How To Set Up A Coffee Shop In Dubai

Here’s How To Set Up A Coffee Shop In Dubai

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Dubai has secured its position among top business hubs in the world. This is because of the government’s constant efforts and various policies adopted for the growth of different types of businesses in Dubai, whether big or small.

Owing to this, many people wish to open a small business in Dubai. In fact, lately, many small businesses are continuously opening and flourishing in the city.

One of the promising ventures for many entrepreneurs is opening a coffee shop in Dubai. It is a good idea which is not too risky and at the same time gives you an excellent opportunity to capitalise on the flourishing food and beverage industry. Moreover, the food and beverage industry in Dubai is continuously rising.

Given the competitive environment in the coffee business, it is very easy to set up a coffee shop in Dubai. Moreover, it is also the most profitable and cost-effective business venture. So, if you have the right knowledge and skills then you are sure to gain favourable results. Below mentioned are some tips on how to open a small business in UAE and make it beneficial for you.


Benefits of setting up a coffee shop in Dubai

One of the biggest advantages of opening a coffee shop in Dubai is the cost factor. It is the most cost-effective business idea among all the food and beverage businesses in Dubai. Unlike opening a restaurant in Dubai, The cost of setting up a coffee shop is very less and you need a very small space for setting it up. You also do not require much investment for the functioning of the same. For opening a coffee shop, you are not required to invest much which makes it easier for you to start your business. Moreover, the time taken for setting up the infrastructure is also very short.

Steps to follow for opening a coffee shop in Dubai
Develop and Document Your Business Plan
There are three types of coffee shop business plan mostly in practice when you set up a coffee shop in Dubai
  • Start-up business plan describing how you are going to set up your coffee shop
  • Operational business plan with details on how you are going to operate your coffee shop
  • Contingency business plan detailing how your business will respond effectively under different exigencies and adverse unforeseen circumstances
 
Select the right space
Select the location for your coffee shop based on your vision, budget and objective. Choosing an area which is easily accessible through roads or metro can lead to high footfall and visibility. Choosing a location for your coffee shop which is near commercial and residential places can attract a large number of customers and boost your revenue. Moreover, choose a place which has less number of existing coffee shops to eliminate competition.
 
Decide on the Right Layout
The type of retail doesn’t matter much while you plan to set up your coffee shop in Dubai instead you need to decide carefully about the layout of your key coffee-making equipment. It may sound trivial however small factors like where you place the wastebasket for disposing of used coffee cups can influence your efficiency in a significant manner. Typically for all coffee shops, the layout is important as you need to maintain obstruction-free optimum distance along with the movement and flow.
 
Outline a marketing plan
Advertising your business is important to increase brand visibility and promote revenue growth. A comprehensive marketing plan helps you reach out to customers. You may use online marketing strategies, social media networks, distribute fliers and brochures, participate in trade shows, host events in your coffee shops and place an ad in the print and electronic media, if your budget permits.

UAE Economic Substance Regulations: Compliance & Filing Guidance

 
Get the necessary license
It is important to apply for the right license for your coffee shop. The license type depends on what you intend to sell at the shop i.e. just the coffee or coffee along with some refreshments or a meal along with coffee. You require a specific license and permission for different types of offerings.

Normally, you need to apply for general business permissions as well as specific Food & Beverages (F&B) service regulations to set up a coffee shop in Dubai and require the following licenses

  • Business Trade Licenses specific to Food and Trade License issued by the Department of Economic Development including a license from the Department of Tourism and Commercial Marketing. License cost depends on the size and type of business and normally costs SAR 8000 and more.
  • Food licenses for safety reasons and authorization from the Food Control Department of Dubai Municipality. There may be other Business Trade Licenses for a mobile type like a coffee van and in such case, you would also need driving licenses for you and your employees.
 
Select Your Equipment
Besides Stainless Steel tops for your kitchen stands, you will also require Cabinets, trolleys, ice containers, racks and shelves, tables, exhaust pipes, sinks, etc.

Also, you will need equipment to set up a coffee shop in Dubai such as Coffee and espresso makers, coffee grinders, coffee, and tea brewers, ice makers, hot water dispenser, high-speed oven, decanters, and various coffee shop accessories e.g. cups, spoons, pitchers, syrup pumps, timers, creamers, water treatment equipment, blenders, juicers, refrigerators, sandwich preparation tables, display racks, cleaning and washing equipment like dishwashers and many others.

Fulfill all compliances and requirements
Before starting out, ensure that you comply with all the licensing, financial and legal requirements related to opening a coffee shop in Dubai. This will help you avoid future issues and the possibility of business disruption due to non-compliances.

Mentioned above are a few things to keep in mind for a successful set up of a coffee shop in Dubai. Apart from this, you should also monitor your cash flows, hire trained employees and do good market research before starting out. If you need professional help for setting up a coffee shop in Dubai UAE, you may get in touch with IMC Group.

Conclusion
To set up a coffee shop in Dubai, you need to be committed and passionate about your coffee shop business and need to have strong business acumen as well. Selection of the right space and proper equipment are the main two measures that help you navigate the difficult times at the start and show you the light of business success.

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