What does launching a restaurant in Dubai actually cost? From licensing fees to hidden expenses, understanding the complete cost breakdown is essential for accurate budgeting. This guide reveals exactly what you’ll pay at every stage of the licensing process so you can plan with confidence. If you’re planning a smaller setup, see our detailed guide on Cafeteria License Cost in Dubai.
Whether you’re exploring your options or ready to take action, Riz & Mona Consultancy has helped hundreds of entrepreneurs successfully navigate licensing. Let’s break down the true cost of your restaurant license.
Why Open a Restaurant in Dubai, UAE?
Pro Tip: Restaurant licensing in Dubai is competitive but straightforward when you understand the requirements upfront.
How to Obtain a Restaurant License in Dubai: 8-Step Process
Reserve Trade Name (1-2 Days)
Submit restaurant name to DED or Free Zone Authority. Name must comply with UAE conventions and not duplicate existing businesses.
Obtain Initial Approval (2-3 Days)
Receive preliminary permission from DED confirming activity code (552001 for restaurants) and legal structure approval.
Secure Space & Register Ejari (3-5 Days)
Lease restaurant premises meeting 750 sq.ft minimum (kitchen: 300 sq.ft or 40% of total). Register tenancy through Ejari.
Submit Kitchen Layout (5-7 Days)
Approved engineering layout showing kitchen equipment, ventilation, storage, and safety systems to Dubai Municipality.
Apply for Food Safety License (7-10 Days)
Submit to Dubai Municipality’s FoodWatch portal. Requires HACCP compliance and staff food safety training.
Obtain Civil Defense NOC (3-5 Days)
Dubai Civil Defense approves fire safety compliance including extinguishers, exits, and alarms.
Receive Final Trade License (2-3 Days)
DED or Free Zone Authority issues official trade license after all approvals received.
Total Timeline: 3-6 weeks | Common Delays: Incomplete documentation (70% of delays), kitchen layout rejections, missing health cards
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Approvals Required for Your Restaurant License in Dubai
The first step to start a restaurant in Dubai is obtaining your trade license from either the Department of Economic Development for mainland operations or the relevant free zone authority.
- Trade License: Primary business registration and legal authorization to operate your restaurant business
- Trade Name Reservation: Confirms your restaurant name complies with UAE regulations
- Initial Approval Certificate: Preliminary permission before securing location
- Renewal: Annual (every 12 months)
Approval from the Dubai Municipality is essential for any food establishment. The Dubai Municipality’s Food Safety Department ensures your restaurant meets all health and food safety regulations.
- Food Safety License: Mandatory for all food establishments to legally operate
- Kitchen Layout Approval: Verifies compliance with Dubai Food Code requirements
- Inspection: Physical verification before license issuance and routinely every 3 months
- Foodwatch Registration: Digital system for supplier management and compliance tracking
Fire safety compliance is mandatory before you can get a restaurant license issued.
- Fire Safety NOC (No Objection Certificate): Confirms compliance with fire safety standards
- Inspection: Checks emergency exits, fire extinguishers, suppression systems, alarms
- Renewal: Annual
For any commercial restaurant setup, you must register your lease agreement officially.
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- Ejari Registration: Mandatory tenancy contract registration for all commercial leases
- Requirement: Must be completed before applying for trade license
If you plan to serve alcohol, additional approvals from Dubai Tourism are required.
- Tourism License: Required for fine dining establishments serving alcohol
- Liquor License: Separate permit for alcohol service (coordinated through DTCM)
All staff working in your food business must obtain health certification to ensure food safety compliance.
- Food Handler Health Certificates: Mandatory for every staff member handling food
- Validity: 1 year, must be renewed annually
- Timeline: Must obtain within 30 days of employment
Depending on your restaurant type and location of your restaurant, you may need supplementary licenses and permits.
- Signage Permit: External signage approval from Dubai Municipality
- Outdoor Seating Permit: If offering terrace/outdoor dining
- Delivery License: If operating food delivery services through RTA-registered vehicles
Total Approval Timeline: 3-6 weeks (mainland) | 2-4 weeks (free zone)
Your Three Largest Expenses Explained
1. Trade License (40-60% of Total Cost)
The trade license represents your single largest investment when obtaining a food license. Costs range AED 10,000 – 30,000 based on:
- Restaurant size: Larger spaces incur higher license fees
- Annual lease value: 5% market fee applies to your rent
- Location: Prime areas like Downtown and Marina cost more than emerging neighborhoods
Example Calculation:
- Annual rent: AED 200,000
- 5% market fee: AED 10,000
- Base license: AED 10,000 – 15,000
- Total trade license: AED 20,000 – 25,000
2. Food Safety License (15-30% of Total Cost)
The Dubai Municipality’s Food Safety Department charges AED 6,000 – 15,000 depending on:
- Kitchen size and equipment scope
- Type of food establishment
- Inspection and ongoing compliance requirements
This license is essential before you can operate a restaurant and ensures your business meets all food safety standards in the UAE.
3. Supporting Approvals (10-20% of Total Cost)
Individual permits add up quickly and are necessary to comply with UAE regulations:
- Civil Defense NOC: AED 500 – 5,000 (varies by kitchen complexity and fire safety systems)
- Layout Approvals: AED 500 – 1,000 (kitchen design verification)
- Fire Safety Infrastructure: Additional equipment requirements based on facility size
Cost Breakdown: Restaurant License in Dubai
Primary Licensing Fees
These are the essential costs required to get a restaurant license and legally operate your food business.
| Fee Type | Cost (AED) | Issuing Authority |
|---|---|---|
| Trade Name Registration | 620 – 720 | DED |
| Initial Approval Certificate | 115 – 220 | DED |
| Trade License (Mainland Restaurant) | 10,000 – 30,000 | DED |
| Food Safety License | 6,000 – 15,000 | Dubai Municipality |
| Ejari (Tenancy Registration) | 100 – 240 | Dubai Land Department |
The trade license for a restaurant forms your largest expense, while approval from the Dubai Municipality ensures your establishment meets all food safety regulations.
Supporting Approvals & Permits
Beyond the primary license cost in Dubai, you need additional permits to ensure your restaurant complies with health and safety standards.
| Fee Type | Cost (AED) | Purpose & Authority |
|---|---|---|
| Layout Plan Approval | 500 – 1,000 | Kitchen layout compliance (Municipality) |
| Food Handler Health Cards | 170 – 600 per person | Mandatory for each staff (DHA) |
| Civil Defense NOC | 500 – 5,000 | Fire safety compliance (Civil Defense) |
| Signage Permit | 2,000 – 5,000 | External signage (Municipality) |
Important: Health cards are required for every food-handling staff member within 30 days of employment. Budget AED 500-1,800 for initial staff (3-5 people) when you start your restaurant.
Optional Costs (If Applicable)
Depending on your type of restaurant and specific business needs, you may require additional licenses and permits.
| Fee Type | Cost (AED) | When Required |
|---|---|---|
| Liquor License (Initial) | 20,000 – 50,000 | Only if serving alcohol |
| Liquor License (Annual Renewal) | 10,000 – 20,000 | Yearly after initial setup |
| Memorandum of Association (MOA) | 2,000 – 4,000 | If registering as LLC |
| Notary & Legal Fees | 500 – 1,500 | Document attestation |
The liquor license adds significant cost but is only needed if your restaurant business will serve alcoholic beverages.
Total Cost Summary: What You’ll Actually Pay
Understanding the complete restaurant license cost in Dubai helps you plan your investment accurately.
Mainland vs Free Zone: Cost Comparison
| Cost Component | Mainland (AED) | Free Zone (AED) |
|---|---|---|
| Trade License | 10,000 – 30,000 | 8,000 – 18,000 |
| Total License Costs | 30,000 – 40,000 | 22,000 – 32,000 |
| Annual Renewal | 25,000 – 30,000 | 18,000 – 25,000 |
Cost Savings: Free Zone vs Mainland
- Trade License: 20-40% cheaper
- Total Setup: 25-35% savings
- Annual Renewal: 20-30% lower
The Trade-Off:
✓ Free Zone saves AED 8,000-10,000 initially
✓ Perfect for startups with tight budgets
✓ Can access mainland market via DET permit (updated March 2025)
✓ Initially zone-restricted, but expandable to mainland
✓ 0% corporate tax (vs 9% mainland)
Important: Free zone companies can now establish mainland branches and serve walk-in customers with proper permits from Dubai Economy & Tourism (DET), effective March 2025.
Renewal Process
- Renewed annually on your license anniversary date
- Submit renewal application to DED 1-2 months before expiration
- Requires updated Ejari certificate and proof of occupancy
- Processing time: 3-5 working days
- Failure to renew results in business closure and penalties
- Renewed annually by Dubai Municipality
- Submit via FoodWatch portal with:
- Updated HACCP documentation
- Current staff health certificates
- Inspection compliance records
- Unannounced inspections occur every 3 months
- Each staff member’s health certificate expires annually
- Must be renewed before expiration date
- Obtain from Dubai Health Authority (DHA)
- New employees require health certificate within 30 days of hiring
- Fire safety NOC renewed annually
- Signage permit renewed if any changes made to external signage
- Submit together with trade license renewal for convenience
- Mark your license anniversary date on calendar
- Set reminders 60 days before expiration
- All staff health cards expire on their anniversary dates
- Submitting renewal after expiration (results in closure)
- Missing updated Ejari certificate
- Expired staff health certificates
- Incomplete FoodWatch documentation
- Not updating supplier list on Foodwatch
Required Documents Checklist
To obtain your restaurant license in Dubai, submit these essential documents to the relevant authorities.
Personal & Legal Documents
- Passport copies (all owners/partners)
- Emirates ID (if resident in UAE)
- Memorandum of Association (if LLC structure)
Property & Tenancy
- Lease agreement (RERA-attested)
- Ejari registration certificate
- No Objection Certificate from landlord
Kitchen & Engineering
- Kitchen layout plan (3 hard copies + 1 digital)
- MEP/HVAC engineering drawings
- Equipment specifications list
Health & Safety
- Food handler health certificates (one per staff)
- Food safety training certificates (DHA-approved)
- HACCP/Food safety plan
Government Approvals
- Trade name reservation certificate (DED)
- Initial approval certificate (DED)
- Civil Defense NOC
- Kitchen layout approval (Dubai Municipality)
Annual Renewal Costs After First Year
Below are the annual renewal costs that must be taken into account;
| Renewal Item | Annual Cost (AED) |
|---|---|
| Trade License Renewal | 8,000 – 15,000 |
| Food Safety License Renewal | 5,000 – 10,000 |
| Health Cards (per staff) | 170 – 600 |
| Signage & Permits (if changes) | 2,000 – 3,000 |
| Total Annual Renewal | 15,000 – 30,000 |
FAQS (Frequently Asked Questions)
How much does a restaurant license cost in Dubai?
A standard restaurant license costs AED 30,000-40,000 in licensing fees, with total first-year investment ranging AED 50,000-90,000 including all approvals and permits.
How long does it take to get a restaurant license in Dubai?
The standard timeline is 4-6 weeks for all approvals and final license issuance, though fast-track consultants can reduce this to 2-3 weeks.
Can I apply for a restaurant license online?
Yes, you can apply through DED’s e-Services portal for trade license and Dubai Municipality’s FoodWatch portal for food safety license, though initial approvals require in-person visits.
What is the difference between mainland and free zone restaurant licenses?
Mainland licenses (AED 15,000-30,000) allow unrestricted UAE market access; Free Zone licenses (AED 10,000-25,000) cost less but limit operations to the zone only.
Do I need a liquor license if I want to serve alcohol?
Yes, a separate liquor license (AED 20,000-50,000 initial + AED 10,000-20,000 annual) is mandatory for serving alcohol and typically adds 6-8 weeks to your timeline.
What happens if my restaurant license application is rejected?
Common rejections stem from non-compliant kitchen layouts, missing health certificates, or incomplete documents; resubmit corrected documents within 10-15 days to avoid starting the process over.
