What is Trade License Overview
Process for Trade License
01
Step 1
Form 353:Once the type of trade license is finalized, Form 353 is duly filled with all the required details. All the above-mentioned documents are submitted to the Municipal Ward Office.
02
Step 2
Validity: After the application is filed, and if more information is required, authorities may demand additional details. If all the details are found to be satisfactory, the trade license is issued. The validity of the trade license is one year and it takes about 2-3 weeks to procure one, which is dispatched through a courier service.
03
Step 3
Non Compliance:Trade License is a mandatory requirement for every business. Hence, if any business owner fails to get one before starting a business, he or she is liable to pay a fine or may face legal repercussions.
Benefits Of Trade License
- Legal Entity: In order for a business to be considered as a legal entity it needs to have a trade license.
- Manges Rules & Regulations:As stated by the Municipal authority in which the business is located.
- Easy Processing and Compliance-free
- No need for renewal, Lifetime Validity
- A Measure of Competence: With a trade license, a business can operate in a commercial space, without fear of being shut down. This provides a display of confidence and competence, in the business and entrepreneur.
Checklist /Minimum requirement for Trade License
- Minors: A person aged below the age of 18.
- Criminal Background:A person with a criminal record cannot apply for a trade license.
FAQs On Trade License
A trade license is a document or certificate that permits the applicant to start a particular trade or business in a particular area/location. Furthermore, this license does not pass on any sort of property ownership to the holder of the license.
A trade license is a document or certificate that permits the applicant to start a particular trade or business in a particular area/location. Furthermore, this license does not pass on any sort of property ownership to the holder of the license.
The municipal authority of the particular state is the accountable body for the issuance of the trade license.
Every trader involved in a general trading activity within the national limits of any municipal corporation is needed to get a trade license. The class of trade license varies from state to state and is based on the nature of the business.
The cost to get Trade Licenses is starting At Rs. 4,799 Onwards +registration fees.
The process to obtain Trade licence are:
The documents required for Trade License are:Lease documents/agreement in case of premises are on lease
It typically takes 8 days. In case, documents are incomplete and erroneous, it may take more time.
If the license is denied by the commission, then you may appeal to standing committee by delivering the denied letter.
According to the Act, running an unapproved Trade is an offense. The concerned authorities may seize or lock your Trade business with or without prior intimation.
Fill the Renewal Form. Pay the renewal charges with half fine.
Give the reason behind why you have not renewed your license. Fill the due fees alongside fine, the present year fees and afterwards start your business.
The appropriately approved manager or agents may be permitted where there are no complaints by his business. In the event that there is any complaint, proprietor must go for compliance and also renewal.
On the off chance that the license holder is deceased, one legal heir can transfer to his/her name with procedure. (By delivering legal heir documents and no-complaint letter is issued from other heirs).
In the case, that the license holder is violating the license conditions and disturbance to neighbors or environment.
Health Inspector of the concerned ward and Zonal Chief Officer is the contact Officer for license enquiry.
Renewal period is from January first to March 31st of every year.