The beauty industry in the UAE is one of the most developed areas of business, which attracts the attention of most entrepreneurs from all over the world, including from the CIS countries. Every year it continues to grow and develop. Recently, many businessmen have decided to relocate to this country and develop their beauty projects on the territory. Let’s look at what the process looks like.
Potential of the beauty salon market in the UAE
To understand how promising the direction is, it is enough to pay attention to the statistics:
- Out of 10 million of the total population, 4.5 million are women. In other words, the main target audience of salons. At the same time, more than 3 million of them are 15-64 years old, which indicates an active consumer category of services in the sphere.
- From an economic point of view, the average annual income per person is about 43 thousand dollars. 35% earn more than 70 thousand dollars, which indicates a high level of solvency.
- More than 12 thousand salons are localized on the territory of the state – from small to large beauty centers. But even this fact does not confirm the oversaturation of the market.
- Women in this country do not skimp on self-care and beauty. On average, one spends 5-6 thousand dollars annually – it comes out $ 400-500 per woman per month.
A good example: in any salon, on average, 4 masters work in two shifts. It turns out that on day 2, the masters are able to serve about 16 clients, taking into account an hour of time for each. The average check is $100 per hour of work. As a result, the salon will earn $ 1600 in 8 hours, and 48 thousand dollars will be released per month. And this is only earnings on procedures, without additional income from the sale of cosmetics and other goods.
Thus, the United Arab Emirates has an incredible potential for business development in the field of beauty.
Stages of opening a beauty salon in the UAE
To open your salon, you need:
- Get Initial approval (Initial Approval). First, come up with the name of the salon, determine the list of services, and then submit it to the authorities for approval.
- Rent a room and get Ejari: Ejari is a rental contract registration system in Dubai. This will make it possible to obtain a business license.
- Register a company in DED.
- To employ employees and get a residence permit for them: prepare personnel passport data for the issue of a Labor Card (work card), registration of an employment contract in the wage protection system (WPS), obtaining a resident visa and issuing Emirates ID.
- Get permission from regulatory authorities. Coordinate the project with the management company and the developer, and then get permission from Dubai Municipality.
- Prepare an object – choose a licensed construction/repair team to prepare your salon. After providing the design, you can start the repair.
- Open a bank account and connect the acquiring system to process payments. At this stage, you will need documents for AML/KYC procedures.
Requirements and nuances of opening a beauty salon in the UAE
In the UAE, there is a strict separation between beauty salons for men and for women. The need to obtain various types of licenses will depend on the list of services you choose. For example, if you offer a non–invasive procedure, one permit will be required, if an invasive one – permission from a clinic requiring more strict compliance with the norms.
When choosing a room, keep in mind that it should be located on the ground floor of buildings. Shopping centers are considered an exception. The windows should be opaque in order to ensure the privacy of customers.
The process of renting a room also has its own characteristics. Developers, especially such large ones as Emaar and Meraas, often build areas with careful planning of localization of various objects, including beauty salons. Therefore, you need to submit a detailed plan of your business and project to get approval for the lease. The list of requirements may consist of:
- Links to your pages in social networks.
- Photos of your current premises.
- Detailed company profile.
- Renderers of the planned project.
- Project presentations.
Workers must be licensed – this process is strictly controlled by the government. You will also be required to prepare a detailed plan for the repair of the premises, agreed with the management company, developer, municipal authority.
In salons for women, only women can work as masters. In this way, respect for Islamic values is shown. You can bypass this rule, for example, hire a freelance employee or allocate a separate office for him. But such a method can lead to a number of problems, so it should be carefully thought out.
Opening beauty salons in the UAE is a profitable business, but requires detailed planning. It is the right approach and understanding of local peculiarities that can make the process successful.
The specialists of our company Relocate UAE have enough experience to accompany the client at every stage of the opening of the salon – from planning to registration. Our expertise and professional recommendations will allow you to avoid possible difficulties, and, therefore, smoothly go through the whole process.