Trade Licence

  • PAN Card of the entity
  • Latest Bank Statement and Cancelled Cheque of the entity
  • Certificate of Incorporation, MoA & AoA / LLP Agreement / Partnership Deed, if applicable
  • Proof of premises
  • KYCs of Directors / Partners / Proprietor
  • Site Plan / Key Plan
  • Photograph of the establishment with front-facia, display of goods traded from the premises or the business being carried out from the premises.
  • Additional documents as may be applicable on case to case basis.
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WHAT?

Trade license is a permission granted by the municipal corporation of the specific state to carry on a particular trade or business at a particular premises or to store the articles to be used for a trade or business at a premises. Trade License is regulated by the Municipal Corporation Act for every state which varies from state to state. This compliance has been established by the Government to regulate the trade to ensure that the citizens are not affected by the hazardous effect of trade activities being carried out by any person.

The Rules and Regulations for the grant and use of such license varies from state to state. For instance The Delhi Municipal Corporation Act, 1957 has laid down the specific activities for which trade/storage license is mandatorily to be obtained before carrying out any such activity or storing any such articles as specified therein by the Municipal Corporation of Delhi.

WHY?
  • Mandatory compliance under Municipal Corporation
  • Goodwill in the market as against the unauthorized traders
  • Valid for One year
  • Quick and Easy Registration
  • Ethical business Practices followed
  • Protects public from Health, hazard and Nuisance
WHO?

Every trader engaged in a general trading activity within the territorial limits of any municipal corporation is required to obtain a trade license. The class of trade license differs from state to state and is based on the nature of the business activity being carried out.

List of Activities requiring Trade License (Indicative List):

  • Banking
  • Cinematograph Films
  • Cyber Cafes
  • Food Establishments like Eating House / Catering Establishment / Hotels / Restaurants
  • Trading activities like Salons /Barbers Shops / Laundry Shops
  • Manufacturing Industries like Leather Goods / Metal casting / Printing Press / Chemicals / Ghee / Fire Works / Flour Mills / Factories / Food Grains / Wax / Gas and Gas Products / Ink / Cosmetics / Cotton / Yarn / Gunpowder / Pharmaceuticals and Medical Products / Paints / Plastic goods / Soaps / Wooden Furniture, etc.

This is an indicative list. The same may vary from state to state.

HOW?
  • Step 1: Application Form: - Fill up the application form available online for the registration.
  • Step 2: Documentation: - Provide the prescribed documents required to be submitted along with the application form.
  • Step 3: Application Submit: - Once the application is complete, it will be filed with the concerned authority along with the prescribed fees depending upon the area in which license is required.
  • Step 4: Trade License: - Once the application is completely verified by the municipal corporation, certificate is issued to the applicant which is valid for a period of 1 year from the date of issue of the same. The whole process gets completed within 5-7 working days.
Penalty for Non-registration
Commissioner of the specific area has the power to:
  1. Stop the use of any such premises wherein the trade activity is being carried out without permission and license
  2. Seize the goods stored therein
  3. Impose penalty on the trader of such activity depending upon the quantum prescribed under the s
  4. Tate specific Acts.