How to Set Up a Travel and Tourism Company in Dubai

Dubai, with its stunning skyline, luxurious lifestyle, and rich cultural heritage, is one of the world's top travel destinations. This makes it an ideal location for establishing a travel and tourism company. Whether you're looking to offer bespoke travel experiences, tours, or corporate travel services, Dubai provides an excellent environment for your business to thrive. This guide outlines the essential steps, requirements, and benefits of setting up a travel and tourism company in Dubai.

Benefits of Setting Up a Travel and Tourism Company in Dubai

Booming Tourism Industry

Dubai attracts millions of tourists every year, offering a vast market for travel and tourism services. The city's commitment to hosting world-class events, such as Expo 2020, further enhances its appeal.

Strategic Location

Dubai's strategic location between Europe, Asia, and Africa makes it a convenient hub for international travel. The city's advanced transportation infrastructure supports seamless connectivity.

Government Support

The Dubai government actively supports the tourism sector through various initiatives and policies. These include incentives, promotional activities, and infrastructure development aimed at boosting tourism.

Diverse Market Opportunities

From luxury tourism and adventure travel to cultural tours and business travel, Dubai's diverse tourist demographics provide numerous opportunities for travel and tourism businesses to cater to different segments.

Steps to Set Up a Travel and Tourism Company in Dubai

1. Determine Your Business Activity

The first step is to decide on the specific type of travel and tourism services you wish to offer. This could include inbound and outbound tour services, travel agency services, corporate travel management, or specialized tours (e.g., desert safaris, cultural tours).

2. Choose a Business Structure

Select the appropriate legal structure for your company. The most common structures for travel and tourism businesses in Dubai are:

• Limited Liability Company (LLC)
• Sole Proprietorship
• Branch Office Each structure has its own requirements and implications for ownership, liability, and taxation.

3. Register Your Trade Name

Choose and register a unique trade name for your company with the Department of Economic Development (DED). The trade name should reflect the nature of your business and comply with DED guidelines.

4. Obtain Initial Approval

Submit the necessary documents to the DED to obtain initial approval for your business. These documents typically include passport copies of the shareholders, the trade name reservation certificate, and a brief description of your business activities.

5. Secure a Local Sponsor

For certain business structures, such as an LLC, it is mandatory to have a local sponsor who holds at least 51% of the company’s shares. The local sponsor can be an individual or a corporate entity.

6. Draft the Memorandum of Association (MOA)

The MOA outlines the company's structure, ownership, and operational guidelines. It must be drafted in Arabic and notarized by a public notary in Dubai. For LLCs, the MOA will detail the distribution of shares between the local sponsor and foreign partners.

7. Find a Business Location

Having a physical office space is a requirement for company registration. The office lease agreement must be submitted to the DED along with other documents. The office location should comply with Dubai’s zoning regulations.

8. Apply for a Tourism License

To operate a travel and tourism company in Dubai, you need to obtain a tourism license from the Department of Tourism and Commerce Marketing (DTCM). The type of tourism license will depend on the specific services you intend to offer:

• Inbound Tour Operator License
• Outbound Tour Operator License
• Travel Agent License

9. Obtain Additional Permits and Approvals

Depending on the nature of your business, you may need additional permits and approvals from various government authorities. Ensure that all necessary licenses are obtained to avoid any legal issues.

10. Complete the Registration Process

Submit the final set of documents, including the MOA, lease agreement, initial approval certificate, and tourism license, to the DED. Upon successful verification, you will receive the trade license, allowing you to commence business operations.

Setting up a travel and tourism company in Dubai offers numerous opportunities in one of the world's most vibrant and dynamic markets. By following the outlined steps and ensuring compliance with local regulations, entrepreneurs can establish a successful travel and tourism business in Dubai. The city's commitment to enhancing its tourism sector, coupled with its strategic location and diverse market, makes it an ideal destination for your business venture.

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If you would like to set up a company in Dubai, contact ANUVI Business Solutions today.

For more information, speak/chat with our experts on +971506472494 or email us at [email protected].