How to Open a Retail Shop In Dubai?

As an Indian entrepreneur, you should consider an option to open a retail shop in Dubai. Businesses such as retail shops are proving to be successful in most parts of Dubai. Some areas especially offer additional profits where the majority population is financially strong & growing rapidly. Moreover, the majority of local and foreign residents enjoy a good income in Dubai. 

Every year thousands of tourists come and stay in Dubai which is also a boosting factor in the retail sector. However, there are plenty of retail shops here, but new opportunities are always coming up for retail businesses. To get complete information on “how to open a retail shop in Dubai?” please read the blog till the end.  

Benefits of Opening a Retail Shop in Dubai

The retail sector of Dubai is a thriving industry contributing about 22.85% to the total GDP of the UAE. The UAE provides a variety of benefits to people wishing to set up a retail business in Dubai.

To support this statement, 6 main benefits that Indian entrepreneurs, investors, and business owners can enjoy on opening a retail store are mentioned below. 

1. Choice Of Your Business Location 

Dubai provides 30+ free zone areas as well as many mainland locations for Indian businessmen to open a shop in Dubai. The free zones provide complete ownership for the company, zero taxation as well as 100% profit repatriations. Though, the free zone condition is that you have to do business outside of Dubai only.

Whereas, the mainland owners also enjoy the similar benefits of no taxation, and full ownership as Freezone but will have more freedom to run a business outside as well as in the UAE local market area. The flexibility of business location allows Indians to open a retail shop in Dubai.

2. Many Expansion Opportunities 

Dubai also offers several business expansion opportunities like B2C, B2B, and C2B trading to Indian entrepreneurs. Moreover, Dubai’s advanced and tech-savvy people support the growth of online selling and other eCommerce businesses. Also, you are free to conduct digital advertisements and similar online promotions. 

3. Supportive Government 

The government of Dubai offers continuous cooperation and support to investors from all over the globe. It offers you profitable business schemes and prime facilities throughout the year. In addition to this, the Dubai government also offers long-term residency to entrepreneurs, investors, and Indian business owners. 

4. Easy Business Set-Up Method

Dubai has one of the best cooperative legal structures in place for all investors and entrepreneurs. Moreover, you can easily manage all the paperwork for a retail license in Dubai within a few days. 

5. High Standard Of Living 

Apart from opening a retail business, you also get to enjoy a quality life in Dubai. UAE holds 20th rank in the World’s Life Quality Index. The reasons are top-class hospital facilities, the best infrastructures, and amazingly talented people. Most of the population are expatriates, so you get to live with people of different communities, cultures, and religions. 

6. Taxation Benefits 

The Dubai government offers many tax benefits to Indian entrepreneurs to seek more investments from India. Many liberalists policies focus on Indian investors, making it simpler for Indians to open retail businesses in Dubai. 

You are free from paying income tax, import-export duty, or personal tax. However, you may have to give a 5% compulsory VAT, as per the retail business activity you choose. 

What Are The Steps To Open A Retail Shop In Dubai?

The process to open a shop in Dubai is very simple as compared to other locations of the world. Simply follow the below-given steps & you will get your shop running within a week. 

Step 1: Registration & Retail License Dubai

You have to get a retail license and other necessary certifications from the authorities. The government body that sanctions retail license Dubai permissions is DED (Department of Economic Development).

Step 2: Know The Business Jurisdiction 

You may open a shop in Dubai mall or a small store in Meena Bazar– but knowing the jurisdiction is important. To set up a retail business in Dubai, you need to follow the terms of jurisdiction & adhere to a standard shareholding structure in the UAE

Step 3: Permissions Needed For Renting A Shop

Opening a retail shop on rent comes with a few extra challenges in Dubai. Choosing a shop location is important. However, it also comes with a list of permissions that you need from the Dubai Municipality Body. 

What Are The Documents Required To Open A Retail Shop In Dubai?

The paperwork may depend on the type of business activities of the retail shop. The documents required to register and open a retail store in Dubai are: 

  1. Copies of passports of all the shareholders and managers
  2. Copy of the owner’s Dubai residence visa
  3. The ownership deed or lease agreement for the official site for your retail shop

What Is The Cost Of Opening A Retail Shop In Dubai? 

Thinking about the cost needed to set up a retail business in Dubai? Well, to open a retail shop in Dubai costs you a minimum of AED 20,340, myriad payment fees, and a ranking note charge. For a common trading license, you require AED 1500, plus a fee of AED 10,000 to the Dubai Municipality. 

Moreover, you need to pay AED 3000 to the Ministry of Economic Development (MED) and AED 1200 to the Dubai Chamber of Commerce. There are other expenses too such as renting a shop and paying salaries to employees. 


Opening a retail store can open doors of success for Indian investors, business owners, and entrepreneurs. However, it requires a proper registration process that covers submissions of multiple documents and approvals from several departments. 

The retail shop opening process is not easy at all and you may need professional support. You can take help from the Shuraa Business Setup which offers the best support to do the business setup in Dubai and UAE. Our consultants will get you started to execute the entire operations of your retail shop.