Hotel Business Setup in Dubai – UAE

Hotel Business Setup in Dubai – UAE : Dubai is one of the most popular tourist destinations in the world, attracting millions of visitors every year. It is also a major business hub that offers many opportunities for foreign investors. If you are interested in starting a hotel business in Dubai, you will need to follow some steps and meet some requirements.

How to Start a Hotel Business in Dubai

What type of hotel you want to open

First, you will need to decide what type of hotel you want to open. There are different classifications of hotels in Dubai, such as resorts, hotels, hotel apartments, youth hostels, guest houses, and holiday houses. Each category has its own standards and regulations that you will need to comply with.

Find a local sponsor

Second, you will need to find a local sponsor who will own 51% of your business shares, while you will own 49%. This is a requirement for any type of business in Dubai that is set up as a Limited Liability Company (LLC). Alternatively, you can set up your hotel business in one of the free zones in Dubai, where you can have 100% ownership of your business. However, you will have to locate your hotel within the free zone and follow its rules.

Initial approval from the Department of Economic Development

Third, you will need to get an initial approval from the Department of Economic Development (DED) and the Department of Tourism and Commerce Marketing (DTCM). You will need to submit an application form and some documents, such as passport copies, IDs, and a feasibility study. You will also need to appoint a qualified manager who will assist you with the licensing process and other requirements.

Tourism license in Dubai from the DTCM

Fourth, you will need to obtain a tourism license in Dubai from the DTCM. This license will allow you to operate your hotel business legally in Dubai. You will need to pay a fee and provide some documents, such as a trade name reservation certificate, a tenancy contract, a layout plan, and a no-objection letter from the local sponsor.

Tourism license from the DTCM

Fifth, you will need to register your hotel with the DTCM online system and get a classification certificate. This certificate will indicate the star rating of your hotel based on its facilities and services. You will also need to comply with the health and safety standards set by the DTCM.

Obtain visas and work permits

Finally, you will need to hire staff for your hotel and obtain visas and work permits for them. You will also need to register them with the Ministry of Human Resources and Emiratisation (MOHRE) and provide them with health insurance.

Planing to Start Hotel Business in Dubai ?

Starting a hotel business in Dubai can be a lucrative investment opportunity if you follow these steps and meet the requirements. You can also benefit from the growing tourism industry, high occupancy rates, and attractive incentives offered by the government. Consult our experts to know more about Business Setup in Dubai.