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How to Start a Carwash Business in Dubai

Dubai’s population is at its peak. The increasing population generates a rise in demand for vehicles. This city is renowned for its lavish lifestyle. Every second person in Dubai owns a car. Owning an asset like a car requires good maintenance. The desert-like environment of Dubai makes the vehicle owner get their vehicles washed regularly. This has created a massive chance to start a carwash business in Dubai. Keeping in mind the population and number of vehicle owners, starting a carwash business in Dubai can be a strategic move. 

This article explains the necessary steps to initiate this highly profitable business of carwash in Dubai. 

Steps to Start a Carwash Business in Dubai

Careful planning needs to be done while starting any business. Similarly, one should always go through crucial steps of business setup by registering with the relevant authority.

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1. Finalize your Activities  

The first step for starting a carwash business involves the finalization of activities that you could offer in your industry. Contact DED (Department of Economic Development) to get the list of business activities for your carwash business. Next, you need to select or shortlist those activities that you will be offering your customers.

 Washing, polishing, vacuuming, etc could be the activities involved. 

2. Reserve a Business Name 

It is important to have an appropriate business name and submit it to the concerned jurisdiction for review. It is a vital part of the process and must be done carefully per the guidelines prescribed by the Dubai authorities. The name should not gimmick any other brand name and also should not be offensive to any community. 

Submit at least 4-5 names and submit it to the jurisdiction. You can pick the final name out of the once approved. 

3. Choose a location for your carwash company 

One should stick to all the laws and regulations prescribed by the UAE authorities while choosing a location for your carwash business in Dubai. Select a location where your business could reach more people. For example, opening a carwash business near a gas station could be an ideal strategic location in the mainland zone of Dubai. You should always look after both the positive and negative sides of a business zone and then finalize your location as per your business requirements.

4. Obtain a car wash license 

The latest amendments to Companies Law have made it profitable for carwash owners in Dubai. It allows the investors to have 100% ownership of their carwash business. Individuals can directly approach to DED for a car wash license in the mainland and concerned jurisdiction in case of free zones

Securing a car wash license in Dubai can approximately cost AED 10,500 to AED 14000. It is a must to renew the license each year so that it remains valid. Avoid any legal indulgence in the future by not listing as a defaulter. You can also seek professional guidance when applying for a car wash license in Dubai. 

5. Apply for a Visa 

Dubai is an economic hub of business and the government has been very lenient in providing visas whether it is for tourism or work. Arranging a visa to work in Dubai is a very simplified four-stage process. The final step is to arrange a visa for yourself and your family in order to ensure security and safety.

You need to submit your documents to governing bodies which will verify them and grant you a visa for your work. 

6. Marketing and Promotion 

Implementation of a marketing strategy has become crucial to establish yourself among various competitors in the market. Apart from offline techniques, you need to use the digitalization methods of marketing for a greater outburst of your business. Let people know you and your business activities digitally. You can directly cater to your target audience through SEO, social media platforms, and much more. 

Grant better discounts and offers to attract customers. Once the customer is attracted, try to retain them by providing extra after-services. 

Cost of Car Wash License in Dubai 

Many expenses are incurred throughout the process of generating a car wash license. Many payments like trade name reservations, external approvals, and ejari which is basically the tenancy contract need to be incurred.  

Approximately, the minimum expenditure of AED 18,500 could be incurred throughout the process, looking after the business location, business activities, employees’ visas, and other service charges. 

Documents Required to set up a Car wash Business in Dubai

Keep the following documents ready, while you set up a carwash business in Dubai : 

  • A passport copy of the applicant 
  • No objection certificate from the service agent 
  • Receipt of trademark registration 
  • Valid tenancy contract 
  • Copy of your visa/tourist visa/residence visa
  • Approval from the Chamber of Commerce and Dubai Municipality 
  • A comprehensive business plan document 

Start Your Car Wash Company in Dubai

Launching a carwash business in Dubai can be a bit challenging and requires professional help. Under the dynamic circumstances of the UAE market, Future Dream has a team of experts who will guide you throughout the process of incorporating a company in the UAE. We make your process worry-free and hassle-free.  

Our skilled advisors will guide you in finalizing an appropriate business location, managing all paperwork, and providing help to turn your idea into a reality in Dubai.

Also, Read:) Starting a Cleaning Company in Dubai, UAE: A Step-by-Step Guide

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