Restaurant Trade Licence in Dubai (2026): Steps, Approvals and Real Costs
The short answer. A restaurant or cafe in Dubai needs a trade licence from the Department of Economy and Tourism, a registered lease, a Dubai Municipality layout approval, Civil Defence approval of the fit-out, FoodWatch registration with a certified Person in Charge, health cards for every food handler, and a final Municipality inspection before the food permit and the licence are issued. Government licensing and approvals typically total AED 20,000 to 45,000 in year one, plus about 5 percent of annual rent, before a single dirham of fit-out. Plan on about 60 days for a small cafe and about 90 for a full restaurant.
The sequence, step by step
| Step | Who issues it | What to know |
|---|---|---|
| 1. Initial approval and trade name | Department of Economy and Tourism (DET) | Activity group "Restaurants and Coffee Shops"; initial approval about AED 120, trade name about AED 620 |
| 2. Lease and Ejari | Dubai Land Department | About AED 220; needed before the Municipality will look at your plans |
| 3. Layout approval | Dubai Municipality, Food Safety | Kitchen and floor plans from a registered engineering office; about 2 to 4 weeks |
| 4. Fit-out | You and your contractor | Built exactly to the approved plan: grease trap, extraction, clean and dirty separation, handwash stations |
| 5. Fire and life safety | Dubai Civil Defence | Drawing and material approval, inspection, then the NOC; review rounds of 2 to 4 weeks each |
| 6. FoodWatch and Person in Charge | Dubai Municipality | Register the establishment and appoint a trained, certified PIC |
| 7. Food handlers | Dubai Municipality and health authorities | Occupational health cards and food safety training for every handler |
| 8. Final inspection and food permit | Dubai Municipality | Then DET issues the final trade licence |
DET's own service is Request to issue a trade licence on Invest in Dubai, and the food safety side runs through FoodWatch. After the licence come visas, the bank account, and VAT registration once revenue passes AED 375,000.
What it costs
| Item | Typical cost |
|---|---|
| DET trade licence (restaurant activity) | AED 10,000 to 30,000 a year, depending on activity and legal form |
| Dubai Municipality food safety permit | AED 5,000 to 15,000 |
| Civil Defence approvals and NOC | AED 2,000 to 5,000 in fees |
| Person in Charge certification | AED 450 to 950 |
| Food handler certificate | AED 300 to 600 per person |
| Market fee | About 5 percent of annual rent |
| Total government cost, year one | AED 20,000 to 45,000 plus the market fee |
These are market estimates published by setup advisers in 2025 and 2026, not an official tariff; the Invest in Dubai cost calculator gives a figure for your exact activity and legal form. Two costs sit outside the licence and dwarf it. Civil Defence works themselves, including hood suppression, run into six figures for a mid-size restaurant. And rework, when fit-out starts before the layout is approved, costs more than every licence fee combined.
Mainland or free zone?
A dine-in restaurant serving walk-in guests generally needs a mainland licence, which lets you trade and deliver across Dubai and open branches, and has allowed 100 percent foreign ownership for restaurants since 2021. A free zone licence suits some delivery-only and food production setups, but it cannot serve the mainland public without extra structure, and it still needs the Municipality's food approval. Note too that food service to consumers is not a qualifying activity for the 0 percent free zone corporate tax rate under Ministerial Decision No. 229 of 2025.
Why applications stall
- Fit-out before layout approval. The single most expensive mistake: the Municipality asks for changes and you build twice.
- Kitchen design faults: raw and cooked preparation not separated, the grease trap missing from the drawings, exhaust not venting high enough.
- No Civil Defence NOC at the Municipality inspection, so the food permit is withheld.
- Civil Defence findings: occupant load understated, materials substituted, as-built not matching the approved drawings, hood suppression not interlocked with gas and power, no maintenance contract.
- People paperwork: an inactive Person in Charge on FoodWatch, missing staff health cards.
- The wrong licence type, such as a free zone licence for a walk-in cafe.
Special permits have their own fees in the Municipality's published schedule: a food truck or event permit AED 160, a kiosk permit AED 200 (Dubai Municipality food permits guide, 2020 edition; confirm current amounts). Shisha needs a separate smoking-area permit, and alcohol is a different regime entirely, usually limited to hotel venues.
Renewal
The trade licence and Ejari renew every year. The food permit renews on a passed inspection with a live pest control contract, and the Civil Defence NOC needs an annual maintenance contract with an approved company. Health cards renew on their own cycle, and missing ones are fined per infraction.
Before you sign the lease
The licence tells you that you may open. It does not tell you whether you should. Rent as a share of sales, covers, average spend, payroll and the month you break even decide that, and they are worth testing before the lease and the fit-out lock you in. That is what our feasibility study in Dubai does, in seven days. Make every mistake on paper, never with your money.
Frequently asked questions
How much does a restaurant licence cost in Dubai?
Government licensing and approvals typically total AED 20,000 to 45,000 in year one, plus a market fee of about 5 percent of annual rent. That covers the DET trade licence, the Municipality food permit, Civil Defence approvals, Person in Charge certification and staff certificates. It does not include fit-out or Civil Defence works.
How long does it take to get a restaurant licence in Dubai?
About 60 days for a small cafe and about 90 days for a full restaurant when nothing goes wrong. The Municipality layout approval takes 2 to 4 weeks, and Civil Defence review rounds take 2 to 4 weeks each.
Do I need a mainland or free zone licence for a restaurant in Dubai?
A dine-in restaurant or cafe serving walk-in guests generally needs a mainland licence from the Department of Economy and Tourism. A free zone licence cannot serve the mainland public without extra structure, and still needs the Municipality's food approval.
Can a foreigner own 100 percent of a restaurant in Dubai?
Yes. Restaurants on the Dubai mainland have been open to 100 percent foreign ownership since 2021.
What is a Person in Charge in Dubai?
Every food establishment must appoint a trained, certified Person in Charge (PIC) who is registered on FoodWatch and answers for food safety on site. Certification typically costs AED 450 to 950.
What delays restaurant licences most in Dubai?
Starting fit-out before the Municipality approves the layout, kitchen design faults such as no grease trap or no separation of raw and cooked preparation, and arriving at the Municipality inspection without the Civil Defence NOC.
Search with Google? Add Praxis Model as a preferred source and you will see more of our answers in Top Stories and AI Overviews.
More answers
Praxis Model is a financial feasibility specialist for GCC hospitality. Steps follow the official DET, Dubai Municipality and Civil Defence processes as of October 2026; cost ranges are market estimates. Confirm requirements and fees with the authorities before you apply. General information, not legal advice.