Trade License in India
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When initiating a business, compliance with various legal requirements is essential. Notably, informing the government about the establishment of your business at a specific location is a critical step. Failure to do so may lead to disruptions in business operations and, in more severe cases, could necessitate shutting down the business.
This notification process typically involves obtaining a Trade License. Every city or village authority requires trade license registration. In the case of Delhi, having a valid trade license is imperative for businesses. The Trade License in Delhi empowers the Municipal Corporation to oversee and regulate business activities at the city level. It serves as a key mechanism for ensuring that businesses operate in accordance with established guidelines and standards.
A Trade License serves as a certificate and legal proof, granting permission to conduct a business or trade within the specified limits of the municipality for which the license was issued. It essentially signifies approval from the state government, confirming eligibility to commence business activities within a particular locality or area. The Trade License also functions to ensure that the business adheres to safety standards set by the municipal corporation.
This license is specific to a single business or trade, meaning that activities beyond what is specified in the license are not permitted. It serves as a regulatory mechanism to restrict business operations to the approved scope outlined in the license.
Furthermore, the Trade License ensures that an individual does not gain ownership, secure the property, or obtain any other form of legal entitlement where the business activities are conducted. It is a vital instrument in maintaining compliance with established regulations and standards, contributing to the overall safety and integrity of business operations within the municipality.
Trade License Timing in Delhi: It is imperative to obtain a Trade License in Delhi within thirty days of commencing business operations.
Trade License Renewal: For continued compliance, applicants must initiate the renewal process of the trade license in Delhi at least one month before its expiry date.
Documentation during Renewal: During the renewal process, the applicant is required to resubmit the necessary documents for the trade license in Delhi.
Consequences of Non-Compliance: Failure to apply for a trading license may result in penalties, legal consequences such as fines, imprisonment, and the potential shutdown of the business.
Adherence to Standards: Businesses seeking a trade license in Delhi must conform to the standards outlined in the Delhi Shops and Establishment Act of 1954. Compliance with these standards is a prerequisite for obtaining the trade license.
Address proof and identity proof of the individual
Certificate of the incorporation, AOA and MOA in case of Private Limited Company.
Affidavit.
Canceled cheque and the bank statement.
Legal occupancy document proof of the establishment or allotment letter of the government agency.
Document proof for the establishment of trade.
Lease deed of the constitution.
Documentary proof for non- existence of unauthorized construction.
No objection certificate from the land-owning agency.
Consultation with our experts to understand the document requirement and preparation of documents.
Document Submission and our experts will file the application to the Municipality corporation of Delhi.
After successful verification, we will deliver your trade license registration certificate to your email.
Step 1:
Get in touch via call or contact form
Step 2:
Provide necessary documents
Step 3:
Get your Trade Lincense in 10 days
The municipal authority or the local authorities are responsible for the issuance of a trade license in Delhi.
Trade License in Delhi is necessary for all the traders that are involved in the general trading activity. However, it should be noted the class of trade of license varies from state to state and is also based on the nature of the business.
Yes, a private limited company needs a trade license in Delhi. Trade License in Delhi is not dependent on business entity-type so every business needs to mandatorily get it.
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