Setting up Your Pharmacy Business in Dubai

The United Arab Emirates has been quite welcoming to various industries. As it is worldwide known that UAE is the dominating player in the oil industry. However, it has been witnessed that the non-oil sectors have also started equally contributing to the nation’s economical growth. One such sector is the healthcare sector which gives various opportunities to global investors and entrepreneurs to invest and uplift their businesses that target various healthcare-related projects such as hospitals, pharmacies, private clinics, etc. Hence, anyone who wants to start an independent pharmacy business in Dubai can leverage the benefits and secure the early mover advantage as well.

This write-up will provide you with complete information regarding setting up a pharmacy business and a clear idea of the key steps involved in the process.

Reasons to start a pharmacy business in Dubai

There are several reasons why opening a pharmacy business and obtaining a pharmacist license in Dubai can be a smart move, such as –

Rapidly growing market

According to data, the market for healthcare services in Dubai is rapidly growing. Besides, the population of the emirate is continuously expanding. This simply means the scope of success for a pharmacy business is exponentially high as there is better access to a large and growing market of potential consumers.

Low taxes

The competitive tax rate can be the biggest benefit for the pharmacy business. The owner can retain more from their turnover and further reinvest it in their project.

Promising and rewarding career

Pharmacists have a really fulfilling career as they contribute to the nation’s growth by improving the quality of life of people. They improve the health and well-being of communities. Moreover, their knowledge of human physiology and different treatments aid in relieving pain and treating sickness.

Other benefits of considering a pharmacy business:-

• Multiple options of jurisdictions such as Mainland, Free zone, and Offshore
• One of the major sectors and is expected to flourish in the coming years.
• Robust transportation and logistics facilities
• Great connectivity with the neighboring countries

Types of pharmacy business in Dubai

Types of companies one can form in the UAE to market pharma products are as follows:

Pharmacy store

A pharmacy is basically a licensed store authorized to sell pharmaceuticals and other medically prescribed equipment, along with other various products such as toiletries, cosmetics, and convenience products. Additionally, the UAE regulatory law obligates the owner of the pharmacy to be physically available at the store at all times.

Para pharmaceutical trading

The para-pharmaceutical trade is concerned with the trade of those prescription goods that are not specifically used for medication or internal therapy. These goods include products like plasters, lotions, perfumes, mouthwash, hand sanitizers, etc.

Drug store

A drug store is basically a wholesale store that delivers pharmacy goods to several retail pharmacies. Hence, the type of goods found in a drug store is the same as in pharmacies.

Free Zone companies

Established in 2002, Dubai Healthcare City is the world’s biggest healthcare-devoted free zone. Situated in the old Dubai, this free zone houses more than 4000 accredited healthcare practitioners.

You may also visit: How to Open a Tourism Company in Dubai?

Fundamentals to start a pharmacy business in Dubai

While starting a pharmacy business in Dubai, one must be well-thought, detailed, and efficient with the techniques of doing business including financial advice, consistent marketing, and legal aspects. Below are some of the basics you should consider while opening a pharmacy store in Dubai –

Seek an expert advice

The first basic step to opening a small business in Dubai is seeking expert advice. Find someone who has experience and knowledge about the pharmacy store or a retail business. Apart from that, you may also look for expertise related to human services, technology, and real estate. Once you plan to set up a pharmacy business in Dubai, you will need to further design it and initiate the licensing and approval processes. Hence, it is recommended to own a team of advisers who will guide you and recommend you the best possible solution at every stage of building your pharmacy business.

Develop a strategy

Starting a business and leading it to success demands efficiency and an effective business strategy. There are certain points you need to add and consider for your business plan.

1. Understand the population
2. Assess the consumer needs
3. Evaluate the opportunities
4. Create the plan

Choose a location judiciously

The success of your pharmacy store majorly depends on the location you choose for its operation. Your potential customers should not find it difficult to reach your store. Therefore, choose a location wisely considering the following - visibility, size, and availability for customers.

Monitor the budget

Once you build a business plan, start with preparing the financial statements and working capital required for the business. The expected cost would also include the cost of making the store, renovation, fixtures, etc. The opening inventory financing for the initial stock should be calculated separately.

Test your business before the big launch

Like every business person, you would also want to launch your store with a great opening. So, it is better to test your business for the initial one or two months of operations in order to understand the gaps and inadequacies of the business. This test would further help you launch it on a bigger as well as better scale.

Other essentials include:-

1. Competitors
2. Business layout
3. Local sponsor for trade license

Approvals and Licenses

The Health Department of Dubai issues a pharmacist license in order to operate any kind of pharmacy business in the UAE. However, the applicant has to fulfill certain requirements of the health authorities. These are –

• Own or rent a place not less than 30 sq. meters in area
• Either appoint a pharmacist who is licensed as a health authority pharmacist to operate in your pharmacy business, or acquire a pharmacist license in Dubai to operate your business if you are a pharmacist.
• You basically require two licenses to start a pharmacy business in Dubai. first, appoint a local sponsor to get a trade license from the DED(Department of Economic Development). Second, a pharmacist license from the health authority in Dubai.

While starting a pharmacy business in Dubai, one needs to take approvals from the following departments –

• Dubai Municipality
• Ministry of Health, Dubai
• Dubai Environment Department
• Department of Economic Development
• Health and Public Safety Department
• Dubai Health Authority

Procedure to acquire a pharmacist license in Dubai

Since starting a pharmacy business is a highly responsible job, one has to go through several crucial steps to accomplish this goal.

• Register with healthcare authorities and get a pharmacy certificate
• Register a pharmacy company name in Dubai
• Apply for a trade license
• Finalize a business structure
• Select a location and start operating

Process for initial approval:

• Submit an application to the Dubai Health Regulation Department(HRD).
• After reviewing, the HRD will issue an initial approval letter.
• After selecting premises for the pharmacy business, get approval from the Dubai Municipality for its commercial use.
• Further, get approval from the DED to initiate the process of procuring a trade license.

Process for final approval:

• To initiate the payment process, place an online request.
• Next, the HRD will carry out an on-site assessment.
• You will be issued the license within 15-20 days if the DHA requirements are religiously fulfilled.

Documents required for opening a pharmacy business in Dubai:

• Trade approval from the Health Regulation Department
• Pharmacy certificate from a recognized medical institution
• Updated CV with at least two years of experience
• Tenancy contract
• Pharmacist license in Dubai
• Copy of residence visa
• Details of bank account(corporate)
• Trade license application form
• Passport copy
• Photographs

Cost of pharmacist license in Dubai

The overall cost of a pharmacist license depends on various factors including the chosen business model, structure, location, and the number of staff.

For a more detailed breakdown of all the costs included in the pharmacist license fee, contact Shuraa Business Setup. The experienced consultants can give you a clearer idea of the possible costs involved and help you at every step of setting up your pharmacy business in Dubai.

Team up with Shuraa now and get your business journey started!

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