Introduction: Tea and Coffee Business Setup in Dubai, UAE
Dubai’s vibrant café culture and ever-growing demand for specialty beverages make the tea and coffee business setup in Dubai, UAE a highly attractive opportunity for entrepreneurs and investors. From premium coffee boutiques to affordable tea shops, the city offers a dynamic market supported by a diverse population, strong tourism, and a lifestyle-driven food and beverage sector. Whether you plan to open a tea and coffee shop in Dubai or launch a delivery-focused concept, understanding the licensing process, costs, and setup requirements is essential for success.
Starting a tea and coffee shop business in Dubai, UAE requires obtaining the appropriate tea and coffee shop license in Dubai, complying with food safety regulations, and choosing the right business location. Entrepreneurs must also evaluate the tea and coffee shop business license cost in Dubai, UAE, along with other expenses such as rent, equipment, staffing, and approvals. Options like rental tea and coffee shop setup in Dubai, UAE and flexible licensing packages can help reduce initial investment and make entry easier.
This guide explains how to start a tea and coffee shop in Dubai, UAE, covering licensing options, costs, and key considerations. With proper planning, it is possible to secure the cheapest business license in Dubai, manage the cost of starting business in Dubai, and set up a profitable company in Dubai UAE with long-term growth potential.
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Benefits of Tea and Coffee Shop Setup in Dubai, UAE
Setting up a tea and coffee shop in Dubai, UAE offers multiple advantages for entrepreneurs looking to enter the food and beverage sector.
Below are the key benefits that make Dubai an ideal destination for this business:
- High Market Demand
Dubai has a strong café culture driven by tourists, expatriates, and residents. The demand for specialty tea, artisan coffee, and casual cafés continues to grow, ensuring consistent customer flow throughout the year. - Diverse Customer Base
With people from over 200 nationalities, Dubai provides a multicultural market. This allows tea and coffee shop owners to offer varied menus and cater to different tastes, increasing sales potential. - Attractive Business Environment
Dubai offers a business-friendly ecosystem with clear regulations, modern infrastructure, and supportive government policies. Entrepreneurs can choose from mainland or free zone options based on their business model. - Flexible Setup Options
You can start with a small kiosk, café, or a rental tea and coffee shop setup in Dubai, UAE, which helps reduce initial investment and operational risk. - Profitable Business Potential
Beverage businesses typically enjoy healthy profit margins. With the right location, pricing, and branding, a tea and coffee shop business in Dubai, UAE can generate steady and scalable revenue. - Access to the Cheapest Business License in Dubai
Depending on the activity and jurisdiction, entrepreneurs can secure cost-effective licensing options, helping manage the cost of starting business in Dubai. - Tourism and Lifestyle Hub
Dubai’s status as a global tourism and lifestyle destination ensures year-round footfall, especially in malls, business districts, and residential communities. - Easy Expansion Opportunities
Once established, businesses can expand through multiple outlets, delivery platforms, or franchising, allowing you to set up a profitable company in Dubai UAE with long-term growth opportunities.
Overall, a tea and coffee shop setup in Dubai combines strong demand, supportive regulations, and high profitability, making it a smart investment choice.
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What Is a Tea and Coffee Shop License in Dubai?
A Tea and Coffee Shop License in Dubai is an official trade license issued by the Dubai Department of Economy and Tourism (DET) or a relevant free zone authority. This license legally allows entrepreneurs to operate a café, tea shop, or coffee shop in Dubai, UAE. It falls under food and beverage business activities and is mandatory for any business involved in preparing, serving, or selling tea, coffee, and related beverages to customers.
Why Do You Need a Tea and Coffee Shop License?
Obtaining a tea and coffee shop license in Dubai is essential for the following reasons:
- Legal Compliance: Operating without a valid license can lead to fines, penalties, or business closure.
- Food Safety Approval: The license ensures your business complies with Dubai Municipality food safety and hygiene regulations.
- Business Credibility: A licensed business builds trust with customers, suppliers, landlords, and delivery platforms.
- Visa Eligibility: The license allows you to apply for investor and employee visas.
- Bank Account Opening: A valid trade license is required to open a corporate bank account in the UAE.
In short, you need this license to legally open a tea and coffee shop in Dubai and operate without regulatory risks.
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Activities Allowed Under a Tea and Coffee Shop License
With a tea and coffee shop business license in Dubai, UAE, you can legally carry out the following activities:
- Preparation and sale of tea, coffee, and specialty beverages
- Serving hot and cold drinks for dine-in and takeaway
- Selling light snacks, bakery items, and packaged food (as approved)
- Operating a café, kiosk, or small restaurant-style setup
- Takeaway and delivery services through online platforms
- Sale of bottled beverages and ready-to-drink products
- Catering for small events (subject to additional approvals)
Depending on the license type and approvals, you may also include outdoor seating or operate within malls and commercial spaces.
A tea and coffee shop license is the foundation for running a café or beverage business legally in Dubai. It ensures regulatory compliance, protects your business, and allows you to operate a wide range of food and beverage activities. With the right license, entrepreneurs can confidently set up a profitable tea and coffee shop business in Dubai, UAE and scale their operations over time.
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Step-by-Step Tea and Coffee Shop Business Setup Process in Dubai
Setting up a tea and coffee shop in Dubai mainland involves a structured approval process to ensure full legal and food safety compliance. Below is a clear, step-by-step guide without cost references, focusing only on the Dubai mainland setup.
Step 1: Finalize Business Activity
Select the correct business activity for a tea and coffee shop as per Dubai Department of Economy and Tourism (DET) regulations. This defines the scope of operations such as beverage preparation, serving, and takeaway services.
Step 2: Trade Name Reservation
Choose a unique trade name that complies with UAE naming guidelines. The name must reflect the nature of the tea and coffee shop business and be approved by DET.
Step 3: Initial Approval from DET
Apply for initial approval to confirm that the government has no objection to you starting the tea and coffee shop business in Dubai mainland.
Step 4: Secure a Business Location
Lease a suitable commercial space approved for food and beverage activities. The location must meet Dubai Municipality and planning requirements for a tea and coffee shop.
Step 5: Tenancy Contract and Ejari Registration
Register the tenancy contract through Ejari. This step is mandatory to proceed with municipal and licensing approvals.
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Step 6: Kitchen Layout and Food Safety Approval
Submit the shop layout, kitchen design, and food safety plan to Dubai Municipality for approval. The setup must comply with hygiene, ventilation, and waste management standards.
Step 7: Civil Defense Approval
Obtain approval from Dubai Civil Defense to ensure the premises meet fire and safety regulations.
Step 8: Final License Issuance
Once all approvals are completed, DET issues the official tea and coffee shop trade license, allowing you to operate legally in Dubai mainland.
Step 9: Immigration and Visa Processing
Apply for investor and employee visas through the relevant immigration authorities to legally hire and manage staff.
Step 10: Business Operations Launch
After receiving all approvals and completing inspections, you can begin operations, install equipment, hire staff, and start serving customers.
The tea and coffee shop business setup process in Dubai mainland follows a regulated and transparent pathway. By completing each step in the correct sequence, entrepreneurs can ensure full compliance and smoothly launch their tea and coffee shop business in Dubai, UAE.
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Tea and Coffee Shop License & Business Setup Costs in Dubai
Mainland License in Dubai – Commercial License
| Particulars | Amount (AED) |
|---|---|
| Initial Approval | AED 245 |
| Name Reservation | AED 620 |
| LSA Agreement (Memorandum of Association) | AED 540 |
| DED Payment Voucher (with Arabic Trade Name) | Up to AED 15,000* |
| Ejari Registration | – |
| Dubai Municipality Approval | AED 3,000 – 5,000 |
| Infibiz Consultancy Fee | AED 2,500 |
Total Estimated Cost (Calculated Range)
- Minimum Estimated Total: AED 21,905
- Maximum Estimated Total: AED 25,905
* Note: The DED Payment Voucher covers costs up to AED 15,000. Additional charges may apply if the specified limit is exceeded.
Additional Costs for Commercial License in Dubai
| Additional Costs | Estimated Range (AED) |
|---|---|
| Agent Fees (for foreign investors) | AED 5,000 – 15,000 (annually) |
| Market Fees (Commercial License) | Approx. 2.5% of annual rent |
Other Tea and Coffee Shop Setup Costs (Estimated)
These costs are separate from licensing and are essential for operational readiness:
| Tea and Coffee Shop Setup Costs | Estimated Cost (AED) |
|---|---|
| Shop Fit-out & Interior Design | 30,000 – 80,000 |
| Coffee Machines & Brewing Equipment | 20,000 – 60,000 |
| Tea Brewing & Storage Equipment | 10,000 – 25,000 |
| Furniture & Counter Setup | 15,000 – 40,000 |
| Initial Raw Materials & Inventory | 5,000 – 15,000 |
| Staff Recruitment & Uniforms | 5,000 – 10,000 |
| POS System & Software | 3,000 – 7,000 |
| Signage & Branding | 5,000 – 15,000 |
Estimated Tea and Coffee Shop Setup Cost (Excluding License)
AED 93,000 – 267,000 (depending on shop size, concept, and location)
Calculate your business setup cost.
Conclusion: Tea and Coffee Shop Business Setup in Dubai, UAE
Setting up a tea and coffee shop is one of the most promising ventures in the UAE’s thriving food and beverage sector. With a strong café culture, high consumer demand, and a supportive regulatory environment, tea and coffee business setup in Dubai, UAE offers excellent long-term growth potential. Entrepreneurs looking to open a tea and coffee shop in Dubai benefit from clear licensing procedures, access to prime locations, and a diverse customer base that appreciates both traditional tea concepts and modern coffee experiences.
Understanding the tea and coffee shop license in Dubai, permitted activities, and compliance requirements is crucial for a smooth launch. From selecting the right business activity to securing approvals from DET and Dubai Municipality, every step plays a vital role in ensuring legal and operational success. While the tea and coffee shop business license cost in Dubai, UAE is a key consideration, it is equally important to plan for setup, fit-out, and operational expenses to accurately estimate the cost of starting business in Dubai.
With proper planning, professional guidance, and the right strategy, entrepreneurs can secure the cheapest business license in Dubai, streamline approvals, and set up a profitable company in Dubai UAE. A well-executed tea and coffee shop business in Dubai, UAE can deliver sustainable returns in one of the region’s most dynamic markets.
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How Infibiz Can Help You Get a Tea and Coffee Shop License
Infibiz provides end-to-end support for tea and coffee shop business setup in Dubai, UAE, ensuring a smooth, fast, and compliant licensing process. Our experienced consultants guide you through every stage, from business activity selection and trade name reservation to obtaining the coffee shop business license in Dubai, UAE and approvals from Dubai Municipality and other authorities.
We help entrepreneurs understand the cost of tea and coffee business license in Dubai, UAE, manage documentation, coordinate inspections, and avoid costly delays. Whether you are planning a café, kiosk, or rental tea and coffee shop setup in Dubai, UAE, Infibiz ensures your business meets all regulatory and food safety requirements.
Book Free Consultation with Infibiz’s Experts.
With a strong focus on efficiency and transparency, we help you set up your business in Dubai UAE with minimal hassle. Partnering with Infibiz means expert guidance, reliable support, and a clear pathway to launching a successful tea and coffee shop business in Dubai.
