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How to Start a Tourism Company in Dubai?
For detailed information +90 542 381 3868 'Call.
It is a permit that grants the right to operate in this field. It's not just travel agencies themselves that need a document. All related fields also operate only in compliance with the legislation.
All types of commercial benefits, initiatives, and support are provided equally to local and foreign business people.
In the United Arab Emirates - Dubai, opportunities are ripe in:
The license is issued to tour operators by the registration company, specifically in Dubai - by the Department of Economy and Tourism.
For this type of activity, a professional license and only the registration of a local company are available.
Only foreigners can act as the founder of the company (owning 100% of the authorized capital), but there must be a local service agent.
There are special fees: up to AED 10,000.
A fully-fledged office in the local area and this type of license grant the right to book tickets.
When obtaining licenses for both domestic and international tourism simultaneously, a security deposit of only AED 2,000,000 and other fees are required, but these are minor.
For inbound tour operators: The rules and method of obtaining a permit are not much different for tour operators working within the country. The main distinguishing feature is that the license renewal will be less costly, with a security deposit of AED 1,500,000.
For travel agencies: Agencies offer a very wide range of services in this field. If clients contact such a company, they get everything from ticket booking to travel arrangements. The principle of obtaining a permit does not differ from the standard in this field, only its cost is slightly higher.
For Tour Guides: The main specialization is accompanying during excursions and tours of interesting places.
The procedure is quite standard. If you are not familiar with the order of registration, they will explain to you which documents are required.
As a rule, free zones have more loyal rules that are valid only within the selected area. However, the company also has the right to provide services only within the zone.
If an entrepreneur plans to cooperate with local companies, it is preferable to opt for companies on the mainland.
Business activity: Within the framework of this permit, you will be able to not only open a travel agency but also conduct business of a similar nature, including car rental or water transport, or residential rental.
Company Name: There are several rules in the country that regulate the specifics of the company name. First, it must be unique. Second, the name should not raise doubts either from a legal point of view or from the country's moral code.
Initial approval: You do not need to start collecting documents until you receive preliminary approval. This approval is issued after the type of activity and its name have been approved. Additionally, you will need the signatures of all founders.
Site Inspection: If you have received approval, the verification process begins. The office will be visited by the police to identify possible violations. If there are violations, they need to be eliminated and re-checked.
Limited Liability Company (LLC) Agreement: The cooperation agreement must be notarized. If the agreement is drawn up in another language, you must first translate it into Arabic.
Sign the Agreement: Additionally, it will be necessary to sign the agreement in the presence of a notary.
Documents: When all these steps are completed, you can submit the documents. They will be checked, and based on them, a decision will be made on the resolution of the activity.
Required documents: The list of documents that must be provided is standard. The founder must prove their identity and provide documents showing no criminal record. Additionally, the existence of an office and the liquidity of the business must be proven. All requirements for the list can be learned immediately after receiving preliminary approval.
The cost of a travel agency license in Dubai is around AED 20,000.
The final cost can be found after selecting a specific type of activity and working conditions.
Anyone planning to do business in the tourism sector, or even in related fields such as restaurant business or car rental, needs to obtain a permit.
In principle, the authorities are well-disposed towards foreign entrepreneurs. All conditions have been created for the growth of business in the country, including small businesses. The authorities apply minimum requirements. The process does not take much time, and you do not have to go through a thousand instances to get a permit. Everything is simple and accessible. The reason is clear - economic stability that is not dependent on oil.
The United Arab Emirates - Dubai is a recognized leader in the field of tourism. This situation is also indicated by the numbers. Although the main infrastructure in this sector is already developed, there are factors that allow the industry to actively grow and develop.
In particular, the fact that vacationing tourists prefer not only luxury accommodation but also entertainment makes it possible to develop sectors that do not require large investments related to the tourist destination.
The problem of hotel occupancy during the off-season is being successfully solved due to investments in the entertainment industry. The projected occupancy rate for hotels during this period is 80%, which is attractive to investors as it guarantees earnings throughout the year in the sector.
An unconditional guarantee of successful commercial investments is state support, specifically:
Another undoubted advantage of doing business in the United Arab Emirates - Dubai is the availability of all government initiatives to all participants, linked to a system of direct dialogue between business and government.
Today, there is a unique situation in the United Arab Emirates - Dubai: just 1 million citizens of this country account for 10 million Dubai residents. That is, in fact, the “most dangerous competitor” for business has been eliminated. That is, the entrepreneur who “grew up on these streets and has an entrance to all doors.”
Get Information on Company Formation in Dubai
In addition to standard options such as obtaining the status of a hotel operator and opening a liquor and entertainment establishment, there are many other business areas closely related to tourism. The principle and rules of obtaining apply to all sectors in this field.
This business is different from hotel management and provides a professional license offered to companies in the form of a Sole Proprietorship or Civil Company, not a commercial one. 100% foreign ownership is allowed without a local agent for both newly established companies and branches of foreign companies.
To start a real estate rental business in the United Arab Emirates, it is necessary to obtain approval from the Department of Tourism, rent an office where the company is established (virtual is not allowed), open a bank account in Dubai, obtain a license, and establish business connections with real estate owners.
The Arab Emirates is a leader in consulting services in the field of tourism, whose volume increases every year, but at the same time does not lose in income. In 2021, the average salary of a consultant was AED 55,032, which is equivalent to about USD 15,000.
By opening a tourism consultancy, the founder of the business can be the sole owner of the company without the obligation to attract a local agent or a resident partner.
It is available for private citizens who need to obtain a Dubai Economy and Tourism license, complete training under the Tour Guide Award program, and provide documents on demand. After successful certification, the guide badge is issued for a period of 1 year and can be extended later. Such a document gives the right to work as a guide or tour guide in the United Arab Emirates or to register your own business.
This area involves the organization of trips for the purpose of holding business meetings, business dinners, or other events.
The choice of a zone is not about geographical features. It is about rules and business requirements.
Companies that register on the Mainland can do business all over the country.
Suitable for: Entrepreneurs aiming for a long-term presence in the market.
How much can it cost: the price of business registration is calculated based on: the goals and direction of the organization, the citizenship of the founders, the number of employees. For each employee, it is necessary to open housing for a period of 2 years and take out insurance. The cost of this is ~$2300 USD. It is also mandatory to rent a room, its area must be at least 19 square meters. On average, the cost of opening a company ranges from 8,000 to 25,000 USD. The average check is 10,000-13,000 USD.
A specific area where foreign entrepreneurs can do business, buy and rent property, and build a team. It is important that each one is autonomous and has its own corporate regulation.
Suitable for: organizations focused on foreign markets and specializing in tourism and other areas.
Entrepreneurs choose an economic zone according to their business direction.
The United Arab Emirates is a tourism hub where unique business opportunities are presented for all global entrepreneurs. In 2022, it is the only jurisdiction with low taxes and an open sky for tourists from all continents.
Such a chance to enter the world market and be among the best travel companies is rare. You too can get a tourism license in Dubai and do business in the sector that is considered the most profitable.
The number of tourists is increasing every year. Many factors contribute to the development of tourism businesses. If organised properly, tourism can be a successful investment. Obtaining a tourism licence in Dubai is not that difficult. The important thing is to take care of all the legal aspects and be prepared to go through several stages.
+90 542 381 3868
+971 58 5204103