There is no issue about the matter that Dubai is one of the world's most popular holiday destinations. The favorable environment, scenic coastline, historical landmarks, and spectacular modern buildings render Dubai an excellent place for holidays. The government is making a tremendous opportunity to expand the UAE tourism industry. Combining these factors makes the region desirable to operate a tourism company in Dubai or a travel agency.
It is a city of landscapes, skyline, and numerous luxury hotels on high elevation. Dubai's government secures the most significant share of travel and tourism income. The tourism and travel industry is listed as one of Dubai's most profitable sectors, attracting many entrepreneurs, investors, and businesses to invest in this market.
Major Tourist Attractions in Dubai
- Burj Khalifa
- The Dubai Fountain
- Dubai Aquarium
- Wild Wadi Waterpark
- Dubai International Financial Centre
- Deira Clockwatcher
- Palm Island
- Dubai Gold Souk
- Dubai Museum
- Dubai Creek
- Meydan Racecourse
- Bastakiya District
- Ski Dubai
- Dubai Marina
- Global Village
- World Islands
- Madinat Jumeirah
How to Establish a Tourism Company in Dubai?
Dubai tourism businesses are at a significant crisis, and the worldwide tourism sector has been on a fast growth rate. Dubai is the most tourist destination spot. It gives ample scope to all the start-ups and investors who want to invest in the tourism industry. To establish a tourism and travel business in Dubai, you need a travel and tourism license. The Department of Tourism and Commerce Marketing (DTCM), Dubai, approves the travel and tourism licenses. Obtaining a travel company permit often depends on the type of business you wish to register in Dubai.
Kinds of Activities under the Travel Agency License
Dubai's government has offered various types of activities that a travel agency can provide to its clients. The following are:
- Offering flight tickets
- Issuing Voyage Insurance
- Sale of tourist packages via website
- Offer support during the issuance of visas
- Development and marketing of tourist packages across various channels
- Offering lodging options
Documents Required to Obtain a Tourism License in Dubai
- An application Form
- A copy of the applicant's foreign passport
- A certificate that confirms the manager's credentials, i.e., the manager's education and experience certificate (3-year expertise certificate if he or she has any bachelor's degree, or if he or she has any travel & tourism certificate; 5-year experience certificate if the supervisor only has a secondary certificate)
- Clean criminal background certificate from manager and company owner
- NOC provided by Civil Aviation Authority
- A document that certifies 30 square meters of office space required for each activity
Guidelines to Obtain a Travel Agency license
- The travel agent must have a valid travel agent license badge issued by the DTMC.
- The person applying for the badge must have completed their travel agent Recognition Programme.
- The travel agent license may be renewed every year, ensuring that the applicant completes the annual refresher course.
- If someone fails to renew their credential for two consecutive years, they will face a penalty.
- The travel agent should be wearing his travel agent badge always.
Steps to Obtain a Travel Agency License in Dubai
For establishing a Travel agency in Dubai, you need to get a license. And these procedures will help you in learning how to get one.
- Know the Types of Travel Agency Licenses in Dubai.
- Gather the required documents
- Special conditions
- Submit the applications and documents
1. Know the Types of Travel Agency Licenses in Dubai
First, you need to engage yourself with the various types of travel agency licenses issued by the authorities before getting a travel agency license in Dubai. There are essentially three types of travel and tourism agency licenses in Dubai. And you need to select one from the three charges to start up the business. The three categories of claim are:
- As an Inbound Tour Operator
- As an Outbound Tour Operator
- As a Travel Agent
Let us get into more details of the above licenses.
As an Inbound Tour Operator
It includes companies that organize local reward trips or trips to attend conferences and activities for foreigners. The travel agency manages visa, accommodation, and citizenship under this form of license.
As an Outbound Tour Operator
This form of license is granted to companies that manage and sell tourism programs abroad through travel agencies and tourism agents.
As a Travel Agent
It includes selling flight tickets on behalf of the authorized dealers to individuals. These office functions are limited to reserving seats, issuing tickets in collaboration with the agent, and performing services related to hotel booking and car rental.
2. Gather the Required Documents
After selecting the sort of license you want to apply for, the next ideal move is to collect the documents necessary to obtain the permit. They can be emulated as under:
- A registered application form issued by the authorities
- Copy of applicant's original passports
- Professional Certification Certificate / Manager's certificate of experience
- Secure certificate of the owner's criminal record/certificate of ethical citizenship
- A study report on the project's economic and technical viability
- No Objection letter from the Civil Aviation Authority
3. Special Condition
Apart from submitting the documents, a couple of special requirements must meet a person or a corporation. The conditions are as under:
- When setting up a travel agency, it must be set up as an LLC in which 49% of the shares belong to the international citizen, and the remaining 51% belongs to the local sponsor.
- The company manager must have at least three years of a certificate of experience if he/she received a bachelor's or (Travel and Tourism Credential) degree and five years of credential of service if the owner holds a secondary certificate.
- If a license is to be received as a travel agent, it requires one additional document, i.e., an authorization on behalf of the Emirates' Department of Civil Aviation.
- A feasibility study needs to illustrate the advantages of the country's tourism industry if you opt for an inbound/outbound tour operator.
- For an inbound tour operator, an irrevocable bank guarantee on behalf of DTCM (Department of Tourism and Commerce Marketing) is provided by any bank in Dubai.
- For an outbound tour operator Dh 200,000, an irrevocable bank guarantee granted by any bank in Dubai on behalf of DTCM (Department of Tourism and Commerce Marketing).
- Any bank in Dubai should grant Dh 100,000 of irrevocable bank guarantee on behalf of DTCM (Department of Tourism and Commerce Marketing) for a travel agent's service. No document for this operation requires insurance and feasibility analysis. If you take above all three activities, then total bank guarantee: Dh 400,000.
4. Submit the Applications and Documents
Once you have effectively managed all the above documentation, this process will take you to the core of the matter, i.e., filling out the form and sending the necessary documents to receive the license.
- First, apply the business name to Tas'heel Centre's DED counter.
- Obtain necessary approvals from the same department to establish a corporation. The application can be filled out at any typing center, after which you must obtain the signatures from both partners and send the application to the DED.
- DED will submit an application for the inspection process after initial approval. Fill out the form with complete office information, attach the location map, and apply it with the DED’s final records. Officer will come for inspection before granting the warrant.
- Make a legal translator's LLC Agreement (MoA) and get Notary Public attested. If the agreement is in Arabic, then the seal of the legal translator is not necessary.
- Next, both spouses or lawyers must be present at the Notary to sign the agreement.
- Be ready for the lease contract.
- Send all the documents, pay at the counter, and get your License.
Register the same at Dubai Chamber once you have obtained the License. After this, collect the application form, fill in the details, take the authorized signature and company stamp, and send it to the counter at Dubai Chamber. At the same time, a Certificate will be provided. Along with the Tourism License fees, payment has already been made at DED. The certificate of the Dubai Chamber is mandatory for registration with different departments of government and for extending your business to other emirates.
The license to travel agencies is legitimate for one year and must be extended afterward.
The travel and tourism company is strictly regulated when the incorporation process is started, and the travel license is required to be obtained at a faster rate. It initially turns out to be a tedious job to receive the same, but it can be simpler if you approach any professional firm that manages the process day and night.
If you are planning forward to starting up a travel and tourism company in Dubai and have any queries or doubts about your company's incorporation. In that case, our Commitbiz consultants are here to help. From establishing your travel agency to obtaining a license for your service, if you need any practical advice, please feel free to contact us; we are happy to help.