. The right staff can help to maintain the standards of your services. You need the following:

• chef/cook: to prepare the meals. 
• Waiters/service Staff: They can handle the customers in the cafe. 
• Cashier/Manager: To manage the daily operations in the cafe. 

Note: All the food handlers should have health cards after medical checks. 

Step 8: Register for VAT

If the annual turnover of your business exceeds AED 375,000*. Then you have to register your cafeteria for VAT in Dubai. 

What Are the Profit Margins in Cafeteria Business?

The profit margin of a cafeteria in Dubai can be between 20% - 35%. It also depends on the location of your business and what type of customer base you have. The cafeterias, which also provide delivery services and partnerships with food apps, have a high chance of earning more. 

How to Market the Cafeteria Business in Dubai?

When your cafeteria is open, you have to provide awareness about your business. You have to attract customers to make a good customer base. Some of the good marketing strategies for cafeterias include: 

• Social media marketing 
• Google Maps & Delivery Apps 
• Promotions & Discounts 
• Unique Branding 
• Customer Loyalty Programs 

Rules & Regulations for Cafeterias in Dubai 

You have to follow certain rules and regulations to operate your cafe business in Dubai:

• Make strict food safety and hygiene rules
• Make a safe storage and refrigeration place. 
• Do proper medical fitness checks of employees
• Follow waste management guidelines and pest control
• Make sure to renew your licenses and permits on time. 

Benefits of Starting a Small Cafeteria in Dubai 

A cafeteria is a good business option to enter the food and beverage industry in Dubai. Cafeterias are popular in the city because they can serve everyday meals, snacks, and beverages to the working people. Here are some of the major benefits of the business:

1. High Return on Investment (ROI)

You have to have high chances of earning high profit margins in this business. The cafeterias usually operate with low prices, high sales volumes, which provide you with a steady flow of income. The business owners can recover their investment quickly and earn well in this business. 

2. Scalability 

You have a great opportunity to expand your cafeteria business in Dubai. Once your brand gains popularity, you can expand your brand into various outlets such as delivery kitchens or even franchises. The multi-cultural audience of Dubai provides easy and unique concepts to attract the loyal customers. 

3. High Demand 

The food and beverage business has consistent demand all year. The demand for snacks, coffee, and beverages is always high in the city due to busy working life. The tourist industry of Dubai also contributes to the growing demand. This makes the cafeteria's business profitable in every season in Dubai. 

4. Ease of Setup 

The setup of a cafeteria in Dubai is a simple business compared to other industries. You can complete the licensing and approvals in a few days if you have proper guidance. The entrepreneurs find it an easy entry point into the growing food and beverage market of Dubai. 

Dubai is one of the best business ideas today. Dubai boasts a modern lifestyle, tourism, and considerable interest in food. Sinning places are the very soul of Dubai, and people are asking for different kinds of food in Dubai. You can find every type of dining experience, from small coffee shops to expensive dining places.

You need proper planning, important approvals, and a good staff to open a restaurant in Dubai. You can set up your own dream restaurant in Dubai with these proper things.  

Steps to Start a Restaurant in Dubai

Step 1: Select the Vision for Your Restaurant

The first step is to choose a concept for your business to open a restaurant in Dubai. You should choose a concept according to the preferences of the people regarding food. You have the option of serving Indian, Arabic, Chinese, Italian, or a mix of all of them to your patrons.

The concept and menu should be simple and unique, which increases your ability to prepare everything easily. The proper concept also helps to manage your costs more effectively while serving your customers. However, you have to choose the food and the type of service you want to provide to your clients. Some of the options are: 

• Fine Dining Restaurants
• Family-style Restaurants 
• Fast food & Casual Dining
• Small Cafes

Step 2: Choose a Good Location for Your Restaurant 

You have to find the right location to make your restaurant profitable in Dubai. A good location will bring customers to your restaurant and provide growth to your business. Choosing a location with luxury appeal would be the case for a fine dining restaurant. The selection of a spot close to schools, offices, or residential buildings is the case for a cafeteria or casual eatery.

Some of the popular areas to open a restaurant in Dubai are: 

• Downtown Dubai 
• Business Bay 
• Dubai Marina 
• Jumeirah 
• Deira / Karama 

Step 3: Get a Restaurant License in Dubai

You need a trade license to open a restaurant business in Dubai. There are two primary choices:

1. Mainland License: Once you obtain this license, you may open your restaurant anywhere within Dubai.
2. Free Zone License: This is the best option if you plan on creating a delivery kitchen or if your restaurant will be located in a particular business district.

Documents required to obtain your restaurant license in Dubai include:

• Passport copies for the owners
• Restaurant layout plan
• Ejari tenancy contract
• Food safety approval

Step 4: Get Food Safety and Municipality Approvals (in Dubai)

Every restaurant in Dubai should follow the safety standards of the Dubai Municipality for food. You have to submit a plan that lays out the structure of your restaurant’s kitchen. You also have to provide information about food and equipment hygiene standards and the food storage room.

These approvals show our commitment to cleanliness and food safety laws in Dubai. Your applications must include:

1. Food License – to guarantee that you can legally prepare and serve food.
2. Approval of the kitchen layout – this indicates that your kitchen design meets safety standards.
3. Health cards for employees – this is required for every employee at your food establishment, and the people who possess your health card.

Step 5: Design and Establish your Restaurant

The design of your restaurant is very important. A clean and comfortable setting will attract potential customers.

You can hire an interior designer who understands the Dubai Municipality fit-out regulations. It is beneficial for you to hire a designer so that your design can be approved by the municipality.

• Determine your restaurant layout.
• Assume a safe and clean kitchen facility.
• Consider lighting and ventilation.
• Select some appropriate furniture within the concept.
• Clearly mark your menu upon entering the restaurant.

Step 6:  Hire Qualified Staff 

It is important to hire the right staff to make your restaurant business in Dubai. Make sure that your staff have experience and can communicate with your customers. The people who are handling the food should have valid health cards that were issued by the Dubai Municipality. 

A warm and trained staff increases the professionalism of your restaurant. It also leaves a lasting good impression on your customers.

You need: 

• Chefs and kitchen helpers 
• Waiters and cashiers 
• Supervisors and cleaning staff 
• Restaurant manager 

Step 7: Advertise and Promote Your Restaurant

Your restaurant, when ready, then needs to be properly marketed at all costs. Marketing is the fastest way to attract customers for your business. Here are some tips:

1. You should make a Google Business Profile and mention your business address, operating hours, and contact number.
2. Additionally, you should share pictures of your dishes or your special deals on Instagram, TikTok, and Facebook.
3. In addition, you should encourage customers to leave a review on Google, which helps boost your online presence.
4. Moreover, introducing discount schemes for opening up or customer loyalty cards for regular patrons would be a great way to keep them coming back.

Advantages of Establishing a Restaurant in Dubai

There are various advantages that restaurant owners will experience when opening a restaurant in Dubai.

1. Growing Demand for Hospitality Operations: Dubai is a global destination with millions of residents and visitors. There will always be a passion for dining and tasting good food.
2. Simple Business Formation: The government of Dubai facilitates a straightforward process to develop one’s business in Dubai. Establishing a restaurant license in Dubai is an easy procedure when assisted by professionals.
3. Expansive and Varied Marketplace Center: Dubai’s diverse population indicates a willingness to try various cultural dishes. You can usually try something new in recipes and find customers.
4. Strong Economy and Tourism: Dubai's robust economy and stable tourism industry make it a great place for any culinary idea. Restaurants can make significant revenue nearly year-round.
5. Opportunities for Growth Online: Food delivery apps and online market platforms also allow your restaurant to grow faster and reach all customers across Dubai.

Methods to Operate a Thriving Restaurant in Dubai

• Have a fresh and consistent food menu for your clientele on a day-to-day basis
• Maintain cleanliness and hygiene in all areas of the business
• You should listen to customer feedback to improve your business.
• You should make a simple and cost-effective menu.
• Train your staff regularly to cater to every need of your customer. 
• You should stay up to date and follow the Dubai Municipality's food.

How Flyingcolour Business Setup Helps You?

The cafeteria business is profitable, but you have to follow a few steps to start this business. The steps include a trade license, food safety approvals, and tenancy contracts. This can be an overwhelming experience for first-time business owners, but it is also difficult to follow the steps without proper guidance. At Flyingcolour Business Setup, we will make your business setup journey smooth and easy. We can help you with:

1. Trade License and Company Registration

Flyingcolour® can help you get the right trade license. We can handle your paperwork and document submission. We also make sure that your company registration is completed without any errors and delays. 

2. Food Safety and Municipality Approvals 

The cafeterias have to follow strict food safety rules set by the Municipality of Dubai. We can guide you to get proper kitchen layout approvals and hygiene certifications. 

3. Ejari and Tenancy Contracts 

A cafeteria in Dubai cannot operate without a registered commercial space. We can help you to find the right location for your business and help you to complete the tenancy contract. 

4. Visa Processing and PRO Services

You need proper visa processing services to hire staff. We can manage your visa applications and PRO services. 

5. Business Plan and Cost Guidance 

We will provide you with an accurate estimation of the cost of opening a cafeteria in Dubai. We will help you make a proper business plan that helps you manage your finances. 

Frequently Asked Questions (FAQs) About Small Cafeteria in Dubai

1. How much money do I need to open a cafeteria in Dubai?

A cafeteria can cost you between AED 200,000* and AED 500,000*. The actual investment depends on dozens of factors, including size, location, and type of setup. 

2. Can an expat open a cafeteria in Dubai?

Yes, a foreigner can open a cafeteria in the mainland and a free zone business setup. 

3. Do I need experience in the food industry to open a cafeteria in Dubai?

No. It is not necessary to have any experience to open a cafeteria. If you are entering this world for the first time, we can help put together the right steps to start the business.

4. What approvals are important for the interior of the cafeteria?

The approval of the kitchen and seating layout should be according to the Dubai Municipality. It is important to meet the food safety standards. 

Therefore, to learn more about how to open a small cafeteria in Dubai, Book a free consultation with one of the Flyingcolour Business Setup team advisors.

The article was published on 08/09/2025. It is important to note that the federal policies and updates mentioned may have changed since then. For the most current information, please contact our consultant!