Setting up a beauty salon in UAEAuthor businessconsultantsdubai
Visiting spa and beauty salons is a way of life in the United Arab Emirates (UAE). According to latest figures from Euro Monitor International, the country boasts a per capita beauty spend of $247 (AED907), making UAE residents the biggest spenders in the region – and 9th worldwide, far exceeding the global average of $60 (AED220).
Women in this part of the world are exceptionally beauty-savvy – they know exactly what product or service they want and why they want it. From organic products to extravagant treatments, there is a new level of demand from clients which presents a great opportunity for you to rise up to it.
If you are going for new Business setup in Dubai and are interested in setting up a beauty salon business then this is the right time for you to go ahead with your plan.
Keep in mind that the competition is very intensive so you will have to differentiate yourself from others in this sector e.g. the global trend towards healthy living has led to consumers having a holistic approach towards health and opting for treatments that involve natural and organic ingredients i.e. free from harmful elements such as parabens and sulphates. New treatments such as micro-blading (face-framing brows) and laser treatments for face and body are fast becoming a regular in skincare routines.
Points to Consider before Setting up a Beauty Salon in UAE
Type of Salon: Decide on whether you would be offering makeup and hair services only or you would be providing additional services such as manicures, pedicures, facials and so on.
Type of license: Next, decide what specific demographic you will cater to i.e. male or female. There are two main type of license for beauty salon in Dubai; gents’ salon and ladies salon. For both, ‘professional’ license will be issued.
Legal Structure: Consider your business options. Whether you want to setup a small salon in Bur Dubai or build a luxurious one from scratch or get into a salon franchise or buy an already functioning salon. Also decide legal structure –whether you will own it or become a partner in business.
Location Hunting: If you intend to run your beauty salon from your home, you need permission from the Dubai Economic Development Department. You can also look to set up your business in an affordable location.
Setting up a business in Dubai Mainland would probably be more suitable for your salon business as compared to a free zone business setup as Dubai mainland will create more business opportunities; you can attract maximum number of clients and it allows you to expand in other geographical areas in future.
Finances: Assess your preliminary costs before you start your business and plan on how to secure funding for your business and its expansion at a later stage.
License and Permits:
Make sure you have all the approvals and licenses like a basic business license, no objection certificate, and other such important certifications that are required for smooth conduct of your business. Know about current business laws and regulations and it is also wise to invest in a good insurance policy that can protect your business against lawsuits.
The Department of Economic Development (DED) is the regulatory body for all types of businesses in Dubai Mainland. Following is the step by step process for your salon business registration in Dubai.
- Submit the passport and visa copies of the partners who are investing in the business
- Decide the name of your beauty salon
- Submit the name to DED in order to get it approved
- After the initial approval from the DED, draft and sign the Memorandum of Association
- If you are going to rent a salon shop then make an agreement with the tenant. Get the tenancy contract along with the Ejari number
- Get approval from the Planning Section of the Dubai Municipality (DM)
- Get approval from the Health and Safety Division of the Dubai Municipality
- Submit above mentioned documents and get the required license from the DED
It takes around 2-4 weeks getting all the above steps done with. Once you get the license from the DED, you are good to start your beauty salon in Dubai.
Get in touch with us if you are looking to setup a salon in Dubai. You can contact our Dubai business setup consultants by sending your query on firstname.lastname@example.org. We look forward to hearing from you.