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Online car rental business in UAE

How to start an online car rental business in the UAE?

Planning on starting an online car rental business in the UAE? This blog is for YOU to know the step-by-step details!

Saaradha Senthil Kumar
Saaradha Senthil Kumar

Starting a car rental business is not a tiresome as it was when the industry began. The growing technology and people’s knowledge on the same, has made it seamless for entrepreneurs to structure their car rental business online successfully.

In this article, you will learn how efficient it is to start an online car rental business in the UAE. And more importantly, the cost of starting an online car rental business is discussed.

We took a step ahead and threw in a few examples of the best online car rental businesses in the UAE market that are doing absolutely a wonderful job!

Shall we get started?

Is a car rental business profitable in the UAE?

The GCC (Gulf Cooperation Council) nations are of 6 members - UAE, Bahrain, Kuwait, Oman, Qatar & Saudi Arabia. The estimated CAGR of the car rental market is 15.7% between the forecast period (2020 - 2025).

The market capacity in Qatar and UAE is emerging rapidly to the demands of the target market.

Tourism revenue is one of the main sources of income for the UAE economy and also residents of the UAE prefer to rent cars (from hatchbacks to luxury cars).

Therefore it makes sense to start an online car rental business in the UAE would be such a great investment opportunity for you as an entrepreneur!

How to start an online car rental business in the UAE?

These are the five things to consider before starting an online car rental business in the UAE. Let’s be aware before starting any business in a foreign land!

1. Figure out your car rental business model

Having a traditionally maintained car rental business needs huge investment - the location, the employees you hire, and non-traditional marketing strategies cost a lot of money.

To make this process so much easier - let’s get you introduced to starting an online car rental marketplace platform, where all you have to do is organize and monitor your business.

Having a ready-made car rental script to rebrand your car rental business is a simple yet efficient way of kick-starting your car rental marketplace platform!

Your car rental marketplace will connect the car owners and the people who are in need of a car. You’ll be earning a commission out of it, then distribute the car owners their earnings.

Simple, efficient, and speedy services with one platform!

2. Get your license application approved

The business license has to be approved by the government of the United Arab Emirates. These are the set of documents that are required by you to submit while starting an online car rental marketplace business;

  • Your passport copy.
  • Your EID copy (Emirates ID)
  • A visa copy.
  • A copy of the undertaking from the Road and Transportation Authority (RTA) of UAE.

3. Features & functionalities in your car rental marketplace business

This is the list of features to include that might hype your business performance.

  • Seasonal pricing.
  • Advanced search filters.
  • Convenient payment options.
  • Wishlist.
  • Ratings and reviews.
    And more!

4. Plan your marketing strategies to apply in the car rental business

These are some of the marketing strategies that work quite well when with an audience of any nationality.

  • Offer discounts in the form of seasonal pricing.
  • Collect feedback from your customers and make it a point to improve your marketplace platform whenever necessary.
  • Find new features and upgrade your car rental marketplace which will increase the percentage of customer retention.
  • Give out value-based content to your customers than just focusing on the sales part.
  • Conducting surveys online to existing customers to know about their expectations is an effective way of keeping your customers happy.

What is the cost of starting a car rental business in the UAE?

If you plan on developing an online car rental solution from scratch it’s going to cost more, your timeline to start your business is going to extend and you have to hire a full-time tech support team which will incur more cost than you imagine.

The market rate to develop an online car rental solution from scratch starts from $10,000 to $20,000 with additional labor charges of $40 per hour.

But when you opt to own a ready-made solution;

  • You don’t have to hire experienced and skilled developers for Android and iOS separately.
  • The tech support pre and post-sales are based on the pricing plan you choose.
  • You’ll have a team that gives you updates on a regular basis on the development of your solution.

And you’ll be getting all these amazing customer support and top-notch quality products starting at $899!

How can I improve my car rental business in the UAE?

These are some of the strategies that’ll help you maximize profit in your online car rental business.

  • Having an online presence through a properly vetted website can help you with social media marketing effortlessly.
  • Implementing promo codes and coupon codes in your marketplace can help your users feel excited to continuously use your platform which will, in turn, increase your customer retention percentage.
  • Make your users apply for a loyalty program. Give them free miles as they do on flights, this will ensure engagement with your users.
  • Always make a point to give an updated version in regular intervals for your users to increase the user-friendliness of the platform. (in features & functionalities).

3 Companies that are doing amazing in the car rental industry in the UAE

These are a few online car rental marketplaces that are doing great in the car rental industry in the UAE. Let’s check them out and learn from them!

1. Oneclickdrive.com

In oneclickdrive.com, there are more than 700 options of cars for the users. Here, they can lease or rent the cars according to the user’s timeline. Their service includes chauffeured luxury car service, driver to your own car, and point-to-point transportation.

2. Renty

Renty in UAE has 500 car options. There is a wide range of categories based on vehicles - sedans, luxury, hatchback, and prices. The platform can be transformed into 8 different languages which enhance user-friendliness.

3. Ejarcar

Ejarcar is one of the popular car rental marketplace platforms that is trusted by many. They have perks such as returning the car early, airport surcharges, reasonable insurance packages, and additional add-ons such as premier Spotify and unlimited wifi, etc.


We give you the best online car rental marketplace solution that’ll make you a worthy brand amongst the lot!

RentALL Cars, a 100% customizable, scalable, ready-made car rental marketplace solution to start your business in UAE!

Check out our FREE demo before betting on us!

Our 300+ loving customers who turned out to be successful entrepreneurs will be enough proof for you to trust us!

If you have any questions about our products or service - don’t hesitate to contact us via WhatsApp or email us at [email protected]

Let us help you create a car rental app

Starting a business

Saaradha Senthil Kumar

Saaradha is a former content writer at RadicalStart. She helped aspiring entrepreneurs digitize their business through thoroughly constructed blogs on booming business ideas and technology.