How to Start a Travel Agency in Dubai, UAE (2026 Guide)

How to Start a Travel Agency in Dubai, UAE (2026 Guide)

Key Highlights

  1. Dubai welcomed 19.59 million international overnight visitors in 2025, its third consecutive record-breaking year, making it one of the world’s most active travel markets.
  2. Travel agencies in Dubai require a Tourism License, one of six official UAE business license categories, covering activities like inbound, outbound, and appointed general agents for airlines.
  3. Under Federal Decree-Law No. 20 of 2025, free zone companies can now establish onshore branches to serve mainland clients without setting up a separate entity.
  4. IATA accreditation is not a legal requirement for a Dubai travel agency license but is mandatory if your agency wants to issue airline tickets under its own BSP account.

 

Dubai crossed 19.59 million international overnight visitors in 2025. That’s a 5% increase from 2024, a third straight record-breaking year, and the city ended December by welcoming more than 2 million visitors in a single calendar month for the first time. 

If you’re considering starting a travel agency, this is the market you want to be in. And 2026, with fresh regulatory updates already in effect, is a legitimate window to get started.

But before anything else, you need to know this. Operating a travel agency in the UAE without the correct government approval is an offense under UAE law. 

It doesn’t matter how solid your business plan is or how many vendor relationships you’ve built. If you don’t have the right license from the right authority, you cannot legally sell a single tour package or book a single airline ticket under your company’s name.

This guide is built on official UAE government sources, covers the exact license type, all the authorities involved, the complete 9-step process, what changed with the 2026 law amendment and every question entrepreneurs ask before they start.

What Type of License Does a Travel Agency Need?

The UAE Ministry of Economy and Tourism recognizes six official business license categories: industrial, commercial, professional, tourism, agricultural, and crafts. A travel agency falls under the Tourism License category only. There is no other classification that covers this business type legally.

The Tourism License includes four distinct activities: full-service travel and tourism agent, inbound tour operator, outbound tour operator, and appointed general agent for airlines. 

A single license can include more than one activity, and the UAE has over 2,000 registered business activities to choose from. Confirm the exact activity codes that match your agency type with the Dubai Department of Economy and Tourism (DET) when you begin your application.

Mainland vs. Free Zone: Which One Fits Your Agency?

Two legal routes are open to you. Dubai mainland is licensed directly through DET. A free zone operates under its own authority within the Ministry of Economy and Tourism framework. Both structures permit 100% foreign ownership for many activities, but you’ll need to confirm whether the Tourism License activity you’ve selected is on the current approved list at DET before you choose.

The most significant 2026 change involves Federal Decree-Law No. 20 of 2025, which amended the UAE Commercial Companies Law (CCL) and took effect the day after its publication in the Official Gazette on 14 October 2025. 

Revised Articles 3 and 5 of the Amendment confirmed that free zone companies may now establish branches and representative offices on the mainland, provided the relevant free zone’s legislation permits it. This formally recognizes the dual-license approach under UAE law and removes the old requirement to build a fully separate mainland entity.

Factor

Mainland (DET)

Free Zone

UAE retail market access

Unrestricted

Via mainland branch from 2026

Foreign ownership

100% (confirm for tourism activity with DET)

100%

Corporate tax

9% above AED 375,000 profit

0% if qualifying free zone person

Office requirement

Commercial Ejari-registered lease mandatory

Flexi-desk options available

Best suited for

UAE retail clients, hotel and corporate accounts

B2B, international inbound, online-first

 

Also Read: Why Service-Based Businesses Are Growing in Dubai (2026 Guide)

Step-by-Step: How to Get Your Travel Agency License

Step 1. Define Your Business Activity

Your activity determines your legal form and the license type you need. Confirm the exact DET activity code for your agency type, whether inbound, outbound, or general travel services, before moving forward.

Step 2. Choose Your Legal Form

Most travel agencies register as an LLC (Limited Liability Company), since the legal form must match the licensed activity. If the business is 100% owned by non-GCC nationals, a Local Service Agent (LSA) agreement may be required, attested by a UAE notary public or court. Verify this requirement with DET for your specific structure.

Step 3. Register Your Trade Name

Apply through the DET eServices portal or the Bashr platform, also referenced on official portals as Basher. Your trade name must include the legal form suffix, for example, XYZ Travel and Tourism LLC. Names cannot reference any religion, governing authority, or external organization.

Step 4. Obtain Initial Approval

This is the government’s confirmation of no objection to your proceeding. It does not authorize you to begin operations. Foreign investors must secure GDRFA (General Directorate of Residency and Foreigners’ Affairs) approval before applying for initial approval. Do not reverse this sequence.

Step 5. Sign the Memorandum of Association

The MOA is required for LLCs and must be prepared and notarized by a UAE notary public or court. If a Local Service Agent is appointed, the LSA agreement is also notarized at this stage.

Step 6. Register Your Office with Ejari

Every UAE mainland business needs a physical address, and in Dubai, the commercial lease must be Ejari-registered with the Real Estate Regulatory Agency (RERA). This is a mandatory legal requirement, not an optional step. It’s also one of the costs most entrepreneurs underestimate, so factor it into your budget from the start.

Step 7. Obtain Additional Government Approvals

Travel agencies need more than a standard trade license. Tourism and travel activities require Executive Council approval, as confirmed by the Ministry of Economy and Tourism. 

When you submit your application, verify whether this approval routes through DET or DTCM for your specific Dubai setup. If your agency sells airline tickets, a No Objection Certificate (NOC) from the General Civil Aviation Authority (GCAA) is also mandatory. Both are separate approvals and both take time to process.

Step 8. Pay Your Fees and Collect Your License

Once approved, you’ll receive a payment voucher. You must pay within 30 days. Miss that deadline and your application is automatically canceled. Verify the current DET fee schedule directly on the official DET portal before you finalize your budget.

Step 9. Register with the Dubai Chamber of Commerce

Chamber of Commerce membership may be required before you legally begin operations. Confirm whether this is mandatory or optional for your specific DET-licensed travel agency structure with the Dubai Chamber directly.

What Does a Travel Agency License Cost in Dubai?

Costs vary based on your chosen activity, legal structure, visa requirements, and office lease. The table below shows each component and exactly where to verify the current official fee.

Cost Component

Where to Verify

Trade Name Reservation

DET eServices portal

DET Tourism License Fee

DET official fee schedule

Ejari Registration

RERA official portal

Executive Council / DTCM Tourism Approval

DET/DTCM official portal

GCAA NOC (if selling airline tickets)

GCAA official portal

Employee visa (per person)

ICP official portal

Chamber of Commerce membership

Dubai Chamber official portal

One distinction that catches many applicants off guard: some costs in the UAE setup process are refundable deposits, while others are non-refundable fees. A bank guarantee, for example, may be refundable when specific conditions are met. Application and processing fees are not. Clarify this for each cost component with DET directly before you pay anything.

Disclaimer: All fees listed above must be verified on the official government portals before any financial commitment. Government fee schedules are updated periodically and vary by activity, legal structure, and office type.

Do You Need IATA Accreditation?

IATA accreditation is not a legal requirement to obtain your DET Tourism License. Your license is what makes you legally operational as a travel business.

Where it becomes relevant is independent ticket issuance. If your agency wants to issue airline tickets under its own BSP (Billing and Settlement Plan) account, IATA accreditation is required. 

Without it, you can still legally sell flights through an IATA-accredited consolidator or Global Distribution System, which is how many newer agencies operate. UAE IATA requirements typically include a valid trade license, commercial office, qualified staff, and financial standing. Verify the current UAE-specific checklist on the official IATA website before applying.

Also Read: What Are the Most Profitable Businesses in UAE? (Complete Guide 2026)

Frequently Asked Questions

  1. Can a foreigner own 100% of a travel agency in Dubai?

UAE law permits 100% foreign ownership for many mainland activities following the 2021 Commercial Companies Law reform. Whether the Tourism License activity you’ve chosen is on the current DET-approved list must be confirmed directly with DET. Non-GCC nationals may also need a Local Service Agent under certain structures, so verify before you proceed.

2. Do I need both a DET trade license and a DTCM tourism approval?

Yes, and they’re separate. The DET trade license is your primary business authorization. Tourism and travel activities require an additional Executive Council or DTCM approval beyond that. The two are not interchangeable, and you’ll need both before you can legally operate.

3. Can I start a travel agency from a free zone?

Yes. Federal Decree-Law No. 20 of 2025, effective October 2025, allows free zone companies to establish onshore branches and serve mainland clients without building a separate entity. Confirm that your chosen free zone’s legislation permits this structure before relying on it.

4. Is a physical office mandatory?

Yes for mainland setups. In Dubai, the commercial lease must be Ejari-registered with RERA, and there is no workaround for this requirement. If flexible workspace suits your model better, a free zone with flexi-desk options may be worth considering.

5. How long does the full process take?

The Bashr platform allows online name registration in as little as 15 minutes. The full timeline, including GDRFA approval, GCAA NOC, DET tourism approval, and Ejari registration, will span several weeks in practice. How quickly it moves depends on how prepared your documents are at each stage.

Ready to Set Up Your Dubai Travel Agency?

The setup process has real stakes. GDRFA approval must come before initial approval. Ejari registration must be in place before your license is issued. Fees must be paid within 30 days of the voucher. Miss one step or reverse the sequence and you’re back at the start.

JSB Incorporation manages the full travel agency setup for international entrepreneurs in Dubai, from identifying the right DET activity codes and legal structure to handling GDRFA approvals, Ejari registration, GCAA NOCs, and Chamber of Commerce registration. End-to-end support across 24+ UAE jurisdictions, transparent pricing, and no guesswork at any stage.

Book your free consultation call today with the experts of JSB Incorporation to learn more

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