How to Start a Baqala in Abu Dhabi?

by Zaara 12, Oct 2021

How to Start a Baqala in Abu Dhabi?

The word Baqala is derived from an ancient Arabic word meaning grocery or everything that comes from the ground directly. Across Abu Dhabi, every grocery store had a different quality of products ranging from world-class quality to a lesser quality of goods that can be easily affordable. In order to provide better quality goods at a lower price and make them readily available, the Abu Dhabi Food Control Authority (FDCA) launched Project Baqala in 2013.

Project Baqala was launched to maintain sustainability, quality, health, and safety in the stores. Under this project, every grocery store will have to operate under the same name as Baqala. In addition, the unique characters of each store will also be mentioned in a smaller font, which will make them different without compromising the quality. This will allow the businesses to conform to the rules and regulations but will also help in preserving their personal brand. Hence every store in Abu Dhabi is called Baqala.

Every Baqala in Abu Dhabi is required to maintain a standard store design, facilities, sufficient security equipment, staff with uniforms, and many other requirements must be fulfilled. One of the main purposes tops implementing such regulations is to remove any health hazard for the people as well as the employees of the business which can be caused due to a lack of sanitation and hygiene in the store.

The second reason to follow such rules is to increase customer satisfaction levels. With the cleanliness, more customers will be coming into the store thus increasing footfalls. The third and one of the most important reasons is to increase the revenue of the store.  

Two Things You Need to Know Before You Start a Baqala

There are two significant factors that must be kept in mind before setting up your business in Abu Dhabi. These two factors are provided below:

  1. Know and Understand your business

Before you set up your Baqala in Abu Dhabi, you must understand the domain of your business. This means that you need to understand the demand and requirement of goods in the region. As a Baqala, you will be selling groceries and other household goods, and for this, you must have a good understanding of the local culture and region, which will affect the demand for your goods and services. The Baqala also needs to keep track of the trends being followed in the market to understand the future need of any good and also to prepare themselves for any future change in the business environment.

  1. Local Partner

The government of the UAE has a specific set of rules when it comes to Baqala. It is mandatory to have an Emirati partner when you set your Baqala business in the UAE. This move will help the management to understand the needs, requirements better. It will also allow the administration to understand the customs of the region in a better way.

How can you open your Baqala in Abu Dhabi?

Here are some of the significant criteria for opening a Baqala in Abu Dhabi:

  1. Logo

A store can be affiliated or non-affiliated with the Baqala programme. A non-affiliated store must use a variant of the Baqala logo. Individuals or partners usually manage these stores, and one of the partners is required by law to be an Emirati.

  1. Physical Location

A Baqala is a physical store which means that you need to find a location where you can start your Baqala. According to laws, all the rules and regulations related to hygiene and protection must be followed which include pest control, weather safety etc. every Baqala must be present at a minimum distance of five thousand mm (5000 mm) from each other.

  1. Permission from DED

In order to receive permission from the Department of Economic Development (DED), the management must provide a complete list of all the products available at your store. If you wish to add more goods in the future, then the administration should provide this list also to the DED.

  1. Invoice System

You require to have a proper invoice system. The UAE government has made it mandatory to provide your customers with a physical invoice for any goods purchased from your Baqala.

  1. Proper Price tag

All the goods in your Baqala must have the proper price tag. This is a mandatory requirement from the side of the United Arab Emirates government.

  1. Nomenclature

The trade name must be the same on signage and licenses. There should be no differences in the name of the Baqala.

  1. Trademark

Every grocery item you are willing to sell must have a trademark registered under the government.

Why Setup Business in Abu Dhabi?

There are two significant reasons due to which one should look into setting up a Baqala in Abu Dhabi.

  1. Minimum Set up Cost

Unlike other businesses, the setup cost for a Baqala is comparatively significantly less. The management will have to invest more of its time and efforts into building the Baqala.

  1. Demand never goes off

The grocery stores will not face fewer demands in the future as the population of the area is continuously increasing and the demand for household goods is not going to go down in the recent future. Moreover, since Baqalas are present in or near residential areas, you will always experience growth in the market.

Why choose Abu Dhabi for Setting up your Baqala?

Setting up a Baqala in Abu Dhabi can be a very beneficial idea for a person or entity. Here are some of the reasons why setting up a Baqala is a lucrative idea.

  1. Ever-Growing Economy

Ever since the formation of the United Arab Emirates, the emirate of Abu Dhabi never saw any downfall in its economy. It has been an open economy for the past four decades with a very high per capita income. Therefore, there are no signs of the economy of Abu Dhabi going down, making it a very lucrative proposition for company formation in Abu Dhabi.

  1. Infrastructure and Conducive Business Environment

The UAE government is continuously trying to bring more foreign investments to the country. To accomplish this, they try to provide world-class infrastructure to the business so that they do not face problems in the future. This move will also assist the government of the UAE in attracting more and more companies from all over the world.

  1. Tax Exemptions

One of the biggest problems that you might face in a foreign nation is understanding their tax system. This is not the case for Abu Dhabi. The government of UAE has very simple and easy to understand laws regarding taxes. In Abu Dhabi, you can choose from various business models and tax categories according to the business model depending upon the requirement of the business.

  1. Government Support

The UAE government is continuously trying to improve the economy and do this, and it provides all kinds of support to business owners and entrepreneurs. This will increase the confidence of the business owners about the country and thus more, and more foreign business will come to the country from all over the world. So you can expect every type of support from the Department of Economic Development.

  1. Visa

One of the important requirements to open a Baqala in Abu Dhabi is that you are required to have a visa. When it comes to Visa, Abu Dhabi is one of the most fabulous destinations. The residential visa of the UAE grants you endless benefits such as multiple entry and exits from the UAE, leasing an apartment, opening a bank account in any bank in the UAE etc.

If you are looking forward to seizing this lucrative idea of starting your own Baqala in Abu Dhabi, contact us. Our expert consultants at Commitbiz will be happy to help you with every kind of service and advice. With our professional assistance, your company can become one of the best in the market. So to be a part of this ever-growing economy of Abu Dhabi, wait no more and write to us without any delay. We are happy to help you round the clock.

FAQs

Q. What is a Baqala?

The word Baqala is derived from an ancient Arabic word meaning grocery or everything that comes from the ground directly.

Q. What should you know before setting up a Baqala?

The things to be known before Setting up a Baqala are:

  • Understand your business
  • Understand business environment in which the Baqala will be operating
  • Understand the local partner

How to open a Baqala in Abu Dhabi?

Here are the key domains to focus upon during the opening of a Baqala:

  • Logo
  • Physical Location
  • Permission from DED
  • Invoice System
  • Price Tag
  • Nomenclature
  • Trade Mark

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