How a UAE restaurant group kept growing despite the regional conflict

Six months after the US-Israel-Iran conflict triggered uncertainty across the region, Dubai-based OTH (Off the Hook) Group decided to continue its growth plans while prioritising business continuity, employee safety and financial stability.

For managing director and co-owner Rolly Brucales, the immediate focus was not rapid expansion but protecting the company's operations and more than 150 employees.

Protecting People and Business Continuity

When the regional situation became uncertain, Brucales said his first priority was safeguarding employees and ensuring that the business could continue operating.

After reviewing the group's financial position, customer demand and long-term plans, the company decided against putting all expansion plans on hold.

Instead, OTH Group adopted what Brucales called a "measured expansion" strategy, moving forward only with projects that made financial sense.

This approach eventually resulted in the launch of a new Japanese restaurant concept.

Supply Chain Challenges Affect Restaurants

The regional conflict also created challenges for restaurants beyond changes in customer demand.

Disruptions around the Strait of Hormuz, a major global shipping route, affected the movement and availability of imported goods. Restaurant operators in Dubai also faced higher costs and difficulties sourcing certain ingredients.

To minimise the impact, OTH Group expanded its supplier network rather than relying heavily on a single source or country.

The company also increased inventory monitoring and maintained additional stocks of essential ingredients.

Brucales said the objective was to ensure customers continued receiving the same level of quality despite external challenges.

Expansion Without Taking Excessive Risks

OTH Group evaluated potential investments against different economic scenarios before committing to new projects.

The company focused on maintaining healthy cash flow, controlling operating expenses and limiting unnecessary debt.

Expansion was also carried out in stages, allowing individual branches to establish themselves before the group moved on to additional projects.

This strategy helped the company balance growth ambitions with the need for financial resilience during an uncertain period.

Greater Focus on UAE Residents

The changing business environment also encouraged OTH Group to strengthen its focus on customers living in the UAE.

Rather than relying heavily on international tourists, the group worked to deepen relationships with local residents, loyal customers and corporate partners.

The company also looked for opportunities to secure stronger locations and develop closer relationships with landlords and suppliers.

Protecting More Than 150 Jobs

Employee stability remained a major part of the group's strategy.

OTH Group continued investing in staff training and development while working to maintain employment stability for more than 150 employees.

Brucales said protecting the workforce was more than a business decision and represented a responsibility towards the people who help run the company.

Resilience as a Long-Term Strategy

The experience has also influenced how OTH Group approaches future challenges.

For Brucales, one of the biggest lessons from the period was that businesses should prepare for uncertainty before a crisis occurs rather than trying to build resilience after it has already begun.

By combining careful expansion, stronger supply chains, financial discipline and employee protection, OTH Group is continuing to pursue growth while preparing for future challenges.