Automotive & VehiclesBusiness & Services

How to Start a Car Rental Business in Dubai

What is the car rental business in Dubai?

Start a car rental business in Dubai primarily is a business that rents cars to people on a temporary basis. There are a number of people who need a car for a few hours or on a temporary basis, at that time the car rental agencies provide car on rent. Opening a car rental business is not only providing a car but also providing trucks, motorcycles, vans, etc to various industries if required.

The growth of Car rental in Dubai

The car rental business is growing at a faster pace. The main reason behind the growth of car rental services in Dubai is “tourism”. A huge number of tourists visit Dubai. It becomes very convenient for them to go for rental cars. The availability is of the massive range of cars and rent duration which vary from an hour to a year. And as a result, along with the tourists, the residents find rental cars quite a pocket-friendly choice and affordable.

Car rental business license in Dubai

Starting a car rental business in Dubai is not easy work to do. There are numerous amount of documents that you need to submit and numerous amount of rules and regulations that you have to follow. Firstly, A commercial license is a must when it comes to the car rental business in Dubai. Secondly, a premises lease is something which is extremely mandatory. Thirdly, an RTA consent form is also required along with that your workforce needs to get the RTA training. The license is a must, you cannot continue with your car rental business without a license. It is the very first step of setting up your car rental business.

Benefits of starting a car rental business in Dubai

Dubai being one of the very beautiful and very well structured cities in UAE grabs the attention of a number of tourists. As a result, Dubai has a wide range of tourists and is very well known for its tourism. The growth and development of tourism directly result in the growth and development of the car rental business. Therefore, starting a car rental business in Dubai will result in a never-ending scope. Although, certain unfortunate pandemic like the covid pandemic can somewhere hamper the growth of car rental businesses it has the capacity to bounce back and recover all the loss that took place.

The cost of opening a car rental business in Dubai

In order to start a car rental business in Dubai, you have to go through a lot of paperwork and a number of documents. Although the cost of starting the business depends on various factors. To name a few, the number of cars you opt for, the number of employees you hire, the RTA consent form, and many more. Once you get approved through all the required documents, your business has a huge scope to grow eventually. Initially, the cost of setting up a business in Dubai might seem a bit expensive but that is the only legal way to begin the business. 2

Steps of starting a car rental business in Dubai

There are a few steps that you have to follow while starting a car rental business in Dubai.

1) A good location for your business: It is extremely mandatory for you to pick a location wherein the people find it easy to reach your place and contact you. Especially the tourists.

2) License application form: Commercial License is a mandatory process with regard to the car rental business. The required documents for a license are as follows :

  1. a) Completed application form
  2. b) Passport copy of the owner or co-owners
  3. c) Colored passport-sized photographs
  4. d) Above all, you need consent from the Road Traffic Authority (RTA). Your workforce needs to undergo RTA training.

3) UAE work Visa: This is another important document that you would need. It is very essential for the expansion and marketing of your business. A bunch of agencies can help you out with your visa if you don’t have one.

4) Car rental business activities: Includes a short-term vehicle rent. Apart from drivers and for tourists and people with our cars.

These were a few basic & essential steps without which your business won’t grow. 

Documents required to set up a car rental business in Dubai

As mentioned above, Commercial License and UAE work visa is extremely essential for your business to take off. Apart from these documents, you need some more, they are as follows:

1) It is very mandatory for you to follow all the rules and regulations provided by Dubai’s Department of Economic Development.

2) Car insurance is another essential document. Make sure all your vehicles have car insurance. There are various insurance products for various commercial vehicles.

3) Make sure that you are ready with all the paperwork that is required for your business before starting it.

Suitable locations for car rental services in Dubai

Choosing a suitable location for your car rental business in Dubai is another important task to do. The location should be in such an area wherein people find it convenient to reach your place. Especially the tourists. If people find it difficult to reach your place they would somehow lose interest in your service. Therefore, it is an important task to find a suitable location for a car rental service.

How Avyanco can help you?

Avianca is a company which helps you mainly with regard to your submission of documents. All the legal requirements are carried out smoothly by Avianca. It also provides all the permission that you need in order to start a business in Dubai hassle-free. Avianca acts as a bridge between you and your business.

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