Overview

When starting a business, you have to comply with a number of legal requirements. One of the major requirements is informing the government that you are beginning a business at this particular location. If you don't inform the government and the local authorities your business operations can be disrupted.

Moreover, you will be required to shut down the business. As a result, informing the government about business happens through Trade License. Every city or village authority demands trade license registration. If you have business or want to start business in delhi, you must have a valid trade license in delhi.

Trade License in Delhi allows the Municipal Corporation to monitor and regulate the business activities at the city level.

What is a Trade License?

Trade License is a certificate or a legal proof of permission that you can conduct a business or trade within the specified limits of the municipality for which the trade license certificate was issued.

It is simply a permission from the state government that you are eligible to commence your business within this locality or area. Trade License also ensures that the business is adhering to safety standards set by the municipal corporation.

Trade License is obtained for single business or trade. Thus, you can not commence any other business except for which trade license was issued.

It also ensures that an individual doesn't get the ownership or secures the property or any other form of legal entitlement where the business activities are carried on.

Importance of Trade License in Delhi

Protects the Residents.
Trade License in Delhi restricts the people in doing businesses at residential areas. As a consequence, a trade license protects residents living in the society from the nuisance and disruptions caused by the business operations.

Boosts the Credibility of the Business.
Every firm must have a trade license in Delhi, which is common knowledge. Customers may be certain that an enterprise is following the law and dedicated to ethical business practices thanks to trade licenses. Additionally, this license makes the business more noticeable in the industry in which it competes. Thus, doing so would enable the organization to gradually build confidence with its target consumer.

Get Investment Easily.
Investors fund only those businesses who are legally compliant. Furthermore, if your startup is new, building credibility and accountability is a challenging task. Here licenses such as trade licenses in Delhi are beneficial for you to build authenticity.

Reduce legal disputes.
It is easy to understand that companies that guarantee complete compliance with regulations are less prone to encountering legal troubles. They might grow more easily than unregistered businesses. The company would never be subject to legal penalties while having a Trade License in Delhi unless they deliberately break the rules of Trade License.

Sustainability in the Long Run.
Many business owners are still eager to disregard compliances in order to increase their profits. Keep in mind that while this may provide some quick benefits to such entrepreneurs, they may struggle to thrive in the years ahead. While businesses with a trade license stand a better chance of concentrating on their core capabilities and winning the confidence of their target clients. This will help them survive in the long run.

Essential Things to know while applying for Trade License in Delhi

#1 Trade License in Delhi should be obtained within the thirty days of business commencement.

#2 The applicant also needs to apply for the renewal of trade license before one month of the expiry date.

#3 During the renewal process of the trade license in Delhi, you will need to again submit the required documents.

#4 It is possible to face fines, jail, and the shutdown of your business if you choose not to apply for a trading license.

#5 Businesses must adhere to standards as per the Delhi shops and establishment act, 1954 to get the trade license in Delhi.

Eligibility Criteria for Trade License in Delhi

#1 Applicant should be eighteen or above

#2 Business activities should be legal and the applicant should also not possess a criminal record

#3 Every Commercial Establishment including a cafe, a hotel, a restaurant, a boarding or eating house, offices, a theater, a cinema, or any other public amusement or entertainment facility all are eligible for trade license in Delhi.

Types of Trade License

Industry License
For micro, small, medium and large enterprises involved in manufacturing.

Shop License
Trades that are dangerous, such as the selling of firewood, the production of crackers and candles, the operation of a barbershop or washing (dhobi) store, or even normal shops must get this type of trade license in Delhi.

Food Establishment License
Restaurants, lodging facilities, food carts, canteens, stores that sell meat and vegetables, bakeries, etc. also need to get trade License.

Document Requirement for applying trade license in Delhi

#1 Address proof and identity proof of the individual

#2 Certificate of the incorporation, AOA and MOA in case of Private Limited Company.

#3 Affidavit.

#4 Canceled cheque and the bank statement.

#5 Legal occupancy document proof of the establishment or allotment letter of the government agency.

#6 Document proof for the establishment of trade.

#7 Lease deed of the constitution.

#8 Documentary proof for non- existence of unauthorized construction.

#9 No objection certificate from the land-owning agency.

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Why choose E-StartupIndia to apply for a Trade License in Delhi?

E-StartupIndia is one of the top platforms in India for offering businesses online legal services. Our team of professionals includes CAs, CSs, lawyers, accountants, and experienced executives who can offer you high-quality services at a reasonable price. Our process is straightforward, so you won't need to use a lot of different websites or applications to complete your task.

You can contact our professionals through info@e-startupindia.comor 8881-069-069. You can also get our services through android mobile app which is available for free download on playstore at: E-Startup - Business Registration & Consult CA App - Apps on Google Play.

We would be pleased to answer any of your questions and offer you prompt assistance so you may obtain a hassle-free trade license in Delhi.