Trade License

Ideal for trading business

Starting At Rs. 4,799 Onwards (+govt fees)

(Takes 10-20 days)

Trade License

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Procedure for Trade License

Complete our Simple Form

You are required to fill your details in our simple questionnaire and submit documents.

Start >

Register for Trade License

You are required to give all the required information to Register Trade License.

12 Working Days >

Submission of documents

We will create all the required documents and applications and file them on your behalf.

2 Working Days >

Your work is now completed

Your License will be sent through courier. It is suggested to keep 2-3 copies of it.

Congratulations >

What is Trade License

Every business needs a trade permit from controllers, be it the municipal corporation or the government. Trade License may be a document that provides permission and certifies you to hold on a specific trade or business for that it’s issued. It doesn’t give the responsibility for property or permission for some other activity aside from that it’s given.

The municipal corporation approves the licensing department and allots licenses in the conference with other explicit consultative departments like Health, Estate, Engineering, and others of a similar kind.

In the context of this, it is fundamental for any business foundations to take primary licenses from the License Department before starting manufacturing, trade, or storage of any activity. The appliance has got to be filed with the Commissioner in the Corporation 30 days before the beginning of a business. While filing, the business needs to submit all the mandatory documents

Trade License is completed through LegalRaahi.

Documents Required for Trade Licence

  • Lease documents/agreement in case of premises are on lease
  • ID Proof
  • Occupancy Certificate
  • Address Proof
  • Canceled Cheque
  • Certificate of Incorporation
  • PAN of Entity

What is included in Our Trade License Package

Application drafting

License Application

Government Fees

Eligibility for a Trade License

  • Candidate more likely achieved the age of 18 years
  • Candidate must not have any criminal records
  • Organizations must be legally passable

The Trade License is issued by the licensing department of the municipal corporation in several departments like engineering, industries, health, etc.

The government of India permits the license in a manner to regulate in cities over the nation. It allows by the method for letters or documents and certifies to hold on any business or exchange wherever it is found. The issuance of the license differs from state to state contingent on the local government agencies i.e. Municipals rules and regulations

Types of Trade License

There are 3 kinds of trade licenses that a company or individual can apply for dependent on the kind of trade or business they take forward.

Shop License

This license is required for any individual who needs to open a shop. The shop is often of any retail type.

Industrial License

This kind of license is required for any organization that desires to open a small or mid-sized industrial unit.

Food Establishment License

Any establishment that plans on getting into the food and drink industry needs this license. The license applies to cafes, restaurants, meat shops, bakeries, and vegetable shops.

In like manner, it takes 7-10 working days to process the application of Trade license in metro cities. However, in other small cities and country regions, it sets aside a more drawn out effort for the handling of the Trade license application

Why Trade License

Over the most recent 40 years, trade license has been included in the country and is being administered by municipal corporation acts by the state governments. These advantages in guaranteeing that nobody is exclusively influenced by the disturbance and health hazard of any trade or business.

It has been made compulsory by the government to complete a specific business or trade in a specific region and to make sure that nobody is completing out any wrong business practices. This license creates an agreement in the general public that all business is keeping relevant rules, guidelines, and adopting the security measures. This license was made necessary to ensure that the legislature can manage distinctive trade activities in the nation. The core purpose of issuing this is often to regulate the locations by limiting the people from executing a few kinds of organizations from their home location to maintain the business environment.

  • Important to manage the trades to make sure that the citizens aren’t suffering from health hazards & nuisance due to improper carrying of a trade.
  • A medium to make sure that the business is being conveyed as per applicable relevant rules & safety guidelines.
  • A Licensed business will have higher goodwill and can attract the clients and investors than an unregistered entity.
  • It secures the proprietors upon certain kinds of obligations.
  • Organizations having better business draw in various investment groups and other business organizations
  • To do moral business, practice the individual can apply for getting Trade License Registration which guarantees the security measures and rules.
  • If an individual does not get a Trade license as varying under the law and begins any business than a government can impose fine and penalty on such person. It can likewise bring about the end of such a business.

Validity of Trade License

An exchange permit is important for each business that completes a trade or business needs. An exchange permit is legitimate just for 1 year.

Numerous different arrangements, rules, and guidelines are required to be trailed by the enrolled individual. In the event of carelessness to follow the enrollment states of exchange permits and beginning any exchange movement before the issuance of this permit, the individual in the default will be dependable to take care of the coordinated punishment. Additionally, the lawful move can likewise be made against the defaulter

Trade License Renewal

The trade licenses in India are reestablished from January 1st to March 31st. The validity of a license given by the municipal authority is for one year and required to be renewed per annum.

The application for the restoration of the license is to be done within 30 days from the date of its expiry. Just in case of the renewal process is delayed, then it’s going to attract a fine depending upon the principles and regulations of the issuing authority


The documents that need to be submitted for renewal of the Trade license are the following:

  • Original copy of the trade License
  • Previous year Challans
  • Up to date land tax paid receipt

How is Trade License different from Company Registration?

Company Registration gives the new structure of business while the Trade License is approval to a previously running business for initiating new activity or business. Any running business can enroll itself as a legitimate substance or any individual can likewise frame another structure as an enrolled organization. Trade License is one of the certificates received by a previously registered company on the off chance that it was prepared to continue any additional activity. Investors typically hesitate for putting resources in any sole-proprietor ventures as connected to the element heated by a legal structure like Company, LLPs, etc.

Differences based on validity, authority, documentation, etc are briefly discussed in the Table below.

Basis of difference

Company Registration

Trade License

Structure The new business entity is formed to carry on the business. The existing entity takes the approval for carrying a particular type of activity
Eligibility Directors must not be minor. The company should be registered with a minimum requirement of capital. The applicant must have crossed 18 years of age with no criminal record. Business shall be legally authorized by its object to carry on such other activity for the trade license is acquired.
Types The following are the types of Company: Private Limited, Public Limited, OPC, etc. Types of trade license: Shop License, Industrial license, Drug license, etc.
Processing time ROC takes 3-4 days to issue Certificate of Incorporation Concerned authority takes 7 to 10 days for processing of an application
Validity Valid for lifetime once allotted Valid for one year
Renewal They are not renewed as they are valid for a lifetime. They are renewed after their expiry by submission of necessary documents.


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Frequently Asked Questions

What is Trade License?
Who issues the trade license?
Who Need Trade License?
How to get Trade License?
How much does it cost to get Trade License?
What is the process to get Trade License?
What are the documents required for getting a Trade License?
How much time does the application process ordinarily take?
What to do if, I am denied a license by the Commission?
If I don’t get my Trade License, what will be the outcome?
My Trade License has lapsed three months back. What would be a good idea for me to do?
My license has lapsed over a year back, what would be a good idea for me to do?
Can the license holder's proxy renew the license, In case he is unable to come for renewal?
My dad/uncle/spouse/relative was a license holder. He is deceased and now the permit is in my ownership. What would be a good idea for me to do?
When does the License suspension/revocation can happen?
Who is the contact officer, if I have inquiries in regards to my Trade License?
What is the period for license renewal?