Running Business for Sale in Dubai

Based on analyzing 30+ businesses personally, prices range wildly depending on type and location. Small kiosks or service businesses can start around 50k-100k AED, while established cafes and salons typically run 180k-400k AED. Trading companies and larger operations go for 450k-2M+ AED. For example, that Jumeirah salon my friend bought was 320k, the JBR coffee shop was listed at 400k, and a gym in Motor City went for 280k. The key is matching the asking price to actual proven profits – a good rule is 18-24 month payback period max.

Honestly? Bank statements. Not P&L statements, not the owner’s word – actual 12-24 months of bank statements. I learned this the hard way when I almost bought a salon claiming 60k monthly revenue, but their bank statements showed only 35k. The owner was counting “projected bookings” which is basically fake numbers lol. Also check the lease agreement thoroughly – years remaining, renewal terms, rent increase clauses. I dodged a bullet with that Deira shawarma place because the lease was ending in 8 months with no renewal guarantee. These two things – real financials and solid lease terms – will save you from 90% of bad deals.

Depends on your situation tbh. Buying gets you immediate cash flow, existing customers, trained staff, and skips the 2-3 year startup grind. That Motor City gym Ahmed bought? He was profitable from month one because the previous owner did all the hard work. Starting from scratch gives you full control and potentially lower initial costs, but you’re looking at 2-3 years before real profitability. My take: if you find a solid business with verified numbers, good lease terms, and happy staff – buying is usually the smarter move. You’re paying a premium to skip years of struggle and start making money day one. Just make sure you do proper due diligence so you’re not buying someone else’s problem.

I’ve used several sources with varying success. Dubizzle obviously has tons of listings but quality varies a lot – you’ll find everything from legit opportunities to total scams. Facebook groups (search “businesses for sale UAE”) are surprisingly good, especially for smaller deals. Business brokers charge 5-10% commission but often have better quality deals that never hit public sites – that Jumeirah salon my friend bought came through a broker. Word of mouth is honestly the best though – the Motor City gym and most good deals I’ve seen came from networking. Start attending industry events, join LinkedIn groups, connect with other business owners. The best businesses often get sold quietly before they’re ever publicly listed. Pro tip: build these relationships 6-12 months before you’re actually ready to buy.

Aim for 18-24 months max if the numbers hold up. That JBR coffee shop at 400k with 22k monthly profit = roughly 18 months, which is actually reasonable. The Jumeirah salon at 320k with 23k monthly profit = about 14 months, which is excellent (hence why my friend jumped on it). Anything promising under 12 months is usually a red flag – either the numbers are fake or there’s hidden problems. On the flip side, don’t go over 30 months unless it’s an exceptional situation. Remember to factor in transition costs too – things ALWAYS cost more than you think. That gym example? Ahmed paid 280k and made back 120k in 8 months, which puts him on track for full payback around 18-20 months total.

Both have pros and cons from my experience. Brokers charge 5-10% commission (so on a 300k deal, that’s 15-30k extra), but they pre-screen sellers and usually have better quality deals that never hit Dubizzle. My friend’s successful salon purchase came through a broker. Direct from owner saves the commission and sometimes you can negotiate better, but you’re dealing with more sketchy listings and doing all the vetting yourself. I’d say use brokers for your first purchase or for deals over 500k where the commission is worth the peace of mind. For smaller deals under 200k, going direct can work if you’re thorough with due diligence. Either way, never skip the verification steps regardless of how trustworthy the broker or seller seems.

From seeing tons of deals, here are the instant red flags: Owner only provides P&L statements and won’t share bank statements (they’re hiding something). More than 50% of revenue comes from one client (saw this with that 800k trading company – major client was leaving). Staff planning to quit or negative about the owner (that Al Barsha car wash situation). Lease ending soon with no renewal guarantee (Deira shawarma place). Declining revenue trends over past 6-12 months even if current month looks good. “Urgent” sale with pressure to skip due diligence. License issues or expired permits. Poor online reviews or no online presence at all for a customer-facing business. Trust your gut – if something feels off, it usually is. Walk away and find another opportunity.

Budget at least 20-30% extra beyond the purchase price for transition period and unexpected costs. So if you’re buying a 300k business, have another 60-90k saved. Things that’ll come up: equipment repairs or upgrades, staff bonuses to keep them during transition, rebranding or minor renovations, working capital for first few months, professional fees (lawyers, accountants), and the inevitable surprises. One guy I know bought a gym and spent his full budget on the purchase, then needed 50k more for AC repair and rebranding – had to take expensive short-term loans. Also maintain minimum 3 months of operating expenses in reserve even after purchase. You don’t want to be cash-strapped right when you’re trying to grow the business.

Not essential but it helps a lot, especially in negotiations and understanding the local market. I’ve seen successful business owners who don’t speak Arabic at all – English works fine for most transactions and official stuff. However, knowing even basic Arabic can help you: negotiate better prices with suppliers, understand customer needs better if you’re in retail/F&B, build stronger relationships with landlords and staff, and pick up on cultural nuances that affect business. That British guy who bought the perfume shop and failed? Part of his problem was zero cultural understanding, not just language. If you don’t speak Arabic, at least spend time learning the business culture and have a trusted Arabic-speaking partner or manager on your team.

Service businesses (salons, gyms, cleaning services, maintenance) tend to work best for first-timers in my observation. Why? Lower overhead than F&B or retail, less dependent on foot traffic/location, clients stick around if service is good, and systems are usually simpler. That Jumeirah salon my friend bought had 42% profit margins with predictable recurring revenue – much easier to manage than a restaurant with 12-14 hour days. F&B is sexy but brutal – high stress, long hours, tight margins, staff intensive. Trading companies need strong B2B networks you might not have yet. Retail is ALL about location which limits your options. Start with a service business where relationship management is key, then expand into other sectors once you understand the Dubai market better.

Request these specific documents and cross-verify everything: 12-24 months of bank statements (shows actual cash flow), VAT returns (can’t fake these with government), utility bills and rent receipts (verify operating costs), supplier payment histories (check if they’re behind on payments), and salary records with actual payment proof. Then visit the business multiple times at different hours – that cafe I checked was packed at 11am Wednesday but empty Saturday morning. Talk to customers and staff when owner isn’t around. Check online reviews and social media engagement. For trading companies, verify major client relationships directly – call them yourself. Calculate revenue per square foot for retail, revenue per seat for F&B, and compare to industry standards. If anything doesn’t add up or owner gets defensive about providing docs, walk away immediately.

This varies by license type and you NEED to verify upfront. Most mainland trade licenses allow you to sponsor yourself and potentially family members, but check the specific allocation with the license. Some free zone licenses are more restrictive. I’ve seen people buy businesses thinking visas were included, then had to pay extra 30k for family visas – not cool. With the new golden visa program (10 years), business owners meeting certain criteria can apply, which is a game changer for long-term planning. Ask the seller: how many visa allocations come with this license? What’s the process for adding family? Are there any restrictions? Get this in writing and verify with relevant authority (DED or free zone). Factor visa costs into your budget – they’re not insignificant, especially for family of 4+.

Minimum 2-4 weeks for even small businesses, 6-8 weeks for anything over 500k. Don’t let anyone rush you – if the seller says “urgent sale, need to close this week,” that’s a massive red flag. Good sellers understand that serious buyers need time to verify everything. Use this time to: request and review all financial documents, visit business multiple times, talk to staff and customers, verify lease and licenses, check with landlord and suppliers, run background checks if needed, and have a lawyer review contracts. That salon my friend bought? She took 5 weeks for due diligence even though it was a smaller deal – worth every day because she found and negotiated fixes for issues that would’ve cost her later. Remember: you’re committing hundreds of thousands and years of your life to this decision. Take the time.

The 9% corporate tax on profits over 375k AED annually (introduced recently) is making some business owners reconsider their positions, which could mean more opportunities coming to market. When evaluating businesses now, you need to factor this tax into your calculations – if a business shows 500k annual profit, you’ll pay 9% on 125k (the amount over 375k threshold), so about 11k in tax. This affects your actual take-home and payback calculations. Some sellers might not have updated their asking prices to reflect post-tax realities, which could work in your favor during negotiations. On the flip side, properly structured businesses with good accounting are now more valuable because they can optimize for the tax. Make sure any business you buy has clean books and proper accounting systems – way more important now than before.

Keep existing staff if they’re good – they know the systems, customers, and suppliers. Ahmed kept his gym team and that’s partly why he succeeded so fast. Replacing everyone is risky and expensive – recruitment costs, training time, customer disruption. However, talk to staff privately before buying to gauge morale and intentions. That Al Barsha car wash would’ve been a disaster because the whole team was planning to quit. My approach: keep everyone for first 3-6 months minimum, assess performance, then make changes gradually. Offer small bonuses or incentives to stay through transition – way cheaper than replacing them. The exception is if you discover serious issues like theft, incompetence, or toxic behavior during due diligence. One key person leaving? Manageable. Entire team leaving? Business dies. This is why the staff interview during due diligence is so critical – it saved me from at least one terrible purchase.