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How to open a travel agency in Dubai

How to open a travel agency in Dubai

UAE as a country is one of the world’s most attractive tourist destinations. It has attracted millions of tourists on a yearly basis and that number is only going to increase in the coming years.

Since UAE as a country is quickly becoming popular among people all over the world as a perfect tourist destination, it attracts a number of business investor from all over the world who plans on setting up their own travel agencies in the country.

While deciding to set a travel agency in UAE, an investor has to follow the due process that has been put in place as per the laws of the country. Travel agency within UAE can be operated a limited liability company or as a sole proprietorship.

It is necessary to make the distinction between the two as the documentation process can vary accordingly. If the investor decides to set up travel agency as LLC the documentation process can prove to be a lengthy and hard process as more stringent rules have been set in place for the same.

On the other hand, setting up the travel agency as a sole proprietorship, the law of the country demands that the business owner should be a certified travel agent only then the process of setting up a travel agency can be allowed within the country.

While setting up a travel agency within UAE the investor will need to take into consideration a few important aspects:-

  • 1. The investor has to be sure about the business form under which the travel agency can be set up.
  • 2. It is also important for the investor to determine the location of the travel agency.
  • 3. Being a foreign investor, a local sponsor is a must to set up a travel agency.
  • 4. As an investor, it is equally important to be sure about the type of license that is being applied for.
  • 5. Enough funds are kept available for the business set up.

Steps to open a travel agency

  • 1. Establish Business Activity: - once deciding to open a travel agency it is important to determine the nature of the business activity and decide how will you operate as a travel agent be it inbound or outbound tour operator.
  • 2. Company name: - while deciding to set up a particular type of travel agency you have to choose the right name for your agency as per the naming conventions of the country.
  • 3. License: - starting any new venture in UAE, the investor has to apply for obtaining a business license as per the type of business that is going to be started. For operating a travel agency one has to apply for a tourism license that will be issued by the DED.
  • 4. Employee visas: - Once the license has been obtained it is time for the investor to obtain visas for the staff that is going to be working with the newly set up travel agency. For this investor has to apply for staff permits on the ministry of interior’s e-channels portal. Once the permits are issued employees can perform an in country status change to obtain a permanent employment visa of the country.
  • 5. Banking account: - Once all the above formalities have been completed by following the due process it is time for an investor to open a bank account. The investor has to apply for a corporate bank account and make sure the bank choice we made properly as mostly a minimum balance will be required to keep the account active all the time.

The above steps give an insight into the process of opening a travel agency within the UAE. Opening a travel agency in UAE mainland, one has to follow the due process of law and complete all the formalities to obtain a required license in order to start the operations of the intended business activity.

While trying to complete the process of documentation an investor might loose some important time in order to focus on other aspects of the business which are equally important, hence it is advisable for a new investor to choose a business consultant within the mainland UAE that will help him with the process of documentation while the investor himself gives time to other aspects of the business.

With the help of a rightly chosen business consultant, the process can be more smooth and easy as they are aware of the conditions that need to be met and also the process that needs to be followed as per the laws of the country.

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