Start Travel and Tourism Business in Dubai: Complete Guide

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Dubai is one of the world’s top travel destinations, and for Indian entrepreneurs, it’s also one of the best places to start a travel and tourism business. Whether you want to run a luxury tour company, a visa service agency or an international travel booking firm, Dubai offers a business friendly environment backed by world class infrastructure and global travelers.

In this complete guide we break down everything Indian entrepreneurs need to know about starting a tourism business in Dubai, including licensing, costs, regulations and setup steps—all in simple English.

Why Start a Travel and Tourism Business in Dubai?

1. Global Tourism Hub

Dubai attracted over 18 million visitors in 2024 and is consistently among the top 5 most visited cities globally. The government is investing in tourism infrastructure including luxury hotels, theme parks and cultural attractions.

2. Government Support

Dubai’s tourism sector is regulated by the Department of Economy and Tourism (DET). It offers streamlined business licensing and initiatives like Dubai Tourism Strategy 2031 to attract 40 million hotel guests annually by 2031.

3. Indian Tourist Market

Indian tourists top the list of visitors to Dubai every year. This gives Indian entrepreneurs a natural market advantage in offering tailored services, visa assistance, language based packages and regional tours.

4. Tax Benefits

Dubai offers 0% personal income tax and corporate tax is applied at 9% only for businesses with annual profits above AED 375,000 (as per Federal Decree-Law No. 47 of 2022).

5. Business Ownership & Visa Options

As of 2023, most business activities in Dubai (including travel and tourism) allow 100% foreign ownership—no local sponsor needed. Entrepreneurs can also apply for Golden Visas or investor visas.

Types of Tourism Licenses in Dubai

Depending on your business model you can choose from the following tourism licenses:

1. Inbound Tour Operator License

Allows you to organize tours for tourists coming into Dubai, including hotel bookings, sightseeing, desert safaris, cultural tours etc.

2. Outbound Tour Operator License

Enables you to offer travel packages from the UAE to international destinations.

3. Travel Agency License (General)

Airline bookings, visa processing, travel insurance, cruise bookings and hotel arrangements.

4. Online Travel Agency (OTA) License

To operate a fully digital travel portal (ideal for e-commerce travel models).

Step by Step Guide to Start a Tourism Business in Dubai

Step 1: Choose Your Business Activity & Jurisdiction

  • Mainland (via Dubai Department of Economy and Tourism)

  • Free Zone (e.g., Dubai Commercity, IFZA, SHAMS)          

Mainland allows direct B2C dealings in the UAE. Free Zones are best for international travel operators or OTAs.

Step 2: Finalize Legal Structure

  • Sole Proprietorship

  • Limited Liability Company (LLC)
  • Free Zone Establishment (FZE)

Step 3: Trade Name Registration

Submit 3 proposed trade names for approval. Ensure the name complies with UAE naming rules, avoid abbreviations and religious references.

Step 4: Submit License Application

Include:

  • Passport copy
  • Emirates ID (if resident)
  • No Objection Certificate (if applicable)
  • Memorandum of Association (MOA)
  • Lease agreement or virtual office agreement

Step 5: DET Approval (Mainland only)

For mainland setups, DET will review your qualifications (or appoint a manager with relevant tourism experience).

Step 6: Make Payment & Collect License

Once documents are approved, make the necessary payment and receive your license within 3–7 working days.

Step 7: Open Corporate Bank Account

Required for all transactions. Banks include Emirates NBD, RAKBANK, Mashreq and ADCB.

Step 8: Hire Staff and Apply for Visas

You can sponsor staff under your trade license. Investor visa or employee visas can be issued based on company size and business type.

Step 9: Launch Operations

Whether you’re opening a walk-in travel office, a call center or a mobile app, ensure you have proper branding, website and sales funnel in place.

Documents Required

  • Passport copy of shareholder(s) and manager

  • UAE entry stamp or visa copy (if available)
  • Business plan
  • Lease contract or e-office agreement
  • Proof of experience in tourism (for certain DET activities)

Key Legal Requirements & Government Regulations

  • Federal Law No. 2 of 2015 (Commercial Companies Law)Dubai Tourism Business Setup

Dubai Executive Council Decision No. 24 of 2017

UAE VAT Law (Decree-Law No. 8 of 2017) – 5% VAT applies to most travel services

Federal Decree-Law No. 47 of 2022 – Corporate Tax applicability

Dubai Tourism Opportunities

  • Expo City Dubai, new hotel launches, theme parks

  • Halal tourism & wellness retreats
  • Visa & immigration support for travelers
  • Cruise tourism and luxury travel
  • Adventure travel & eco-tourism packages

Why Indian Entrepreneurs Love Dubai Travel Industry

  • Huge demand from Indian tourists

  • Multilingual staff available
  • Cross-cultural marketing familiarity
  • Competitive cost advantage vs European travel brands

Why Flyingcolour for Travel Business Setup?

Flyingcolour is one of the most trusted names in Dubai for helping Indians and expats launch their travel and tourism companies in the UAE. Here’s what we offer:

  • Free consultation and customized business plan
  • 20+ years of experience
  • 3000+ 4.9-star reviews on Google
  • Expertise in both Mainland & Free Zone licensing
  • Post-license support: PRO services, visas, banking, VAT

We simplify the process so you can focus on building your brand and selling dream travel experiences.

FAQs – Travel & Tourism License Dubai

1. Can I start a travel agency in Dubai without experience?

Yes, but for certain DET-regulated activities, you may need to appoint a manager with tourism qualifications.

2. Can I apply for travel agency license from India?

Yes. With Flyingcolour, you can complete most of the setup remotely and visit Dubai later.

3. Is 100% ownership allowed for Indians?

Yes, both mainland and free zone setups allow 100% foreign ownership.

4. What license do I need for online travel booking website?

You need an Online Travel Agency (OTA) license available through various Free Zones.

5. How long does it take to get the license?

Most Free Zone setups take 3–5 working days. Mainland may take 5–10 days, depending on DET approvals.

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