Dubai is a land of endless possibilities for budding entrepreneurs. It has an operational atmosphere in the Middle East that is liberal and desirable. This leads many young entrepreneurs to think of starting their businesses in Dubai. You can launch a retail business, trading venture, or grocery store in Dubai.
If you want to be a Dubai grocer, you need to follow a few steps for the completion of the standard procedure to open a grocery store in Dubai. Business formation in the UAE becomes easier than ever when you collaborate with business consultants The cost of a trade license in Dubai also depends on factors like a partnership with a local sponsor, multiple business partners, business activity, region of establishment, and the structure of your business, among others.. We take care of documentation, licensing, and everything else you need to open one of the Dubai supermarkets or want to start online grocery shopping in Dubai.
How to open a grocery store in Dubai?
The best part about opening a grocery store in Dubai is the hassle-free incorporation process. And to get you started, we list down all the 6 critical steps involved in opening your venture to become a successful Dubai grocer:
1. Do your research
Before starting a grocery store in the Emirates, you must do thorough research and plan for the location, local areas and regions, the products you’ll sell, company structure, business license, and the viability of the desired business idea.
Furthermore, you must have a top-notch business plan to attract investors and customers. After you have done your research and have your plan on the table, you are ready to set up your business in Dubai.
2. Determine the type of legal entity
Starting a grocery store business in Dubai demands diligence for paperwork. It includes certifications and approval to be taken from various legal authorities. In addition to that, valid visas and permissions must be acquired too. Ensure that you have all the documents ready before you apply for your company’s registration and double-check before paperwork submission to avoid any discrepancies.
3. Choose a trading name
While deciding on a trading name for your business, keep in mind that it has to be the same on the license and the grocery store signboard. Moreover, the name must be in accordance with the DED’s guidelines for a legitimate trading name.
To avoid any legal issues, ensure that you don’t use any controversial words in your trade name. Furthermore, always use the full name of a person and not any nicknames if you wish to keep it as your grocery store’s official business name.
4. Obtain the initial approval
Passport, visa, and trading license application must be submitted, followed by tenancy contract, Ejari registration, Municipality approvals, trademark registration from the DED, and other required submissions.
After these documents are thoroughly examined, the DED or the concerned economic department will issue your initial approval certificate required to set up your business in the UAE. Make sure to have all these documents handy for a hassle-free procedure ahead to open a grocery store in Dubai.
5. Apply for a business license
Either if you want to start a Dubai supermarket or are interested to start online grocery shopping in Dubai, every business activity is tagged to a particular license category. To open a grocery store in the UAE, a commercial license is necessary. It allows you to sell all grocery-related products except medical, pharmaceutical, herbal, and cosmetics products.
Make sure to pay the grocery license fee in Dubai to ensure the validity of the license all the time. Furthermore, don’t forget to renew your trade license at least one month prior to the expiry date to avoid any legal troubles in the future.
Document Required to get grocery license in Dubai
Documentation is a mandatory requirement for starting any business in Dubai. The owner has to submit their respective passport and visas along with the trade license application. Furthermore, they have to provide their tenancy contract, Ejari, mandatory approvals, trademark registration certificate, and other submissions as required.
How much does it cost to open a grocery store in Dubai?
The cost of starting a grocery store in Dubai starts from AED 15,000 to AED 50,000 and varies depending on various factors, such as rental, commercial license, government and municipal fees, and other expenses. You also need to consider many other factors in your budget. For example, outfitting your store, stock, sales equipment, and more.
What are the guidelines to follow to open a grocery store in Dubai?
In addition to the above-mentioned steps, you need to keep a few more things in mind to open a grocery store. Here’s a curated list to make it easier for you:
- If the store’s location is to be changed then the owner must have approval from the DED beforehand. It’s better to rent a shop in the UAE instead of investing in real estate as a rented office allows hassle-free relocation.
- The DED must know about all the products being sold at the store. Ensure that you don’t sell any medical, pharmaceutical, herbal, and cosmetics products as a grocery license don't have the required permits to sell these products.
- Keep a proper sale invoice system that clearly states the policies regarding replacement, return, and refund of the purchased commodities.
- Any amendment/alteration must not be carried out without the approval of the concerned authority. Any deviation from the expected business functioning must be reported to the jurisdiction.
- The owner must take approval from the concerned governing body to use any advertisement, stickers, posters, or banner ads.
- Ensure that all the products have a valid manufacturing and expiry date labeled on them.
- Selling products with fake trademarks is prohibited by the law and should never be practiced under any circumstances.
- You also need a VAT registration number and need to file tax returns as mandated by the government of UAE.
Connect with Shuraa Business Setup
UAE has a fast-growing economy which makes it one of the best places to start online grocery shopping in Dubai. Furthermore, the UAE’s government is always there to support you and has been introducing new norms to improve the quality of services available to the people in Dubai.
If you want to know more about opening a grocery store in Dubai, connect with the business experts at Shuraa Business Setup. We take care of all the activities involved in setting up a business in the UAE so by doing all the heavy lifting for your clients. Click here to book a free consultation with our experts and learn more about establishing a grocery store in the UAE.
