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How to set-up a Travel and Tourism Company in Dubai?

LIMITED LIABILITY COMPANY (LLC)
Business Activity:
1. Inbound Tour Operator
Activity Code 630412
License Type: Tourism
Activity Description: Includes firms that organize local incentive tours or tours for foreigners to attend conferences and events, it involves handling visas, transport and residence.

2. Outbound Tour Operator
Activity Code 630411
License Type: Tourism
Activity Description: Includes firms that organize and sell tourist programs abroad via travels and tourism agents.

3. Travel Agent
Activity Code 630402
License Type: Tourism
Activity Description: Includes selling air tickets to individuals on behalf of the authorized agents. The role of these offices is restricted to seats reservation, issuing tickets in co-ordination with the agent as well as carry out hotel booking and car rental related services.

General conditions for all three Activities:
Attested Education and experience certificate of the Manager. Three years experience certificate if he/she holds any bachelor degree or Specialization Certificate in Tourism/Travel. Five years experience certificate if the Manager holds only Secondary Certificate.
Police Clearance Certificate for all partners and Manager.
30 square meter office space for each activity. If you take above three activities, minimum 90 square meter space required.

Special conditions for Tour Operator (Inbound and Outbound):  
Insurance policy for covering the risks that may encounter tourism programs. The validity of the insurance policy shall cover the whole term of the license and expires one month following the license expiry date.
Feasibility study of the project and highlighted benefits on the Tourism Sector.
Inbound Tour Operator: Dh100,000 Irrevocable bank guarantee in the name of DTCM (Department of Tourism and Commerce Marketing) issued by any bank in Dubai.
Outbound Tour Operator: Dh200,000 Irrevocable bank guarantee in the name of DTCM (Department of Tourism and Commerce Marketing) issued by any bank in Dubai.

Special condition for Travel Agent Activity:  
No Objection Certificate from Civil Aviation Authority, Dubai. To get NOC, a request letter in Arabic should be submitted in the name of local sponsor. Attachments: his passport copy and family book (Jinsiyya) copy.
Bank Guarantee: Dh100,000 Irrevocable bank guarantee in the name of DTCM (Department of Tourism and Commerce Marketing) issued by any bank in Dubai. No need insurance and feasibility study report for Travel Agent activity. If you take above all three activities, then total bank guarantee: Dh400,000.

 

STEPS TO FOLLOW

DESCRIPTION

FEES IN AED

Commercial Name Reservation from Tas'heel Centre at Al Tawar Centre Qusais or Business Village near Clock Tower, Muraqabat.  Documents required: Any one of the partners' passport copy and list of proposed names. Name Reservation can be completed same time (Dh210 government fee+ Dh50 service charge)

260

Initial approval from DTCM (Department of Tourism and Commerce Marketing). Collect form from DTCM, type, get signature of the partners and submit at DTCM. Form can be filled from Typing Centre.
Attachments: Name Reservation Certificate, Typed form, NOC from Civil Aviation for Travel Agent activity, Passport copies of partners, Manager, Education and Experience Certificate of Manager, Family Book (Jinsiyya) copy of Local Sponsor, NOC from sponsor for expatriate partner who holds Employment Visa/Residence Visa. Visit/Tourist Visa holder can attach his/her visa copy. No need NOC for Partner/Investor visa holders.
After initial approval DTCM will give a form for site inspection. Fill the form with complete office details, attach location map and submit at DTCM along with final documents. Officer will come for inspection before issuing the license. 

110

Type LLC Agreement (MoA) from a legal translator and get attested from Notary Public at Al Tawar Centre or Al Barsha  or DED at Business Village near Clock Tower. Legal translator's seal is not required if the the agreement is only in Arabic.
CAPITAL:
You can write the capital amount in LLC Agreement as much as you want. No need to show Capital deposit certificate from bank. Notary will charge a small percentage at the time of attestation according to the Capital amount and number of partners. Standard capital amount is Dh300,000 out of which 51% (Dh153,000) should be allocated to National partner and remaining 49% can be divided among expatriate partners. If the expatriate partners are two, you can divide the remaining shares to 25% (Dh75,000) & 24% (Dh72,000). If the expatriate partners are more, you can increase the capital. A partner's share value should be Dh70,000 or more to apply for Partner Visa.

Agreement Typing Charge
400 (Approx)

All Partners or Attorney have to attend at Notary to sign the Court Agreement
Attestation fee at the court (Notary Public)

1000 (Approx)

Make ready Tenancy contract of the office and register through EJARI online system. EJARI can be prepared from authorized Typing Centre.

195 for Ejari

Get approval for Tenancy contract from Municipality Planning Section which is available at DED branches
Documents required: Typed DTCM form, Name Reservation Certificate, Initial Approval, Tenancy Contract and EJARI Registration Certificate. Planning Section will put a seal of approval on back side of the form.

No fees

Submit the attested LLC Agreement (one original copy), DTCM form, Name Reservation Certificate, Initial Approval, NOC from Civil Aviation (if any), Tenancy Contract, EJARI Registration Certificate, passport copies of partners and Manager, Education and Experience Certificate of Manager, Family Book (Jinsiyya) copy of Local Sponsor, NOC from sponsor for expatriate partner (if any), at DTCM. Payment voucher will be issued after the site (office) inspection. Make payment at the counter and get the license.

 
Approximate fees for Travel and Tourism License at DTCM

21,520

 

Break-up cost of New Trade License at DTCM

Description

Fees in Dhs

Tourist License Fees 300.00
Tourism Cultural Fees 10.00
Tourism Registration Fees 200.00
Government Cultural Fees 20.00
Administrative Fees 50.00
Non-Arabic Trade Name Fees (Dh2000 extra fees for words like Emirates, Gulf, International, Abbreviation. Maximum Trade Name Fees: Dh3000) 2000.00
Name board permission Fees 350.00
Market Fees (5% of your shop/office rent) amount varies depends on tenancy amount 4500.00
Partner Accommodation Fees (Dh500 for each expatriate Partner). If any of the partner paid his accommodation fees with any other license, you can approach DED to remove his fees after get issued the Payment Voucher 1000.00
Public Waste related service fees 1000.00
Service Improvement Fees (Tourism) 240.00
Chamber of Commerce Fees 1200.00
Airline Ticketing Activity Fees (if you choose this activity-every year) 10000.00
Local Fees - Tourism License 150.00
Civil Defence Fees 500.00
Total License cost (approximately)

21,520


After License issued, register your license with Dubai Chamber, which is there at the DTCM building and at all DED branches. Collect Registration Form from there, Fill the information, Put authorized signature and company stamp and submit at Dubai Chamber counter. Certificate will be issued same time. Payment already made at DTCM along with the Tourism License fees.
Documents required: Filled form,  Copy of Tourism License, Partners List, LLC Agreement, Passport copy of Authorized Signatory and DTCM Payment Receipt of Tourism License.
NOTE:
Chamber Certificate is required for Registration with various Government Departments and to expand business to other Emirates and abroad.

DESCRIPTION

FEES IN AED

Immigration Establishment Card (Application can be prepared from Typing Centre). Submission at Immigration Office. Card will be issued within five minutes. read more.
After Immigration card issued, you can apply for Investor/Partner visa.

850 (Approx)

Labour Establishment Card (Application should be typed from Tas'heel Centre). Submission at Labour Office. Card will be issued within five minutes. read more.
After Labour Establishment card issued, you can apply for staff's Employment visa.

2200 (Approx)

SILENT PARTNER
A larger portion of Dubai Limited Liability Companies use the local UAE sponsor as a "silent partner." In this arrangement, the local UAE sponsor is usually paid an annual "sponsorship fee" in return for giving up management control of the company to the foreign investor. But as a formality, we should allocate 51% share of the company to UAE National. If you want you can make a Side Agreement to protect your investment stating that the whole investment including sponsor's share belongs to you. This agreement cannot be attested by Notary. But you can get signed by the sponsor as a confirmation. 

LICENSE RENEWAL:
Tourism license is valid for one year. After expiry, 30 days grace period is there.  If not renewed within grace period, Dh200 fine per month will be charged at DTCM. At the time of renewal, apart from the above fees, employee accommodation fees to be paid extra according to the number of staff. Managers and Degree/PG level profession holders should pay Dh500 per head and for low level staff Dh300 per head. This amount should be paid every year. Partner:
Dh1000, Supervisor: Dh500, Clerical Staff, Labourer: Dh300 each.

Department of Tourism and Commerce Marketing (DTCM)
Garhoud, Dubai
Tel: 6005-55559, 04-282 1111
Web: www.dubaitourism.ae

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