Dubai has magnificent performance in offering a wide variety of food. The increasing number of restaurants, hotels, and food trucks are examples. It is estimated that the restaurant industry could reach almost US$29 in 2023. Innovative dining thoughts are also rising as there is a tremendous increase in the expat population and a booming tourism industry.
The high consumer demand, lowered taxation, affordable establishment costs, and attractive tax structure make Dubai a lovely spot to set up a food truck business.
Starting a Food Truck in Dubai
The capital required for setting up a food truck is comparatively lesser than a brick-and-mortar restaurant. It is possible to lease or own your food truck. With a food truck business, you are not restricted to one particular location.
The initial step to starting a food truck business is acquiring a license. To get a food truck license and permit, you will require approval from:
- Department of economic development(DED)
- Dubai Municipality
- Hazard Analysis critical control point(HACCP)
- Roads and Transport Authority(RTA)
Securing DED Approval
To secure DED approval, you must ensure that all the submitted documents are accurate and without delay.
- The Dubai economic department holds the primary responsibility consisting of business plans and controlling the financial performance in Dubai. Licensing, inspection, and issuing legal contracts are under the obligation of this department. The first step is to take approval from DED, followed by the Dubai municipality. If you need an additional reference you can visit the Trade License In Dubai.
- Through the presentation of the business idea, the concept, financial plan, and business model are required to get approval. Moreover, a submission must also consist of an analysis of competitors and an excellent program to tackle competitors so that your business should stand out.
- The financial plan should contain a funding strategy and identify risks. The program you offer includes ideas for scaling a business in the future.
Gain HACCP Clearence
To make sure safety and cleanliness approval of relevant authorities for a food truck and its kitchen. Two certifications have to be obtained from Hazard Analysis Critical Control Point (HACCP) regarding the truck’s arrangement and the food truck design plan.
Brand reputation can be increased by achieving a HACCP certificate. This indicates your dedication toward biological or physical food hazards.
Cost of Starting a Food Truck Business
The cost of launching a food truck business is a complex undertaking, without a proper plan. Various components will contribute to the final expenses. The cost of obtaining it would depend on the number of visas, which could start from AED 11500.
In addition, you can expect costs on securing the account, acquiring vehicles and equipment, and rent, among other initial costs. The cost of starting a food truck business can differ considerably on the factors which are mentioned above. The undetermined amount can be anywhere between AED 35,000 and AED 60,000.
Benefits of Starting a Food Truck Business
- Flexibility in relocation: There are many advantages available to you by starting a food truck. One of the significant benefits is the ability to bring your recipes directly to your customers. Thorough research is required to identify the location in which there is high demand for your food style. You can also go through the Business Setup In Dubai Mainland for additional reference.
- Low investment: A food truck will be a beneficial idea for those interested in the food industry. Since it has a vibrant business-friendly environment, the cost is comparatively low.
- Low maintenance cost: Operating a food truck with minimal overheads is possible, which is another factor of attraction. At the initial stage of the business, expenses would be incurred for renting space, getting ingredients, and paying wages. Also, there are other expenses to account for.
Ready to Start Your Food Truck in Dubai?
This blog intends to give an understanding that, with appropriate knowledge, this business can be straightforward. However, prior familiarity is required with the requirements and regulations. Along with that, it is better to make sure that the license application is error-free and complete for the seamless licensing process.
It is always recommended to take professional guidance and support for all these processes, which make you tension free. We are a team of experts who help bring the business setup formation in Dubai into reality. Golden Fortune can provide assistance at every stage of the process. You can contact us for information.