The verdict in three sentences
A B2B procurement platform for hotels and restaurants in Dubai launches with an MVP at AED 300,000 to 600,000 (about USD 82,000 to 163,000), delivered in 4 to 6 months. The business model rests on a 3 to 8% commission per order charged to suppliers, plus an optional premium subscription for venues. Success hinges on two concrete levers: signing 20 to 40 reliable suppliers before launch and mastering consolidated delivery across Dubai Marina, Downtown, Business Bay and Deira.
The problem a chef or purchasing manager faces
A 5-star hotel on Palm Jumeirah orders every week from 12 to 20 suppliers: produce, seafood, dairy, bakery, dry goods, beverages, cleaning supplies. Each supplier has its own sales rep, WhatsApp order flow, invoice and payment terms. The purchasing manager spends 8 to 12 hours a week ordering, chasing and reconciling invoices. The platform brings it all together: a multi-supplier catalogue, a single cart, a consolidated monthly invoice and scheduled recurring orders.
MVP features and budget
| Module | Scope | Indicative 2026 budget (AED) |
|---|---|---|
| Multi-supplier catalogue | Product pages, units (kg, case, carton), price per supplier | 50,000 to 95,000 |
| Venue accounts | Multi-user (chef, purchasing, management), order approval | 35,000 to 65,000 |
| Recurring orders | Template carts, frequency, day-before reminder | 25,000 to 50,000 |
| Supplier portal | Catalogue management, order intake, confirmation | 45,000 to 85,000 |
| Consolidated invoicing and commissions | Single invoice, supplier payouts, commission logic, 5% VAT | 50,000 to 105,000 |
| Logistics and consolidated delivery | Time slots, routes, proof of delivery, cold chain flags | 40,000 to 100,000 |
| Payment | Bank transfer, card via gateway (Network International, Checkout.com, Telr) | 20,000 to 45,000 |
| Mobile app (PWA) | Quick ordering from the kitchen | 35,000 to 55,000 |
The total ranges from AED 300,000 to 600,000. Add AED 5,000 to 12,000 a month for hosting, maintenance and gateway fees.
Business model and break-even
| Metric | Conservative case | Target case |
|---|---|---|
| Active venues at end of year 1 | 150 | 300 |
| Average weekly basket per venue (AED) | 6,000 | 8,500 |
| Annual volume processed (AED) | 46,800,000 | 132,600,000 |
| Average commission | 3.5% | 5% |
| Annual commission revenue (AED) | 1,640,000 | 6,630,000 |
| Logistics and team cost (AED per year) | 1,400,000 | 3,800,000 |
| Premium venue subscription (AED per month) | 0 | 199 to 499 |
These are 2026 ballpark figures: actual volume depends on the share of purchases each venue agrees to route through the platform, often 30 to 50% at first.
Mini case study
Omar, a Dubai entrepreneur and former purchasing lead at a hotel group, first targets 60 restaurants and 15 hotels in Dubai Marina, JBR and Business Bay. With an average weekly basket of AED 7,500 and 40% of purchases going through the platform, each venue generates about AED 156,000 a year. Across 75 venues, volume reaches AED 11.7M, i.e. AED 527,000 in commissions at 4.5%. For an AED 470,000 MVP, development is covered in about 11 months once that base is reached, before logistics costs, 2026 estimate.
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FAQ
How much does a HoReCa procurement platform cost in Dubai?
An MVP costs AED 300,000 to 600,000 depending on logistics and consolidated invoicing. Running costs sit between AED 5,000 and 12,000 a month.
What commission should suppliers pay?
The market accepts 3 to 8% by category: 3 to 4% on low-margin fresh produce, 6 to 8% on specialty groceries and beverages. State it clearly from the first supplier meeting.
Should the platform run its own delivery?
For an MVP, suppliers often deliver themselves while the platform coordinates slots. Running consolidated delivery becomes profitable beyond 150 active venues in one zone.
How does the single invoice work?
The platform issues one consolidated monthly invoice to the venue, collects payment and pays each supplier within 7 to 15 days, commission deducted. This setup requires the right trade licence and 5% VAT handling validated by a UAE accountant.
How fast can we reach 300 venues?
With two field sales reps, 20 to 30 new venues a month is realistic. The 300 target is reachable in 12 months if retention stays above 80%.
Let's scope your project. Describe your target suppliers, delivery zones and commission model: we will quote an MVP between AED 300,000 and 600,000 with a 4 to 6 month plan. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
