License for food truck in Dubai
Dubai is gaining recognition all over the world for its food experience. UAE offers a wide range of gastronomic experiences, not just limited to luxury restaurants but also in the form of food trucks in Dubai. The current restaurant industry is expected to reach US$29 billion by 2020. There is an upward trend in the growth of this industry with an increase in the demand for restaurants due to its ever-increasing tourists round the year. It is becoming a gastronomic hub for the Middle East, with international brands, now wanting to open their branch in Dubai.
Food trucks in Dubai have gained immense popularity over the last few years. This is why there is an increased demand of food truck license in Dubai. There are numerous possibilities for food truck ideas in terms of themes and cuisines. It is the experience that people enjoy and look forward to. Normally, food trucks sell local cuisines, but Dubai is a land of expats, you will find food trucks selling international street foods such as Turkish jacket potatoes, Pakistani kebabs, Indian kadak chai, American burgers and fries, Japanese sushi, Lebanese falafel, etc.
The food truck spots are also very strategically located all across the nation and they ensure maximum visibility and accessibility for customers. They also have large air-conditioned halls for summers so that the business remains unaffected, and in the winters, the trucks are operational out in the open to make the most of Dubai winters.
Setting up your food truck
Setting up a food truck business in UAE requires lesser capital as compared to opening a full-fledged restaurant. The ROI in food trucks is also a lot quicker than that in restaurants. You can either lease or own your own food truck. The rent is also cheaper as compared to renting a place in brick and mortar. It offers mobility and flexibility of doing business. You can explore various markets within the city and no longer be bound to just one location.
The first step for starting a food truck business in Dubai is obtaining a food truck license in Dubai. To be able to get food truck license and permit, you will need approvals from:
- Department of Economic Development (DED)
- Dubai Municipality
- Hazard Analysis Critical Control Point (HACCP)
- Roads and Transport Authority (RTA)
Obtaining DED approval
The Dubai Economic Department has the overarching responsibility to understand the business plan and regulate the economic performance of businesses in Dubai. This department is responsible for licensing, inspections, and issuing legal contracts for businesses.
The first step is to obtain approvals from DED and the Dubai Municipality for starting a food truck in Dubai. For getting this approval, you need to submit a detailed business plan. The business plan must explain the following:
- The business idea: Explaining the thought behind this business venture, its vision and mission.
- The concept: Will talk about the consumer experience, the look and feel, the theme of the food truck.
- The financial plan: Raising funds for the business from investors, capital required, expenses, break-even, forecasting sales etc.
- The business model: Business model is way of doing business, principles on which you will run your business, it will be the framework for your business plan.
It should also include:
- A study about the competition
- The strategy to face competitors
- Value add-ons that will set your business apart from the rest
The financial plan must include:
- Funding strategy – whether raising funds from investors or self-investment
- Risks associated with the business
- Plans to mitigate the risks
- Ideas for scaling the business
The plan needs to convince the government officials that your idea of a food truck is a well-thought-out idea, and can be a profitable and sustainable business.
Obtaining HACCP approval
Both, the truck and the kitchen in it must be approved by the relevant authorities for safety and hygiene. You are required to obtain two certifications from Hazard Analysis Critical Control Point (HACCP) for:
- The layout for the food truck – this includes the overall layout of your kitchen. The kitchen setup, the serving counter, the waste management system, the cooking system, etc. should be approved.
- The blueprint of the design of the food truck – this includes the overall layout of the food truck; not just the kitchen but also other aspects like the provision for electricity, specifications of the truck, safety measures, etc.
HACCP certified food trucks will help build brand credibility as it ensures your commitment to safe food. It demonstrates your seriousness towards various hazards like biological or physical food hazards. It is effective for food safety and hygiene.
Although the licensing laws are strict in Dubai but Shuraa makes it easy for new businesses to obtain a license. We offer customized plans tailored to your requirements.
Cost of food truck license
One can either get a professional or commercial license, based on their requirements. The approximate cost is AED13,000 for a professional license and AED19,000 for commercial license respectively.
This cost includes:
- Company name
- Court sign
- Tasheel fees
If you aspire to open the food truck business in Dubai then get in touch with our team who will work with you on your approvals. Once these approvals come in from the government authorities, you are ready to trade!
Note: Permit from RTA is required for business branding on food truck. The documents required for the permit are: four-sided vehicle advertising design with anthropomorphic design; a copy of the trade license issued from Dubai; a copy of the vehicle’s ownership. The annual fees for advertising on commercial vehicles is AED250.
Speak to our business development consultant to know more about food truck license in Dubai and get better guidance. Call us at +971-44081900 WhatsApp +971-507775554 or send us an email on [email protected]