How Much Does a Cafeteria License Cost in Dubai?

A cafeteria license in Dubai allows entrepreneurs to run small food outlets with limited menus and streamlined regulatory requirements, before this you should know, how much cost for cafeteria license in Dubai. The Department of Economy and Tourism (DET) issues the trade license and officially registers the business activity.

Dubai Municipality monitors food safety, hygiene standards, and daily operational compliance for all cafeteria establishments. This license is suitable for businesses serving ready-to-eat foods, snacks, beverages, and light meals that do not require complex cooking processes. Authorities design the license framework to encourage affordable food ventures with faster approvals and lower cafeteria setup costs.

According to the Dubai Department of Economy and Tourism, the city recorded 17.55 million overnight visitors between January and November 2025. This marked a 5% increase compared to the same period a year earlier. This growth leads entrepreneurs to ask a crucial question: How much does a cafeteria license cost in Dubai in 2026?

Note: Applicants must understand the difference between a cafeteria and a restaurant trade license before selecting their business activity. Many investors assume both licenses are similar, but cafeterias follow narrower operational rules and lower compliance obligations.

Key Differences Between Cafeteria and Restaurant License in Dubai

The difference between a cafeteria and a restaurant license in Dubai lies in several key factors:

Your cafeteria cannot serve alcohol under any circumstances. Dubai reserves liquor licenses for specific restaurant categories that meet stringent criteria. Activity Code 552001 applies to your cafeteria business, placing you in a streamlined regulatory pathway. Cafeteria businesses register under specific food and beverage activity codes as defined by DET. These codes may change based on updates or the business structure.

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Expect to spend between AED 24,000 and AED 35,000 on cafeteria licensing fees alone. This amount covers regulatory approvals, not operational setup costs. Different government departments charge separate fees at each approval stage, including:

Note: A Mainland business license typically costs more than Free Zone alternatives due to additional compliance requirements. Free Zone cafeteria licenses are usually limited to operations within the Free Zone. They do not allow retail sales to the general public outside the zone.

If you’re curious about the costs of business licenses, check out our detailed blog on business license costs in Dubai.

Total Startup Investment Beyond the Cafeteria License in Dubai

Starting a cafeteria involves additional costs beyond the licensing fees. Here are the key expenses you should budget for:

Small-scale cafeterias in moderate locations require around AED 180,000 to AED 300,000. Mid-scale or branded cafeterias targeting premium markets may need AED 350,000 to AED 600,000 or more.

Factors That Affect the Cost

Several factors influence the cost of your cafeteria license. Here are the key elements that determine the overall fees:

• Location: Downtown commands premium prices compared to Business Bay, JLT, or Sharjah, where rental costs drop considerably.
• License Type: Mainland setups require higher investment than Free Zone options, though the Mainland offers broader market access.
• Menu & Operating Model: Casual cafeterias cost less than premium establishments, while delivery-only models reduce overhead significantly.
• Additional Permits: Special food items or extended operating hours may require additional permits and associated fees.

Understanding these variables helps you estimate the cost of a cafeteria license in the UAE accurately for your specific concept.

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Planning your cafeteria’s budget accurately is crucial for a successful launch. Here are the essential costs you need to consider:

• License Costs: Allocate AED 24,000 to 35,000 for core licensing fees and regulatory approvals initially.
• Rent Estimates: Budget AED 40,000 to 120,000 annually, researching locations matching your target demographic and budget.
• Fit-Out Estimates: Reserve AED 150,000 to 350,000 for interior design, furniture, and kitchen equipment purchases.
• Staffing Costs: Plan AED 20,000 to 50,000 for initial recruitment, visas, and first-quarter salaries combined.

Year-1 Budgeting Tips: Maintain a 20% contingency fund for unexpected expenses, regulatory changes, or market adjustments. Plan for Dubai company license renewal fees early, as renewals require budgeting within your first operational year.

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Launching a cafeteria in Dubai offers tremendous potential, especially with the city’s surging visitor numbers and thriving F&B culture. The Dubai cafeteria license process, while detailed, becomes manageable when you understand cost breakdowns and regulatory requirements clearly under a Commercial Trade License in Dubai.

Whether you choose a small takeaway or a high-end branded cafeteria, accurate budgeting ensures smooth operations. Remember to get a food business license in Dubai through authorized channels, keeping renewal fees and compliance costs in your long-term financial planning. With proper preparation, your cafeteria can thrive in one of the world’s most dynamic culinary landscapes.

If you need expert guidance, our experienced team is here to assist you with every step of the process. SafeLedger brings years of expertise in navigating Dubai’s business environment, helping you streamline your cafeteria setup and avoid common pitfalls. Contact us today!