Ajman is quickly becoming a preferred destination for food businesses, especially cafeterias, due to its affordable setup costs and business-friendly regulations. Entrepreneurs can setup their business with lower investment compared to larger emirates while accessing a growing local market.
This guide provides a clear breakdown of cafeteria permit costs in Ajman, including trade licenses, permits, and other necessary fees. With this information, business owners can plan effectively and avoid unexpected expenses during setup.
Why Entrepreneurs Are Choosing Ajman for Cafeterias?
What Is a Cafeteria License?
A cafeteria license is an official permit that allows you to legally operate a cafeteria in Ajman. It is required before serving food to the public to ensure your business complies with local regulations.
The license is issued by the Ajman Department of Economic Development (DED), along with approvals from the Food & Safety Department. It is separate from a general trade license, which covers your commercial activity, while the cafeteria license specifically addresses food handling and hygiene standards.
Operating without the proper license can result in fines, penalties, or even business closure, making it essential to secure both trade and food licenses before starting operations.
Cafeteria License Cost in Ajman (UAE)
These are the essential fees required to legally operate a cafeteria on the Ajman mainland.
- Cafeteria Trade License
Issued by the Ajman Department of Economic Development (Ajman DED).
For a standard cafeteria with average seating capacity, the annual license fee typically ranges between
AED 9,500 – AED 10,500. - Food Safety & Hygiene Permit
Mandatory for all food and beverage establishments to ensure compliance with UAE health regulations.
Annual cost usually falls between
AED 4,500 – AED 5,500. - Municipality & Health Inspections
Initial and follow-up inspections conducted before final approval.
Estimated cost: AED 200 – AED 1,000.
Estimated basic cost:
AED 15,000 – AED 16,500 per year
These costs depend on the cafeteria’s size, seating capacity, and equipment.
- Additional Seating Fees
Charged when the cafeteria exceeds the base approved capacity.
Approx. AED 500 per additional seat. - Kitchen & Equipment Registration
Applies to cooking, refrigeration, and food-handling equipment.
Starts from around AED 1,000 per registered item. - Trade Name & Initial Approvals
Includes name reservation, initial application processing, and related administrative charges.
Approx. AED 1,000 – AED 3,000. - Tenancy Contract & Signage Approvals
Lease attestation and exterior signage permissions from authorities.
Approx. AED 500 – AED 1,000.
Estimated additional cost:
AED 3,000 – AED 7,500 (depending on setup)
For a standard cafeteria with moderate seating and basic kitchen equipment, the total first-year cost of licensing typically falls within:
AED 18,000 – AED 24,000
This estimate covers licensing and regulatory approvals only. It does not include rent, fit-out, staff visas, salaries, or operating capital, which should be planned separately.
Factors Influencing Cafeteria License Cost in Ajman
The cost of a cafeteria license in Ajman is not always the same. It can change based on the size of the cafeteria, the type of food served, and where the business is registered.
Size and Seating Capacity
Cafeterias with more seating usually cost more to license. This is because extra seats often come with additional seat fees. Larger cafeterias may also need more inspections and safety checks, which can increase the total cost.
Business Activity and Type
The type of food you serve affects the cost. Cafeterias that prepare hot food or fresh meals usually face stricter hygiene rules. These businesses may need more inspections and approvals compared to outlets serving simple or pre-packed items.
Mainland vs Free Zone Jurisdiction
The location of your license also matters. A mainland license allows you to serve customers directly in Ajman but often costs more. A free zone license may be cheaper, but it usually does not allow walk-in customers or dine-in service without extra approvals.
Start Your Cafeteria Business in Ajman with Expert Guidance!
Tips to Manage Cafeteria License Costs in Ajman
Starting with a small cafeteria can help reduce license and inspection costs. Fewer seats usually mean lower fees and fewer approvals. You can expand seating and operations once the business is running well.
A simple menu helps reduce hygiene and inspection requirements. Cafeterias that serve basic items often face fewer compliance checks. Hot or special food items can be added later with proper approvals.
Mainland licenses allow you to serve customers directly but may cost more. Free zone licenses are often cheaper but come with restrictions on walk-in customers. Choosing the right option can help control costs.
Cafeteria licenses must be renewed every year. Planning for renewal costs in advance helps avoid fines and business delays. Late renewals can increase expenses and cause temporary closure.
Good hygiene practices reduce the risk of failed inspections. Regular cleaning and staff training help maintain compliance. This prevents extra inspection fees and penalties.
The fees and rules can change over time. Always confirm the latest costs with the relevant authority before applying. This helps you avoid surprises and delays.
License Renewal and Ongoing Costs
Cafeteria licenses in Ajman must be renewed every year. The renewal cost is usually similar to the initial fee. Businesses must renew the trade license and the food safety permit to continue operating legally.
In addition to renewal fees, cafeterias must pass regular health and hygiene inspections. These inspections may carry small charges, especially if follow-up visits are required. Any changes in seating capacity, menu type, or equipment may also lead to extra approval costs.
There are also ongoing compliance expenses to consider. These include equipment maintenance, hygiene training, and permit updates. Planning for these yearly costs helps avoid penalties and ensures smooth business operations.
FAQS (Frequently Asked Questions)
What is the process for a cafeteria business setup in Ajman?
Setting up a cafeteria in Ajman involves reserving a trade name, securing necessary approvals, meeting hygiene requirements, and completing registration with the relevant authority. Planning the steps carefully ensures smooth operations.
Can I start a free zone company for my cafeteria?
Yes, Ajman Free Zone allows entrepreneurs to register a free zone company. This option often provides faster registration, simpler processes, and flexible office space solutions, but may restrict direct walk-in customer service.
Do I need office space for a cafeteria business in Ajman?
While a physical cafeteria location is required, separate office space is not mandatory for smaller setups. However, having a designated space for administrative work can simplify permit approvals and record-keeping.
How does Ajman mainland license cost compare to free zone options?
Ajman mainland licenses typically allow full customer service and operations within the emirate, while free zone options are generally cheaper but may have restrictions. Choosing between the two depends on business goals.
What documents are required for starting a business in Ajman?
Essential documents include trade name reservation, tenancy agreement, passport copies, Emirates ID for shareholders, and approvals from food safety authorities. Accurate submission speeds up the registration process.
Can I operate a cafeteria as a business in Dubai with an Ajman license?
Generally, mainland Ajman licenses allow operations only within Ajman. To serve customers in Dubai, businesses usually need a Dubai-specific permit or a free zone company that permits cross-emirate operations.
How does the type of license affect operations of business in the UAE?
Generally, mainland Ajman licenses allow operations only within Ajman. To serve customers in Dubai, businesses usually need a Dubai-specific permit or a free zone company that permits cross-emirate operations.
Is Emirates ID mandatory for shareholders and staff?
Yes, Emirates ID registration is required for business owners and employees. It is a key part of all official approvals and is necessary for visa processing and other government interactions.
What should I consider before setup in Ajman?
Location, seating capacity, hygiene standards, and equipment requirements are critical. Planning these factors early can reduce delays and extra costs during registration and inspections.
How can I estimate the cost of an Ajman cafeteria business?
While exact numbers vary, you can calculate total expenses by adding licensing charges, hygiene permits, inspection fees, setup, and administrative costs. Consulting local authorities or a business setup consultant provides the most accurate estimate.
