In 2013 the UAE government took the initiative and introduced the Baqala business concept. Its purpose was to help people find grocery products in an affordable range with no compromise on quality. This project was introduced by the Abu Dhabi Food Control Authority (FDCA) to ensure that the available grocery products are of quality and safe enough not to damage a user’s health. 

So, if you also want to open your Grocery store in Abu Dhabi under the umbrella of Baqala; you are at the right place. In today’s guide, we will discuss the steps to open a Baqala in Abu Dhabi and why you must do so. Just keep reading. 

What is Baqala?

A Baqala in Abu Dhabi is essentially a grocery store. However, it’s not just any ordinary grocery store. They are a part of the Abu Dhabi Food Control Authority (FDCA) project Baqala. 

As part of this initiative, all grocery stores in Abu Dhabi are required to adopt the name “Baqala.” They also need to meet specific standards, including:

• Standardized store design and layout
• Strict quality control measures
• Health and safety regulations
• Uniform staff appearance

These standards were created to ensure customers get quality products while staying on budget. It is also essential for such stores to set up a business in Abu Dhabi using the name Baqala. 

So, next time when you see a “Baqala” sign in Abu Dhabi, you must know that it’s a grocery store that meets specific quality and safety standards.

Baqala’s are typically located within residential areas to make it easy for people to purchase daily necessities without traveling to larger supermarkets. They also operate late into the night and facilitate residents. 

Why Should You Start Baqala In Abu Dhabi?

The following are the reasons why you should start a Bqala in Abu Dhabi. 

Minimum Investment

The first-ever reason is that it requires minimum investment compared to the other businesses. They are usually small in size, which reduces the cost of utilities and rent. You can just start with a small inventory as per your finances; later, you can expand it once you grow. This will keep the initial costs low. Moreover, operating expenses like staffing, maintenance, and equipment are usually lower than in larger retail stores.

Demand Never Goes Off

Baqalas fulfill the daily needs of residents, which ensures consistent demand for their products. The Baqalas provide essentials such as household goods, groceries, snacks, and other everyday items. Residents become regular customers, which ensures steady business. This steady and constant demand ensures a stable customer and revenue base.

Government Support

The Abu Dhabi government supports small and medium enterprises (SMEs), including Baqalas. It also had a simplified registration and licensing process. The government also offers workshops, grants, subsidies, and training programs to improve the knowledge and skills of small business owners.

Opportunities for Expansion

Staring at a Baqala business in Abu Dhabi provides many opportunities for expansion and growth. For instance, franchising allows you to expand your Baqalas with a proven model. You can introduce new products, like fresh produce and specialty items, to reach a wider customer base. You can even expand your business online and can increase revenue.

Step-by-Step Guide to Start Baqala in Abu Dhabi:

Following are the steps that you need to follow to open a baqala store in Abu Dhabi.

1. Conduct thorough market research before making any decision and understand the local demand, competition, and customer preferences.
2. Identify a suitable location with high foot traffic and limited competition.
3. Register your business with the Abu Dhabi Department of Economic Development (ADDED) and obtain the necessary licenses. You must choose a legal structure as well (such as sole proprietorship or LLC). 
4. Gather the initial investment required for your Baqala, including rent, inventory, equipment, and staffing costs. Explore financing options such as personal savings, bank loans, or government grants. 
5. Create a design and layout of your baqala store in a selected location. You must ensure a pleasant shopping experience while planning. 
6. Hire reliable and customer-friendly staff to manage daily operations.
7. Ensure your Baqala complies with all health and safety regulations. Regularly inspect your store to maintain cleanliness and hygiene.
8. Regularly review your business performance and profits to make adjustments and improve.
9. Once your Baqala is established and profitable, explore expansion opportunities.

Essentials or Requirements of a Baqala Business in Abu Dhabi:

1. A baqala in Abu Dhabi needs to present a physical invoice at the time of purchase to the customer. 
2. There must be a distance of 5500 mm between a baqala store and other stores. 
3. If you want to sell any food product, you must have a registered trademark. 
4. An accessible telephone booth is also required at baqala stores. 
5. A baqala should be able to handle all weather and hygiene safety standards. 
6. The correct price tag must also be mentioned on each product. The UAE government has strict rules on this. 
7. A detailed list of inventory is also necessary to submit to DED while obtaining licenses. If you have added any new item to the inventory, it’s still essential to get submit the list again and get approval first. 
8. Even a push and pull stickers at the opening door are also essential for a baqala store. 

How Much Does it Cost to Start a Baqala in Abu Dhabi?

The cost of starting a Baqala business in Abu Dhabi varies due to certain factors such as rent, inventory, equipment, licensing fees, visas, and more. It’s hard to give a precise estimate. 

However, HM corporate is always here to help you. You can just reach out to us and we will help you calculate your cost of mainland company formation in Abu Dhabi.