Types of Tourism Licenses in Dubai
There are three types of licenses available for conducting tourism business in Dubai, and they are as follows:
- Tourism license - Outbound Tour Operators
This tourism license allows the business to organize trips outside of Dubai along with domestic tours. This license is necessary for businesses that have travel and tourism prospects inside and outside of Dubai. People from Dubai can avail the services of outbound operators for travel packages abroad.
- Tourism license - Inbound Operators
The businesses that possess this particular license can conduct and organize tours for tourists who visit Dubai. They are eligible to conduct global exhibitions and conventions.
- Tourism license - Travel Agents
Travel agents can open agencies only with this license. The license permits them to book tickets and other related services on behalf of the customer.
Benefits of Obtaining a Tourism License in Dubai
The tourism license in Dubai is in high demand as the city is undergoing constant development, making the space more and more attractive to tourists from all over the world. They are trying to blend and encompass the Arab culture and make it more appealing to the global crowd. Taking advantage of this growth is best achieved through obtaining a tourism license in Dubai.
Let us look into the different benefits of obtaining a travel and tourism license in Dubai:
- Tourism license in Dubai helps the entrepreneur to get access to inbound, outbound, and travel agencies without additional payment and without any bank guarantees, and all under one license.
- The license will let the entrepreneur set up global conferences and exhibitions.
- With a travel agent license, the entrepreneur can easily book tickets and get the eligibility issue visit visas ( under strict conditions of the Immigration Department).
- The travel agent license along with the inbound operator license, lets the entrepreneur book lodging, transportation, and guided or planned tours to clients.
- As Dubai is growing to be a one-stop destination for tourism and thereby getting a tourism license can bring in many great benefits from the authorities in Dubai.
Steps to Obtaining a Tourism License in Dubai
The authority that approves and sanctions the tourism license in Dubai is the Department of Tourism and Commerce Marketing.
Here are the steps to obtain a tourism license in Dubai:
Dubai gives its investors who wish to own a travel and tourism license in Dubai the option of two premium locations: the mainland and the Freezone. If you are interested in starting a business in the mainland of Dubai, then you are availing yourself of benefits like visibility, the ability to work with the UAE market, and also getting businesses from the UAE government. Whereas, if you decide on setting up your business in the free zone, then you get multiple benefits like tax discounts and rebates, no currency restrictions, 100% repatriation of profits, and many other benefits.
A good business setup consultant like Kiltons will help you weigh the pros and cons of both spaces.
- Define your business activity
In this case, we are speaking about tourism as the main objective. The mere mention of the objective won’t suffice; you should be able to get yourself a proper business plan evaluated and submitted.
The name of the company can be chosen after following the terms and conditions laid down by the authorities, and those conditions are:
- The name should not be an already existing one and should not bear any resemblance to an existing name.
- The name should not contain any references to Islam or any other religion.
- The name should not be in blasphemous or obscene language.
- You can place your own name as the company name but short forms of your name are not acceptable.
Once the above steps are completed, you can now submit the application along with relevant supporting documents to the Department of Economic Development for initial approval. If you are starting a business in a free zone, you also require approval from those respective authorities.
Once the DED gives the initial approval, the next step is for them to come and visit the site of the respective office. This procedure is done before the handing over of the tourism license in Dubai.
A public notary should be assigned to translate the non-Arabic agreement and certificate.
Shareholders and attorneys to the agreement should sign the paperwork.
Now, the additional documents have to be submitted to the DED along with the signed agreement, and after careful scrutiny, the tourism license in Dubai is issued. You will also need to pay the license fee at this time.
Cos of obtaining a Dubai tourism license
The Department of Tourism and Commerce Marketing (DTCM Authority) announced a new regulation in mid-October 2018, removing the requirement for a bank guarantee of AED 100,000-AAED 200,000 for each operation such as an inbound tour operator, an outbound tour operator, and a travel agent.
This significantly reduces the initial investment and expense of obtaining a Dubai tourism license. The minimum requirement of 300 square feet has also been removed. Documents such as experience letters and educational certificates for managers in the same field that were previously required have been removed, making it possible for new investors in the field to apply for a tourism license in Dubai.
Why Choose Kiltons?
Kiltons has been providing business setup services for a very long time. Our panel of experts is invested in and keeps track of the regular changes that are happening in the UAE economy. Our scrutiny will be reflected in our advice, and you, as an entrepreneur, will be able to make the right decisions for your business. Our skills and in-depth knowledge of the market will easily help you blend into the high-potential market of Dubai.