How to Set Up a Tourism Company in Dubai: Step-by-Step Guide
Planning a business setup in UAE can be an exciting journey, especially when launching a tourism company in Dubai—a city known for its thriving hospitality sector and forward-thinking government initiatives.
Overview of the Tourism Industry in Dubai
Dubai is one of the world’s most visited cities, welcoming over 14 million international visitors every year. The tourism sector plays a vital role in the UAE’s economy, making it a lucrative avenue for entrepreneurs seeking to start a company in UAE. With robust infrastructure, government support, and a growing influx of tourists, launching a tourism-related business here is a strategic move.
Key Requirements for Business Setup in UAE Tourism Sector
Before launching your tourism company, it’s essential to understand the legal obligations and requirements. Here are the basic prerequisites for a business setup in UAE focused on tourism:
- Business license from the Department of Tourism and Commerce Marketing (DTCM)
- Trade license from the Department of Economic Development (DED)
- Approval of office space rental agreement
- Visa documentation for staff and management
Step 1: Choose Your Business Structure
You can set up your tourism business as a Sole Establishment, Limited Liability Company (LLC), or through a free zone establishment. Each structure comes with its benefits and limitations.
Free Zone vs Mainland
Choosing between a free zone or mainland setup depends on your target market. Free zones offer tax benefits and 100% foreign ownership, while mainland establishments allow for broader market access within the UAE.
Step 2: Select Tourism Business Activity
Dubai classifies tourism businesses into distinct categories:
- Inbound Tour Operator
- Outbound Tour Operator
- Travel Agent
Select the one that best suits your business model and long-term goals.
Step 3: Reserve a Trade Name
You must select and reserve a unique trade name that reflects your business and complies with DED’s naming guidelines. The name should avoid religious references, political terms, or certain abbreviations.
Step 4: Apply for Initial Approval
Submit the following documents to receive initial approval from the Department of Economic Development:
- Passport copies of shareholders
- Visa status and residence proofs
- Business plan outlining nature of tourism services
Step 5: Office Space and Tenancy Contract
Once you receive initial approval, secure a physical location and register your tenancy contract with Ejari. This is mandatory for acquiring a trade license.
Step 6: Obtain Your Tourism and Trade Licenses
Apply for a tourism license from the DTCM and a trade license from the DED. Ensure you meet all financial and legal requirements, including bank guarantees and insurance if applicable.
Step 7: Visa Processing
With your licenses secured, initiate visa applications for yourself, your employees, and dependents, if needed. The number of visas permitted may depend on your office space size and employment quota.
Step 8: Register with Dubai Tourism Authorities
You must register your tourism company with DTCM. Their platform offers tourism-related updates, regulations, and partner support services.
Step 9: Open a Corporate Bank Account
Partner with a reputed UAE-based bank to open a corporate account. Make sure all your documents are in order, including trade license, tenancy contract, passport copies, and MOA (Memorandum of Association).
Step 10: Launch Marketing and Operations
With legalities out of the way, start promoting your business through digital channels, travel portals, and collaborations. Utilize platforms like Google Ads, social media, and travel blogs to attract tourists. Have a user-friendly website and a 24/7 helpline for client support.
Benefits of Starting a Tourism Company in Dubai
Setting up a tourism company in Dubai has several benefits:
- Access to a high footfall of international tourists
- State-of-the-art infrastructure
- Government incentives and tax-free zones
- Networking opportunities and global exposure
Legal Considerations and Compliance
Ensure that your company complies with DED and DTCM regulations. Annual audits, timely license renewals, and employee benefits under UAE labour law are essential.
Remember to renew your trade and tourism licenses annually. Follow these steps to avoid fines and business interruptions. For more, check out our guide on renewing a trade license in Dubai.
Estimated Cost of Business Setup UAE Tourism Company
The cost to establish a tourism company in Dubai varies but typically includes:
- Trade license: AED 10,000 – AED 15,000
- Tourism license: AED 15,000 – AED 20,000
- Office rent: Depending on location and size
- Visa costs: AED 3,000 – AED 5,000 per visa
For a detailed cost breakdown, check our dedicated article on tourism company costs in Dubai.
Conclusion: Is a Tourism Business in Dubai Right for You?
Dubai’s tourism sector continues to grow, making it a top choice for entrepreneurs eyeing business setup in UAE. With a supportive government, world-class infrastructure, and increasing tourist arrivals, investing in this sector promises high returns and long-term sustainability.
To remain updated on rules and regulations, always refer to the UAE Government Portal.