What is a tea shop or cafeteria license?

A tea shop or cafeteria license in Dubai is a mandatory authorization that allows entrepreneurs to legally operate food and beverage businesses such as tea shops, cafeterias, or similar establishments. It is issued by Dubai Economy and Tourism (DET, formerly the Department of Economic Development – DED) for mainland businesses or by the relevant free zone authority, and ensures compliance with local regulations, including hygiene, food safety and municipal guidelines.

A tea shop license, often synonymous with a cafeteria license, applies to businesses that specialize in serving beverages, snacks, or light meals to customers. Basically, both of them are simply business licenses (also known as trade licenses), and the tea shop/cafeteria part specifies the particular business activities conducted under the license.

Differences between a cafeteria, a tea shop, and a restaurant business

In DET’s activity classification, most tea shops and cafeterias fall under the same activity group “Restaurants and Coffee Shops”, commonly using activity code 552001. The difference between a tea shop and a cafeteria is therefore more about branding, menu and size of operations than about a completely separate legal license type.

Business type Key activities Scope of operations Example businesses
Tea shop Serving tea, coffee, and light snacks Limited menu, small-scale operations Bubble tea shops, chai cafes
Cafeteria Offering beverages and quick meals Expanded menu, small to medium-sized venues Coffee shops, casual cafeterias
Restaurant Full-service dining, extensive food preparation Comprehensive menu, large-scale operations Fine dining restaurants, family diners

All of the above typically fall under the “Restaurants and Coffee Shops” activity group in DET’s classification.

Choosing the right business type depends on your business concept, scale, and target audience.

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