Travel and Tourism is one of the major industry sectors in Dubai. There is an immense demand for local tourism and also demand from other countries. Starting a Travel Agency in Dubai is one of the most profitable business ideas.
The weather in UAE is amazing and the presence of sun throughout the year makes it a bright and vibrant city. Dubai is the land of opportunities, especially in the travel and tourism sector. Many projects are in line and will add more tourism influx to the city.
Travel Agency in Dubai – Key Highlights
A Travel Agency in Dubai has many advantages in being in Dubai. A Travel Agency in Dubai has many functionalities. They assist people with Air ticket Booking, Domestic Tours, Hotel Stays, International Tours, Business Trips, visit visa documentation, and more.
There are numerous opportunities for Travel Agency in Dubai. They can get bulk contracts from businesses in the region as well as from individuals for their travel requirements. As the travel agencies work with volume, they will receive attractive deals and discounts that they can pass on to the customers.
So, many individuals can benefit from the discounted rates that the travel agency can provide. Furthermore, there is a large addressable audience available for the travel agency in UAE.
Steps in Starting a Travel Agency in Dubai
For setting up a Travel Agency in Dubai, the shareholder must follow certain steps. Expert Business Consultants such as AURION will guide the investors to set up a travel agency in Dubai with ease.
The first step in starting a travel agency in Dubai is choosing the business jurisdiction – Free Zone and Mainland. Then comes the selection of the right business activities under the travel agency business license.
1. Choosing the right Business Jurisdiction
Depending on the Free Zone or Mainland, get the initial approval. Again, for a travel agency; the right option is to start in the mainland as it will be more accessible for the public to visit the office. The location of the office is a crucial aspect of a travel agency.
It must be located in residential areas such as Karama, Deira, and Qusais, or central business areas such as Business Bay, Financial Center, etc., so that they receive frequent visits from a diverse audience base.
2. Tenancy Agreement and Document Submission
Having an office space is an essential requirement for a Travel Agency. It will add to the credibility and trust among the visitors. Also, for international tourists and expanding business, having an office premise is helpful.
The shareholders must submit their details ( photograph, passport copy), and tenancy agreement ( AURION will assist in finding an office space and tenancy agreement) to the respective Department of Economic Development (DED).
The investors must make the necessary fee payment and wait for the document review. The DED or Dubai Economy and Tourism Department will issue the Travel Agency License to the investors after the document review. Now, the travel agency can legally operate their business in the region.
Benefits of Starting a Travel Agency in Dubai
Dubai is witnessing tremendous tourism growth. Year after Year the number of passengers coming to Dubai via the Dubai International Airport has grown dramatically.
There are numerous benefits to starting a travel agency in Dubai. There is a huge addressable market comprising individuals and corporations who are on the lookout for a trusted travel agency for charting out their leisure, business, and personal trips.
The strategic location of Dubai is one of the prime reasons why investors must consider starting a travel agency in Dubai. Dubai is one of the most accessible cities in the world by Air, Sea, and Land. Also, the time zone GMT+4 hrs, makes it a perfect location between the East and the Western world.
1. Local Tourism Opportunity
The Dubai government is spending heavily on developing local tourism in mountain locations such as Hatta. Also, City Tourism is on focus with new attractions, adding more hotels, and providing more travel infrastructure – marine transport, electric buses, and more.
For Travel Agencies, being in Dubai is an advantage as there is an enormous opportunity for Local Tourism in Dubai and other neighboring Emirates of the UAE.
Travelers globally can be easily transported to the different locations in Dubai. Dubai has many paid entertainment venues such as Water theme parks, amusement parks, Sports Events, Business Events, and more.
2. International Tour Opportunity
Dubai is about 4 to 7 hours flight from many travel hotspots of the world. You can easily fly in and out of Dubai to the UK, Austria, Netherlands, and other Asian countries and enjoy the vacation there. So, as a tour agency or travel company; they can leverage this opportunity.
There is an immense local demand for traveling to nearby places around Dubai by road as well as through short flights. Travel agencies in Dubai must have a strong partner network with overseas travel partners. It will help them to arrange sightseeing tours and hotel bookings for guests at a competitive rate.
So, UAE residents who wish to travel to neighboring countries during the Government holidays will approach tour companies to get a comprehensive packages. The Travel Agency will arrange for packages with flights, hotel booking, and sightseeing tours, etc.
Also, there will be large corporate bookings, UAE resident bookings, and international travel enquiries that will keep the travel agency busy year-round. So, there is a growing demand for quality and trusted services in the tourism sector in Dubai.
3. Ease of Business Setup
Setting up a travel agency in Dubai is easy and cost-effective. It is best to set up a travel agency in Dubai on the mainland where most of the public footfall is available for walk-in enquiries.
The Dubai Economy and Tourism Department is the licensing authority for issuing the Tour Agency License in Dubai. A Travel Agency License in Dubai Mainland will cost approx. AED 20,000 for the license.
Depending on the area chosen for the office, the rent will vary. Also, there will be some furnishing costs to transform the office area. The Travel Agency office will have a welcoming interior with travel-related displays and arrangements.
4. Top-Class Infrastructure
Dubai has the best business infrastructure, and road connectivity, also the Sea and Air transport is top-notch. Also, the hotels, and tourist destinations – water parks, entertainment centers, etc., are of the highest quality.
Tour agencies in Dubai can easily coordinate multiple tours as most of the ticketing system is online, and paid upfront. Tourist buses, mini-vans, etc., can be arranged easily in Dubai for tourists.
The top travel destinations in Dubai as well as the neighboring countries can be visited in a maximum of 7 days tour. Most countries will provide entry visas for 30 days minimum. All of the visa process, hotel bookings, flight bookings, etc., can be done online with the help of the travel agency.
5. Year-Round Good Weather
The weather in UAE is mostly pleasant with year-round sun. Tour agencies can benefit from the favorable weather throughout the year and plan local tour trips.
Also, the neighboring Middle Eastern countries and Asian countries have pleasant weather ideal for travel year round. The Tour Agency will have to prepare attractive offers for the residents and foreign tourists depending on the seasonal travel demand during holidays.
The travel agents in Dubai will have to attend to the enquiries from international tourists. They must prepare the itinerary according to the chosen place, weather conditions, budget, and other requirements.
6. Growing Corporate Demand
There is a growing corporate demand for tour agencies in Dubai. Many Corporations in the region send their employees for leisure trips and also for work trips to neighboring countries.
So, there is always a demand from them to apply for e-visas, hotel and flight booking, airport transfer requests, travel insurance, tour coordination, and more.
Corporate Bookings from UAE make up a significant demand for Travel Agency based in UAE. It is beneficial for the travel agency in Dubai to get long-term bookings from Corporations and fulfill their travel requirements.
So, in a nutshell, it is highly beneficial for an investor to start a travel agency in Dubai. There is a very minimal documentation process to obtain a Travel Agency License in Dubai.
After obtaining the Travel Agency License in Dubai, they can apply for special permits from the Department of Tourism and Commerce Marketing. The Travel Agency must get advertising permits, desert tours, camping, and beach event permits from the Dubai Municipality.
Similarly, the travel agent or guide must get the badge from the Dubai Tourism Department. They must attend the training session and get the Tour guide badge.
Additionally, for the travel agents to book tickets and manage airlines, they must get approval from the Civil Aviation Department. Our team will facilitate the complete setting up of the travel agency in Dubai.
