How To Setup Shisha Café in Dubai, UAE With Meydan Free Zone

From aroma to ambience, Dubai’s shisha cafés sell an experience.

The café culture in Dubai is moving at lightning speed, and shisha lounges are leading the trend. Shisha demand is expected to skyrocket to nearly 90% of the hospitality sector of UAE in the coming year.

Whether it’s sunset views over Downtown or late-night vibes, shisha cafés offer more than just flavour, they’ve become social hubs for locals, tourists, and expats alike.

And if you're looking to turn this lifestyle trend into a profitable business, Meydan Free Zone gives you a smart and flexible way to set up.

Shisha Services (5630.94)

This business activity allows you to open and operate a shisha lounge or café where flavored tobacco is prepared and served for on-site consumption in a regulated, hospitality-focused setting.

You can set up a full-service lounge or combine your shisha offering with beverages and light snacks in a dedicated space. Whether it’s a waterfront venue, rooftop spot, or indoor lounge, your setup must comply with all health, safety, and ventilation requirements defined by local authorities.

This business activity strictly covers on-site preparation and service of shisha in a controlled environment. It doesn’t allow for off-site retail sales of tobacco products, operation from temporary stalls or kiosks, or combining your space with unrelated retail trade (like grocery or beverage sales without on-site service). In short, it’s built for curated, sit-down hospitality experiences, not for retail or resale models.

Third-party Approval

DM (Dubai Municipality) approvals are required for this business activity, before obtaining the license.

Anti-Money Laundering Compliance

Business activity 5630.94 is exempt from this requirement.