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How To Start a Small Cafeteria in Dubai

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  • By Robin Sebastian
  • November 10, 2025
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Thinking about starting your own small cafeteria in Dubai? You’re not alone. Dubai’s growing population, vibrant tourism, and multicultural food culture make it one of the best places to open a cafeteria business.

A small cafeteria can be a profitable venture, offering affordable meals, coffee, and snacks in a friendly space where people come together. But to succeed, you’ll need to understand the setup process, licensing requirements, costs, and location.

This guide explains step-by-step how to start your cafeteria business in Dubai, the easy way.

Why Is Dubai a Great Place To Start a Cafeteria?

Dubai’s mix of residents, expats, and tourists creates a high demand for cafeterias serving affordable food and beverages. Here’s why it’s a smart business idea:

  • Dubai’s large working population looks for quick and budget-friendly food options.
  • Millions of tourists visit every year and prefer casual dining places.
  • Cafeterias require less investment compared to full-scale restaurants.
  • You can serve a wide variety of cuisines, Arabic snacks, Indian fast food, or coffee and sandwiches.
  • Once successful, you can expand into catering, delivery, or even franchise models.

Where Should I Open My Cafeteria in Dubai?

Location plays a big role in your success. The best cafeteria locations in Dubai are those with high footfall, near offices, residential communities, or tourist areas.

Popular spots include:

  • Business Bay, Dubai Marina, or Downtown Dubai (ideal for office crowd)
  • Karama, Deira, or Bur Dubai (dense residential areas)
  • Near attractions like Global Village, The Palm Jumeirah, or Dubai Mall

Raes Associates can help you find a commercial location that meets all Dubai Municipality guidelines and fits your budget.

What Licenses Do I Need To Open a Cafeteria in Dubai?

You’ll need a food and beverage trade license from the Department of Economic Development (DED) and food safety approvals from the Dubai Municipality.

Here’s a breakdown of what’s required:

  • Trade License: Issued by DED for mainland cafeterias or by free zone authorities for free zone setups.
  • Food Safety License: From Dubai Municipality’s Food Control Department.
  • Layout Approval: For your kitchen and seating area (must meet hygiene standards).
  • Employee Health Cards: For all food-handling staff after medical tests.

What’s the Best Business Structure for a Cafeteria?

Choosing the right business structure helps with ownership, operations, and compliance.

Options include:

  • Sole Proprietorship: For small cafeterias run by one person.
  • LLC (Limited Liability Company): Ideal if you have partners or investors.
  • Free Zone Company: Offers 100% ownership, but limited access to the local market without a distributor.

Raes Associates can advise you on the best structure based on your investment, goals, and market reach.

How Much Does It Cost To Start a Cafeteria in Dubai?

The investment depends on the size, location, and interior design of your cafeteria.

Approximate cost breakdown:

Expense

Estimated Cost (AED)

Trade License & Approvals

15,000 – 25,000

Rent for Space

60,000 – 200,000 (annually)

Kitchen Equipment & Furniture

100,000 – 150,000

Interior Design & Fit-Out

50,000 – 100,000

Initial Food Stock

20,000 – 40,000

Salaries & Visa Costs

30,000 – 60,000

 Pro Tip: Raes Associates can help you plan your cafeteria’s financial setup and avoid unnecessary costs.

What Documents Are Needed To Get a Cafeteria License?

To get your cafeteria trade license, you’ll need to submit:

  • Passport copies of owners/partners
  • Emirates ID (if applicable)
  • Trade name reservation certificate
  • Tenancy contract and Ejari
  • Initial approval from DED
  • Kitchen layout plan
  • NOC and Food Safety approval from Dubai Municipality

How To Get Approval for Cafeteria Design and Layout

Your layout must follow the Dubai Food Code and Municipality safety standards.
Make sure to:

  • Have a proper ventilation system
  • Maintain hygiene and pest control measures
  • Separate raw and cooked food storage areas
  • Install proper drainage and waste disposal
  • Use washable flooring and walls

Raes Associates can help you coordinate with the Municipality for smooth layout approvals.

Do I Need Staff for a Small Cafeteria in Dubai?

Yes. Hiring skilled staff ensures smooth operations and better customer service.

Essential staff include:

  • Chef/Cook: To prepare meals
  • Waiters/Service Staff: To serve customers
  • Cashier/Manager: To handle daily operations

 All staff handling food must have valid health cards issued after medical testing.

Do I Need To Register for VAT?

Yes, if your annual turnover exceeds AED 375,000, you must register your cafeteria for VAT in Dubai. Raes Associates can assist with VAT registration and tax compliance.

How Much Profit Can I Make From a Cafeteria in Dubai?

A well-run cafeteria can expect profit margins between 20% and 35%. Profits depend on:

  • Location and customer base
  • Menu pricing
  • Delivery and online presence
  • Cost control and waste management

Partnering with delivery platforms like Talabat or Zomato can significantly increase your sales.

How Can I Promote My Cafeteria Business in Dubai?

To attract customers, focus on digital and local marketing:

  • Google Maps Listing: Add your cafeteria for better visibility.
  • Social Media: Share menu photos, offers, and updates on Instagram, TikTok, and Facebook.
  • Promotions: Offer loyalty cards, combo meals, or lunch discounts.
  • Collaborations: Partner with nearby offices for regular meal packages.

What Rules Should I Follow To Run a Cafeteria in Dubai?

  • Maintain food hygiene and safety at all times.
  • Keep storage areas clean and well-refrigerated.
  • Get regular pest control and waste management checks.
  • Renew licenses and health cards on time.
  • Train staff regularly on customer service and cleanliness.

What Are the Benefits of Starting a Cafeteria in Dubai?

  1. High Profit Potential: Cafeterias enjoy low prices but high volume sales, ensuring stable income.
    2. Easy Setup: Compared to restaurants, licensing and approvals are simpler.
    3. Expanding Market: Dubai’s population and tourism continue to grow.
    4. Scalable Business: Start small and grow into delivery kitchens or multi-branch chains.
    5. Steady Demand: With busy lifestyles and year-round tourism, cafeterias are always in demand.

How Raes Associates Helps You Set Up Your Cafeteria in Dubai

Starting a cafeteria involves multiple approvals, licenses, and compliance steps, and that’s where Raes Associates comes in.

We simplify the entire process for you:

  • Trade license and company registration
  • Food safety and layout approvals
  • Tenancy and Ejari assistance
  • Visa processing and PRO services
  • Financial planning and cost estimation

With our expertise, you can open your cafeteria smoothly, legally, and quickly.

FAQs About Starting a Small Cafeteria in Dubai

  1. How much money do I need to open a cafeteria in Dubai?
    On average, AED 200,000 to AED 500,000, depending on your location, size, and setup.
  2. Can foreigners open a cafeteria in Dubai?
    Yes, expatriates can start cafeterias in both mainland and free zones with proper trade licenses.
  3. Do I need food industry experience?
    Not necessarily. With proper guidance from Raes Associates, even first-time investors can start successfully.
  4. What approvals are needed for my cafeteria design?
    You need approval from Dubai Municipality for kitchen layout and hygiene compliance.

Ready To Start Your Cafeteria in Dubai?

If you’re planning to open a small cafeteria in Dubai, Raes Associates can make the setup process simple and stress-free.

From business licensing to location selection, we’ll guide you every step of the way.

 Book a free consultation today and turn your cafeteria dream into a successful business!

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Planning to start a small cafeteria in Dubai? Learn about trade licenses, costs, approvals, and setup steps with expert help from Raes Associates.

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Robin Sebastian

Chartered Accountant | Certified Management Accountant (UAE, India & United States) | Business Setup Consultant | 17 Years of Industry Expertise
Robin Sebastian is the Director of RAES Associates and a qualified Chartered Accountant & Certified Management Accountant with credentials in the UAE, India, and the United States. With over 17 years of industry experience, he specializes in audit, taxation, compliance, strategic financial advisory, and business setup solutions. Robin has helped numerous entrepreneurs and corporations establish and expand their operations in the UAE, offering end-to-end support with company formation, regulatory requirements, and financial structuring. Through his expertise and insights, he empowers businesses to navigate complex financial regulations, optimize resources, and achieve sustainable growth.
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