How to start a mobile car wash business in Dubai?
Answered on October 24,2023
To launch a car wash business in Dubai, of course, you need a mobile car wash licence. However, this is just one of the many steps involved in setting up and operating your car wash business here.
Here’s the entire process you need to follow:
1. Choose Your Business Activities
The Department of Economic Development (DED) can provide you with a list of permissible commercial activities for car washing services. Make sure to carefully review the options and select those that best suit your business once you establish your car wash company in Dubai.
2. Determine Your Business Name
If you find choosing a name for your business to be a challenge, create a list of 3-4 potential names, then submit them to UAE authorities for review. You’ll receive feedback on these names and advice on whether any of your trade names are available. Make sure that each possible title is unique and creative and conveys the desired message about your company.
The United Arabe Emirates has strict naming rules for businesses, and these conventions are worth knowing before you make your trading name submission. For example, it’s not permitted to use religious references or a person’s full name. Companies of all sizes, based in Dubai, Abu Dhabi or any other emirate across the Middle East must adhere to these guidelines.
3. Choose a Business Location for Your Car Wash Company
To set up a car wash business in the United Arab Emirates, there are several relevant laws that must be taken into account. For instance, if you intend to open your company on mainland territory, it is essential for it to be located near a gas or petrol station or established in an industrial area.
In addition to applying directly to the Dubai Roads and Transport Authority (RTA) or Department of Economic Development (DED) for your parking car wash licence, you also need to review potential car wash business locations. You may consider the advantages of setting up in a free zone authority or decide that a mainland business is right for you.
4. Apply for a Car Wash Licence
Investors now have the opportunity to own and operate a car wash business in Dubai, either within the mainland or any of the Dubai free zones. You may apply for your car wash licence directly with the DED (when operating in the mainland) or the relevant jurisdiction (for free zone operations), enabling you to launch your new enterprise quickly and easily.
When applying for your professional licence, you’ll need a range of supporting documentation.
Necessary Documents For A Mobile Car Wash Licence in Dubai
Here are the required documents to get your mobile car wash licence in Dubai:
- Copy of passport/shareholder(s) passport
- Copy of shareholder(s) visa (tourist visa, residence visa etc.)
- Emirates ID copy and NOC from sponsor (if applicable)
- Options for trading names (at least 3) for your car wash business
- Signed Memorandum of Agreement (MOA)
- Copy of Ejari (tenancy contract in your company name)
Once you’ve gathered all the required documents, you can submit an application for a professional trading licence. You’ll then pay the associated fees and receive your approved licence.
5. Organise Any Relevant Visas
The final step to guaranteeing everyone’s successful stay in the UAE is to arrange visas. Fortunately, this process is hassle-free and fairly straightforward. There’s just a few documents required to supplement your visa applications. Keep in mind that the number of qualified visas available to your company is contingent upon its size and investment plan.
Legal Requirements for Operating a Car Wash Business in Dubai
If this business undertaking seems like the right avenue for you, there are a few details about setting up a mobile car wash business that you should know. Let’s explore some key rules and regulations that need to be taken into consideration:
- According to Dubai regulations, car washing is only permitted by licenced entities within the city.
- Dubai has designated areas specifically allocated for car washing, and it is mandatory that all citizens abide by this regulation.
- If you choose to wash your car anywhere other than the allocated area, be prepared to pay a hefty fine of AED 500. For repeat offenders, the cost is doubled at AED 1000.
- In order to be legally permitted in Dubai, all car wash services must install water recycling systems and also dispose of both solid and soluble wastes responsibly.
The Cost of Getting a Mobile Car Wash Licence in Dubai
According to the Dubai Economic Department, obtaining a licence for car washing activities will cost approximately AED 10,173.
This cost includes several administrative aspects of licencing in the UAE. The total cost will cover the licence acquisition, joining the Chamber of Commerce, all associated Municipality Fees, having your trade name approved and authorised by relevant authorities, as well as any Notary or Court fees.
Keep in mind that the cost of starting a car wash business in Dubai is additionally affected by factors such as geography, type of activity conducted, employee visas and service fees. Therefore you should prepare to invest at least AED 18,500 when beginning your venture.
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