Table of Contents

Overview: Why Start a Garage in Dubai?

Dubai’s fast-growing automotive market, high car ownership rates, and increasing demand for repair and maintenance services make it an excellent location to open a garage.

From vehicle diagnostics to body repairs and EV servicing, there’s continuous business potential throughout the year.

Entrepreneurs benefit from:
  • 100% foreign ownership
  • Zero personal and corporate tax
  • Easy setup procedures and strong infrastructure

With expert support from MajuBiz, starting a garage business in Dubai becomes quick, compliant, and profitable.

Step 1: Market Research & Business Planning

Study local trends, competition, and customer preferences. Identify service gaps like EV repair or hybrid vehicle diagnostics.

Prepare a detailed business plan covering cost estimates, suppliers, and customer acquisition channels.

Step 2: Choose the Right Business Structure

You can choose between:

  • Mainland Company (DED license): Full access to Dubai market.
  • Free Zone Company: Ideal for export-oriented garages and workshops.

MajuBiz guides you in choosing the right setup to align with your target audience and long-term goals.

Step 3: Obtain Necessary Licenses

Garage businesses need a Commercial License from the Dubai Department of Economic Development (DED).

Approvals required:

  1. Dubai Municipality – for workshop layout and standards

  2. Dubai Civil Defense – for safety compliance

  3. RTA – for vehicle-related services

Step 4: Find a Suitable Location

Popular industrial areas for garages include:

  • Al Quoz Industrial Area
  • Ras Al Khor
  • Dubai Industrial City

Ensure your location meets zoning, ventilation, and safety standards as required by DED and Municipality.

Step 5: Set Up Workshop Infrastructure

Prepare a clean, well-equipped workshop with:

  • Vehicle lifts and diagnostic tools
  • Lubrication and oil change areas
  • Dedicated paint booth and mechanical bay
  • Customer waiting area

Step 6: Hire Skilled Technicians & Staff

Hire certified mechanics, electricians, and technicians trained in modern automotive systems.
MajuBiz assists with labor contracts, visas, and documentation for a legally compliant workforce.

Step 7: Register for VAT & Open a Bank Account

Register with the Federal Tax Authority (FTA) for VAT as required by UAE regulations.
MajuBiz supports with VAT filing, accounting setup, and corporate bank account opening across UAE banks.

Step 8: Market Your Garage Business

Use both traditional and digital channels:

  • Create a Google Business Profile
  • Collaborate with insurance firms and dealerships
  • Run paid campaigns targeting “car repair in Dubai”
  • Offer loyalty programs and referral discounts

Why Choose MajuBiz for Your Business Setup in Dubai

With 14+ years of experience and 4,600+ successful company setups, MajuBiz is Dubai’s trusted consultancy for business formation and licensing.

From trade name registration and approvals to tax consultation, accounting, and visa processing — we manage every step so you can focus on growing your garage business.

Our Dubai Services Include:
  • End-to-end business setup assistance
  • Local expertise and compliance support
  • 24/7 consultation and lifetime client support

FAQs
What license is required to open a garage in Dubai?
You need a Commercial License from the Dubai Department of Economic Development (DED), along with approvals from Dubai Municipality, Civil Defense, and RTA.
Can a foreigner own a garage business in Dubai?
Yes. Foreign investors can enjoy 100% ownership in both Mainland and Free Zone setups.
Where can I open a garage in Dubai?
Garages must be located in industrial or commercial zones such as Al Quoz, Ras Al Khor, or Dubai Industrial City.
How long does it take to open a garage in Dubai?
With proper documentation, the process can take 7–15 business days. MajuBiz ensures smooth, end-to-end handling.
What are the main costs involved?
Costs vary depending on location, size, and equipment, but include trade license fees, municipal approvals, and workshop setup costs.

Conclusion: Drive Success with MajuBiz

Starting a garage or auto repair shop in Dubai is a high-potential business opportunity with long-term growth.
With over 14 years of experience and 4,600+ successful setups across GCC markets, MajuBiz ensures your business is built on a strong, compliant foundation.

Get in touch with MajuBiz today – and let’s turn your automotive vision into a thriving Dubai enterprise.

How to Start a Garage or Auto Repairing Shop in Dubai

How to Start a Garage or Auto Repairing Shop in Dubai