If one wants to start a foodstuff trading business in Dubai, obtaining a license is one of the most thrilling moments for those willing to venture into the F&B market of the city. The location and market of Dubai provides immense potential to the business holder who has dream to expand their business locally as well internationally.
To achieve this, one needs to have proper knowledge about the needful as well as the regulatory need of the marketplace. Even as simple as to conduct market research or choosing between operations as a sole trader or a registered company.
It therefore means that by doing the necessary legal background check, incorporating, strategizing and meeting all the necessary legal requirement it is possible to set up a legal, efficient and profitable foodstuff business in Dubai.
The Foodstuff Industry and Its Impact on the Organization of Dubai
F&B has recorded fast growth in Dubai, as it is a major market center for international and regional food trade. Covering export and import, distribution and sale, this market is virtually inexhaustible for business entities of any scale.
Why You Need a License
For the licit operation, one has to obtain a Foodstuff Trading License in Dubai from the Department of Economic Development (DED) .Besides, this license can help you legitimize your business, gain entrance to Dubai’s market, and import/export goods as well as establish credibility.
Solutions for licensing include preparing for your license application.
1. Conduct Market Research Know what is trending, what the customer require and what your competitor is offering. Market knowledge will guide you to the right products to trade as well as locate your business within the market structure for effectiveness.
2. Selecting the Form of Business : Choose your type of business location as district or in free zone area.Free zones are known to have a tax incentive while on the other hand a mainland afforded for an easy access to the local market.
3. Select a Trading Name: Choose the appropriate brand which complies with the UAE laws regarding the business name. Solicit approval for a few choices with the DED.
4. Secure a Physical Location: Having one’s own office or commercial warehouse is necessary.To avoid penalties always guarantee that your facilities meet the Dubai Municipality’s set food safety standards.
How to get a Foodstuff Trading License Required Documents
You’ll need the following:
- Copy of passport of owners and partners
- Memorandum of Association (MOA)
- Single copy lease agreement for your office or warehouse
- A documented food safety plan;
- health certifications of food handlers if they reach a required number.
Step-by-Step Process To Obtain trading license
- Go for the business registration to Dubai Municipality for the sign off on Food safety.
- Apply for an import/export code if required, this can be got from Dubai Customs.
- Hand in all the necessary papers and provide all the needed payments.
Financial Considerations
- License and Setup Costs License fees: $3,400–$4,080
- Visa fees per employee: $820–$1,640
- Office rental: Average $5,445 per year
- Additional Costs: End of document clearing, trademark search and trademark registration
The approvals made by Dubai Municipality in the consumption of foods.
Operating Your Business
- Build Supplier Relationships: In the sourcing process ensure that quality and dependable sources are developed to ensure a steady and effective supply of products.
- Supply chain and Warehousing function: Supply chain and Warehousing function of a Company Maximises Dubai’s modernisation to make operational activities run as is most often planned.
- Stay Compliant: This appears timely renewal of food safety certifications, and constant hygiene practices in a bid to avoid the wrath of the law.
About Arnifi
Arnifi is digital first Corporate service provider helping companies enter the Middle East region, starting with UAE and Saudi Arabia markets. Founded and backed by professionals from Amazon, Souq and other large companies operating in KSA – the team understands what it takes to succeed as a startup in both UAE and Saudi Arabian markets, apart from going through the setup process multiple times. Arnifi will provide a truly digital experience to entry and scale up of companies both UAE and Saudi Arabia. Discover tailored solutions and strategic partnerships that propel your business forward. Check out at – www.Arnifi.com for more details.
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