Trade License
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Trade License

A trade license is a document/certificate that permits the applicant (person seeking to open a business) to commence a particular trade or business in a particular area/location. However, the license does not allow the holder to any other trade or business than for it is issued. Furthermore, this license does not pass on any kind of property ownership to the holder of the license.

Trade License
Trade License

Who can issue a Trade license?

 It is issued by the licensing department of the municipal corporation in various departments like industries, engineering, health, etc.

 The government of India authorizes the license in a manner to regulate in cities across the country. It grants permission by the way of letters or documents/certificates to carry on any business or trade where it is located. The issuance of the license varies from state to state depending on the local government agencies' (Municipals) rules and regulations.

Different categories of trade license

 Industries license : small, medium and large scale manufacturing factories

 Shop license : Dangerous and Offensive trades like a sale of firewood, cracker manufacturer, candle manufacturer, barbershop, dhobi shop, etc.

 Food establishment license : Restaurants, hotels, food stall, canteen, the sale of meat & vegetables, bakeries, etc.

Trade License
Trade License

Eligibility for a Trade license

 The applicant must have crossed the age of 18 years

 The applicant must not have any criminal records  Businesses must be legally permissible.

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