Restaurant in Dubai

How to Open a Grocery Store or Mini Mart in Dubai

Setting up a grocery store or mini mart in Dubai can be a profitable venture, given the city’s fast-paced lifestyle, diverse population, and strong demand for everyday essentials. Whether you’re an expatriate entrepreneur or a local investor, this step-by-step guide will help you understand the licensing, costs, and regulatory requirements involved in launching a successful grocery retail business in Dubai.

Why Open a Grocery Store in Dubai?

  • Consistent demand for food and essentials across all demographics
  • Growing population of residents and expatriates
  • Opportunities for niche stores (organic, ethnic, budget-friendly, etc.)
  • Strategic locations available in residential communities, malls, and commercial areas

Step-by-Step Guide to Opening a Grocery Store or Mini Mart

1. Decide on Your Business Model

Choose the type of grocery store you want to open:

  • Mini Mart – Compact and convenient, ideal for residential or commercial buildings
  • Supermarket – Mid-sized retail outlet with more variety and volume
  • Specialty Store – Organic, ethnic, or health-focused grocery concepts
  • Franchise – Partnering with an existing brand for faster market entry

2. Choose the Business Jurisdiction

Your store must be licensed in one of the following jurisdictions:

  • Dubai Mainland – Ideal for operating in any location in Dubai, including residential and commercial zones
  • Free Zone – Suitable for e-commerce or distribution-based grocery businesses, but limited for retail stores

For a physical grocery store, setting up in Dubai Mainland is usually required.

3. Select a Trade Name and Legal Structure

  • Reserve a unique trade name with the Department of Economic Development (DED)
  • Choose the appropriate legal structure, typically:
    • Sole Establishment
    • Limited Liability Company (LLC) – Most common and allows multiple shareholders

4. Obtain Initial Approvals

Before applying for your trade license, you’ll need to get:

  • Initial Approval Certificate from DED
  • Location approval for the shop from Dubai Municipality

5. Secure a Commercial Space

Choose a retail space that fits your business size and footfall goals:

  • Must meet Dubai Municipality health & safety standards
  • Must have appropriate layout for food storage, refrigeration, and customer traffic
  • Get a tenancy contract and have it registered through Ejari

6. Apply for a Grocery Trade License

Submit the following to DED:

  • Trade name reservation certificate
  • Initial approval certificate
  • Ejari and tenancy contract
  • Passport copies of shareholders
  • MOA (Memorandum of Association)

Once approved, you will receive your Grocery Trade License under the Activity Code: 521103 – Grocery Store.

7. Get Approvals from Dubai Municipality

Dubai Municipality requires inspections and approvals for:

  • Hygiene and sanitation compliance
  • Food safety management
  • Storage and refrigeration systems

Your store must also comply with Dubai’s Food Code if you will be handling fresh or perishable food.

8. Hire Staff and Register with MOHRE

  • Hire qualified staff for cash handling, shelf management, and hygiene
  • Register employees with the Ministry of Human Resources & Emiratisation (MOHRE)
  • Obtain labor cards and process employee visas

9. Set Up Your POS and Inventory System

  • Implement a Point of Sale (POS) system
  • Set up inventory management software to monitor stock, suppliers, and pricing
  • Consider integrating with payment gateways and loyalty programs

10. Launch and Promote Your Store

  • Use local SEO, Google My Business, and social media for visibility
  • Offer opening promotions and bundle deals
  • Partner with online delivery apps to expand your reach

Cost Breakdown (Estimated)

Cost Item Estimated Amount (AED)
Trade name reservation & approval 1,000 – 2,000
Commercial license (DED) 10,000 – 15,000
Food license (Dubai Municipality) 8,000 – 12,000
Ejari rent (annual) 80,000 – 300,000+
Fit-out & interior design 150,000 – 500,000+
Kitchen equipment & setup 100,000 – 300,000+
Staff visa & medical (per person) 3,000 – 6,000
Marketing & branding 10,000 – 30,000

Total initial investment can range from AED 90,000 to AED 250,000 depending on the store size and location.

Key Tips for Success

  • Choose a high footfall area like residential buildings, near schools, or office hubs
  • Focus on fast-moving consumer goods (FMCG)
  • Keep your pricing competitive
  • Ensure strong supplier relationships for better margins
  • Comply strictly with municipal regulations to avoid fines or closures

How GCCG Can Help

At GCCG.ae, we simplify the grocery store setup process for you — from licensing and location scouting to government approvals and ongoing compliance. Our business consultants ensure you launch your mini mart in Dubai with complete peace of mind and a clear path to profitability.