The desert-like conditions in UAE that force car owners to have their vehicles cleaned and washed regularly contribute to the industry's size. New-age investors can explore creative solutions such as waterless car wash services or promote eco-friendly cleaning agents to establish their brand in the marketplace.
It's so simple to do business here that, with the proper assistance, you could be up and running in a few simple steps. Before you begin a car wash business in Dubai, UAE, the following considerations are provided.
Steps Required to Establish a Car Wash Business in the UAE
Follow the steps outlined below to become one of Dubai's many established car wash companies:
1. Complete Your Tasks
To obtain a list of approved business activities for car washes, contact the Department of Economic Development (DED). Next, you must prioritize the tasks you want to complete once you have established your car wash business in Dubai.
Business aspirants should only be concerned if their desired business activity is included in the list. Then, you have to contact the company formation experts, who will assist you in obtaining external approvals for these activities.
2. Reserve a Company Name
Have you chosen a name for your UAE car wash business? If not, create a curated list of three to four desired words and send it to the appropriate jurisdiction for review. The department will contact you with their recommendations and a report outlining the availability of trade names.
Make sure you follow all of the naming guidelines and avoid using names that are gimmicks for other brands. Furthermore, if you want to use a person's full name as the official name of your UAE car wash business, never use terms that refer to God.
3. Select a Location for Your Car Wash Business
Several laws govern the establishment of a car wash company in Dubai. For instance, if you want to start a car wash business on the mainland, you must locate it near a gas station or industrial zone. As a result, before deciding on a location, always consider the advantages and disadvantages of each business zone.
4. Get a Car Wash License.
Because of recent changes to the Companies Law, investors can now own their entire car wash either on the mainland or in one of the free zones. As a result, to start your business in Dubai, you can apply for a car wash license in Dubai directly to the Department of Economic Development DED (for the mainland) or the relevant jurisdiction.
In Dubai, a parking car wash license costs between AED 10,500 and AED 14,000. Furthermore, to keep your car wash license valid, you must renew it every year. Remember, if your name appears on the defaulter's list, you may face legal consequences.
5. Make Visa Arrangements
The final step is to manage visas for yourself and your family to ensure everyone's safety in the UAE. Again, it's a simple four-step process; all you have to do is submit the required documents and the visa applications.
The relevant governing body will evaluate your documents and grant visas after successful verification. The number of eligible visas is determined by the size of your company and its investment plan.
Things to Remember Before Incorporating a Car Wash Business in Dubai
Carpet cleaning, exterior washing, dry cleaning, and other services are all part of car washing. As a result, you should be very clear about the services you provide to apply for the appropriate car wash license in Dubai.
Dubai Car and Automotive City Free Zone is one free zone appropriate for the car industry. Furthermore, the location you select for your car wash business is critical. The space should be sufficient to prevent vehicle commotion and allow for hassle-free vehicle queuing.
Moreover, improve your marketing game by utilizing offline and online marketing channels to inform your target audience about your venture.
What is the Cost of a Car Wash License in Dubai?
The total cost of a car wash license Dubai is the sum of the various payments you make while opening your business. This covers the fees paid for reserving a trading name, receiving outside approvals, signing an ejari (tenancy contract), and much more.
Additionally, location, business operations, employee visas, and service fees raise the price. You should therefore budget at least AED 18,500 to launch your carwash business in Dubai. You should speak with the business consultants to obtain accurate quotes and describe your business model.
Documents Required to Open a Car Wash in the UAE
The paperwork required to start a car wash business in Dubai is as follows:
- Copy of the applicant's passport
- NOC from your local service agent
- Payment for trademark registration receipt
- A valid tenancy agreement
- A copy of your visit/tourist/residence/investor visa
- Chamber of Commerce and Dubai Municipality approval
- A detailed business plan document
The business incorporation experts downplay all the legalities in starting a car wash operation in the United Arab Emirates. However, take suitable precautions, comprehend the variations of the lucrative market in the UAE, and position. Your brand should be known for being the best at what it does. In that case, you can also rank among Dubai's top car wash businesses.
Why Choose us
Our legal consultants at Business Setup Worldwide assist you in choosing the best corporate bank for your business, choosing the location, handling the paperwork, and carrying out all other tasks necessary to launch your dream business in the UAE. Contact us to meet all your business needs from beginning to end with our business consultants, who offer their services at reasonable prices.
How much does it cost to open a car wash in Dubai?
Furthermore, location, business activities, employee visas, and service charges contribute to the overall cost. As a result, you should budget at least AED 18,500 to launch your carwash business in Dubai.
Is the car wash business profitable in Dubai?
As cars are the king of the UAE, the car wash industry is unquestionably profitable.
How do I start my own cleaning business in Dubai?
Submit copies of your passport and visa.
Choose a Company Structure
Obtain Trade Name Approval
Sign the LSA Agreement
Sign the LSA Agreement
Rent a suitable location
Complete the documentation and obtain a license
How much capital do I need to start a car wash business?
The costs of starting a car wash will vary depending on the type of car wash you open. A handwashing business can be started for as little as $2,500, while an automated self-service wash can cost $150,000 or more.