Opening a cafeteria in Dubai means navigating multiple licenses and approvals. The cafeteria license cost in Dubai isn’t a single fee—you’re dealing with the Department of Economic Development, Dubai Municipality’s Food Safety Department, and other authorities depending on your setup.
Before you can start a cafeteria business in Dubai, you need a trade license, food license, and commercial approvals. The total cost varies based on whether you’re in a free zone or mainland, your location, and the type of license you need. A tea shop license cost in Dubai differs from a full cafeteria setup. For larger restaurants or fine dining concepts, check our Restaurant License Cost in Dubai.
Getting your cafeteria license in the UAE involves multiple steps and fees. Riz & Mona Consultancy has helped hundreds of entrepreneurs successfully navigate cafetria licensing. Let’s break down the true cost of your cafetria license.
Why Open a Cafeteria in Dubai?
Key Requirements for Cafeteria License
To obtain a cafeteria license in Dubai, your establishment must meet these fundamental criteria:
- Minimum Space: 500 sq.ft (significantly smaller than full restaurant requirements)
- Kitchen Area: Minimal equipment needed—no extensive cooking facilities required
- Setup Timeline: 2-4 weeks (faster approval than restaurant license)
- Alcohol Service: Not permitted (cannot serve liquor under cafeteria classification)
- Activity Code: 552001 (same classification as restaurants but simplified operational scope)
Types of Cafeteria Licenses in Dubai
The type of cafeteria license you need depends on your service concept and menu offerings. All cafeteria formats use Activity Code: 552001 under Dubai Municipality classification.
Tea Shop/Coffee Shop
Beverage-focused establishments serving tea, coffee, juices with light snacks. Ideal for quick-service concepts with minimal cooking requirements.
Juice Bar
Specializes in fresh juices, smoothies, blended drinks with optional light food items. Perfect for health-focused brands and fitness center locations.
Cafeteria
Ready-made food service including sandwiches, salads, and hot meals alongside beverages. Offers more extensive menus than coffee shops while maintaining simplified operations.
Cloud Kitchen (Delivery-Only)
Food preparation exclusively for delivery and online orders with no dine-in facilities. This modern format reduces overhead costs and focuses on food delivery platforms.
Kiosk/Mall Outlet
Small counter service operations in shopping centers or business districts. Space-efficient model with high foot traffic potential and lower rental costs.
Where you establish your cafeteria affects licensing requirements and market access when you start your food business in Dubai and UAE.
Mainland Cafeteria
Operate from any commercial space with unrestricted location access throughout Dubai. Serves walk-in customers anywhere in the emirate with complete market flexibility.
Free Zone Cafeteria
Located within designated free zones with operations primarily serving the zone. Can expand to mainland markets by obtaining a DET (Dubai External Trading) permit for broader distribution.
Mall/Shopping Center Outlet
Leased space within retail complexes benefiting from established foot traffic. Requires approval from both the mall management and Dubai Municipality.
Office Building Cafeteria
B2B-focused model serving corporate clients and office workers. Contracts directly with building management for steady customer base.
Step-by-Step Process to Get Your Cafeteria License in Dubai
Reserve Your Business Name
Submit a unique trade name to DED that follows UAE naming rules.
- Cost: AED 620-720
- Timeline: 1-2 days
Get Initial Approval from DED
Submit business plan, passport copies, and visa copies of all owners.
- Cost: AED 100-500
- Timeline: 3-5 days
Secure Location & Register Lease
Lease commercial space (minimum 500 sq ft) and register through Ejari.
- Cost: AED 195
- Timeline: Varies
Submit Kitchen Layout to Dubai Municipality
Prepare architectural drawings showing kitchen layout, equipment placement, prep areas, washing stations, ventilation, restrooms, and fire exits. Must comply with Dubai Food Code.
Most delays happen here get it right first time.
- Cost: Included
- Timeline: 5-7 days (longer if revisions needed)
Obtain Civil Defence NOC
Submit approved layout for fire safety verification emergency exits, alarms, and suppression systems.
- Cost: AED 1,500-3,000
- Timeline: 3-5 days
Apply for Trade License
Submit to DED: initial approval, MOA, shareholder passports, Ejari certificate, and layout approval.
- Cost: AED 10,000-15,000 (annual)
- Timeline: 3-5 days
Apply for Food License & Pass Inspection
Apply for a Food License from Dubai Municipality, not DED.
Submit to Dubai Municipality:
-
Trade license / initial approval
-
Approved kitchen layout
-
Ejari / tenancy contract
-
Owner/manager details
DM will schedule a food safety inspection of your cafeteria (hygiene, storage, temperature control, drainage, waste, etc.).
Cost: Approx. AED 1,000–3,000 (depends on size & activity; separate from trade license)
Timeline: 5–7 days (longer if re-inspection is needed)
Hire Staff & Get Final Permits
Recruit staff, apply for MOHRE visas, complete health checks and food safety training (AED 150-250/person). Apply for additional permits: signage (AED 1,000-4,000), delivery, shisha, or outdoor seating if needed.
- Timeline: 2-3 weeks
Collect your license from DED and open.
Critical: Steps 4 and 7 cause most delays. Use an experienced consultant to avoid kitchen layout rejections and inspection failures.
Start Your Online Business Journey with Our Expert Support!
Approvals Required
- Trade License: Business registration and legal authorization
- Trade Name Reservation: Confirms cafeteria name compliance
- Initial Approval Certificate: Preliminary permission before location setup
- Renewal: Annual
- Food Safety License: Mandatory for all food establishments
- Kitchen Layout Approval: Verifies compliance with Dubai Food Code (simpler than restaurants)
- Inspection: Physical verification before license issuance, routine inspections every 3 months
- Foodwatch Registration: Digital compliance tracking system
- Fire Safety NOC: Confirms fire safety compliance (emergency exits, extinguishers, alarms)
- Inspection: Safety verification of premises
- Renewal: Annual
- Ejari Registration: Mandatory tenancy contract registration for all commercial leases
- Requirement: Must complete before applying for trade license
- Food Handler Health Certificates: Mandatory for every staff member handling food
- Validity: 1 year, renewable annually
- Timeline: Must obtain within 30 days of employment
- Signage Permit: External signage approval from Dubai Municipality (if outdoor sign)
- Mall Management Approval: Required if operating inside shopping center
- Delivery License: If operating delivery services
Cafeteria License Cost in Dubai
Opening a cafeteria in Dubai means paying several government authorities. Below is every mandatory fee for obtaining a cafeteria license in Dubai, UAE, based on 2025 rates:
| Cost Item | Amount (AED) | Paid To |
|---|---|---|
| Trade Name Reservation | 620 – 720 | DED |
| Initial Approval Fee | 100 – 500 | DED |
| Business License (Cafeteria) | 10,000 – 15,000 | DED |
| Food Establishment License | 10,000 – 12,000 | Dubai Municipality |
| Civil Defence NOC | 1,500 – 3,000 | Civil Defence |
| Signboard Permit | 1,000 – 4,000 | Dubai Municipality |
| Ejari Registration | 100 – 240 | RERA |
| Immigration Card | 1,500 – 2,000 | GDRFA |
| Dubai Chamber Membership | 300 – 500 | Dubai Chamber |
| Local Service Agent (if needed) | 3,000 – 5,000 | Private |
| First-Year Total | 28,215 – 43,915 | — |
| Annual Renewal (Year 2+) | 24,000 – 35,000 | — |
What affects these costs:
Free zone setups start lower around AED 12,900 for basic packages but restrict where you can operate. Your business structure matters too: sole proprietorships cost less than LLCs upfront.
Additional permits like shisha service, outdoor seating, or delivery licenses add to these baseline costs.
Total Investment by Cafeteria Size + Summary Setup Costs
| Cafeteria Type | Total Investment (AED) | Best For | Staff Needed |
|---|---|---|---|
| Small (500–600 sq ft) | 120,000 – 170,000 | Tea shops, juice bars | 2–4 |
| Medium (700–900 sq ft) | 170,000 – 250,000 | Cafeterias with light meals | 5–7 |
| Premium (1,000+ sq ft) | 250,000 – 400,000+ | Full-service cafeterias | 8+ |
| Recommended Budget (Small Cafeteria) | 150,000 – 180,000 | — | — |
| Break-even Timeline | 12–18 months | — | — |
| Emergency Reserve | 30,000 – 50,000 | — | — |
One-Time Setup Costs
| Cost Category | Cost Range (AED) | Notes |
|---|---|---|
| Annual Rent | 40,000 – 200,000+ | Depends on location (Budget → Premium) |
| Interior Fit-Out | 50,000 – 500,000+ | Basic → Branded → Designer |
| Equipment & Kitchen Supplies | 15,000 – 80,000+ | Coffee machines, chillers, grinders |
| Furniture & Fixtures | 10,000 – 35,000 | Chairs, tables, counters |
| Initial Inventory | 10,000 – 30,000 | Coffee, tea, milk, packaging |
| Staffing (First 3 Months) | 20,000 – 40,000 | Salaries + visas + medical tests |
| Marketing & Branding | 5,000 – 20,000 | Logo, menu, social media, launch |
| Professional Services | 8,000 – 20,000 | PRO, legal, consultancy fees |
| First-Year Licensing | 28,000 – 44,000 | Trade + food license + NOCs |
| Total Initial Investment | 120,000 – 400,000+ | Small → Premium setups |
Operating & Renewal Costs + Emirate Comparison
| Cost Category | Amount (AED) | Notes |
|---|---|---|
| Annual License Renewal | 24,000 – 35,000 | Trade + food + civil defence + chamber |
| Monthly Operating Cost | 15,000 – 25,000 | Rent, staff, utilities, inventory, marketing |
| Dubai License Cost | 10,000 – 30,000 | Highest market demand |
| Sharjah License Cost | 8,000 – 20,000 | Medium demand |
| Ajman License Cost | 7,000 – 15,000 | Lower demand |
| Which Emirate Is Best? | Dubai = Best Sales | Sharjah/Ajman = Lower Costs |
Mainland vs Free Zone
| Aspect | Dubai Mainland | Free Zone |
|---|---|---|
| Best For | Walk-in cafeteria, tea shop with foot traffic | Cloud kitchen, delivery-only, budget startup |
| Setup Cost | AED 150,000-250,000 | AED 80,000-150,000 |
| Licensing Timeline | 2-4 weeks | 1-2 weeks |
| Market Access | Entire Dubai & UAE | Free zone + export only |
| Walk-in Customers | Yes | No |
| Local Service Agent | Required (AED 3,000-5,000/year) | Not needed |
| License Authority | DED + Dubai Municipality | Free Zone Authority |
| Ownership | Available for all | 100% foreign ownership |
| Visa Quotas | Less restrictive | Tied to office size |
| Best Decision | Opening physical location | Delivery/export focused |
Documents Required to open a tea shop
- Trade Name Reservation Certificate
- Initial Approval Certificate
- Passport Copies of All Business Partners and Shareholders
- No Objection Certificate (NOC) from Current Sponsor (if applicable)
- Memorandum of Association (MOA)
- Lease Agreement (Ejari)
- Location Plan
- Food Safety Documentation
- Civil Defence Approval
- Signage Permit
- Health and Fitness Certificates for Food Handlers
- Professional License (if applicable)
- Insurance Certificates
- Interior Fit-Out Approval (if applicable)
- Environmental Impact Assessment (if applicable)
Dubai Municipality Food Safety Inspection – What to Expect
Passing Dubai Municipality’s food safety inspection is mandatory before opening and ongoing throughout operations.
Inspection Types
Pre-Opening: Verifies your facility matches approved layouts and all equipment is installed correctly. Must pass to receive your food license.
Routine: Unannounced visits every 3 months. Results in public letter grades: A (Excellent/Green), B (Very Good/Green), C (Acceptable), D (Poor/Orange), or F (Very Poor/Red).
Follow-Up: If deficiencies are found, inspectors return to verify corrections.
What Inspectors Check
- Facility layout matches approved plans
- Food storage temperatures (cold ≤4°C, frozen ≤-18°C)
- Separate handwashing stations with soap
- Staff health certificates and food safety training
- Temperature monitoring logs on Foodwatch
- Pest control contracts and records
- Cross-contamination prevention
- Proper ventilation and drainage
- Arabic labeling on all products
- Equipment calibration and maintenance
Common Failures
Temperature violations, missing staff certificates, inadequate handwashing facilities, pest evidence, and layout deviations from approved plans.
Critical: Have a certified Person In Charge (PIC) with Level 3 training on-site daily—they’re legally responsible for compliance.
FAQS (Frequently Asked Questions)
Can I start operating my cafeteria while waiting for my food license?
No, you must receive final approval and food license from Dubai Municipality before serving any customers. Operating without proper licenses results in heavy fines and potential business closure. You can prepare your venue during the waiting period.
What happens if I fail the Dubai Municipality food safety inspection?
If deficiencies are found, you receive a follow-up inspection timeline (typically 5-15 days) to correct issues. Serious violations result in a “Grade D” or “Grade F” card, requiring immediate remedial action. Consistent failures can lead to license suspension or revocation.
Can I operate a cafeteria from a residential building or home office?
No, residential locations are strictly prohibited for food businesses. You must lease a commercial space classified for food service. Dubai Municipality conducts location verification as part of the approval process.
How often will Dubai Municipality inspect my cafeteria after opening?
Routine inspections occur every 3 months (4 times yearly) on an unannounced basis. Additional follow-up inspections may occur if previous inspections revealed deficiencies or safety violations.
What is the minimum number of staff I need to hire to open a cafeteria?
There’s no legal minimum, but practically you need at least 2-3 staff (cook/barista, server, cleaner) for daily operations. One must be designated as Person In Charge (PIC) with Level 3 food safety certification.
Do I need to register my suppliers on the Foodwatch system?
Yes, all food suppliers must be approved and registered on Dubai Municipality’s Foodwatch Smart Contracts system before you can purchase from them. You can only purchase from suppliers listed in the system.
