A trade license is a type of certificate or kind of legal document that permits individuals to start a trade or business within the limits of a specific area. It is a special document and the applicant is not permitted to start any business, other than the one specified in the document or certificate. Hence, it does not act like a general authorisation that enables people to control businesses, but as a particular certificate that provides a very particular business. Moreover, it only allows the applicant authority to start a business and does not authenticate any control of the property to the applicant.

Steps to Follow for Trade License Online Renewal

Step 1: Most of the license renewal takes place between the 1st of January and 31st of March

Step 2: Trade licenses are valid for one year. After that, they must renew for the applicant to continue his or her business.

Step 3: The request for license renewal must be set in at least 30 days after the expiry of the old license.

Step 4: If the process is delayed beyond reasonable limits, the applicant will have to pay a fine as per the rules of the Municipality.

Step 5: To apply for the license, the applicant must visit the State government’s official website.

Step 6: From the homepage, go to the Trade License tab and load the application for the same.

Step 7: After filling the application, upload the supporting documents.

Step 8: The State officials will then verify the application, go through the documents and decide whether to approve or reject the application.

Step 9: You can check the status of your application trade licence online renewal via the official State website by using the application number.

What is the Processing Time?

It usually takes about 7-10 working days in the processing of trade license application in main cities and takes a bit longer in small cities.

Who Can Declare and Issue a Trade License?

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 allows the license in a way to regulate in centres across the country. It allows permission by the form of reports or documents or letters or certificates to carry on any trade or business where it is placed. The issuance of the permit changes from state to state based on the local government offices (Municipals) rule and regulations.

Why Apply For a Trade License?

• Supports the State government to maintain track of the companies working within the state
• Helps in keeping track of the compliance and regulation of such businesses
• Guarantees that no unauthorised trading is happening within the country
• Prevents problems and health risks to people
• Excludes unwanted and unfair trade methods
• Develops social harmony by setting a standard for starting a business
• Makes sure that all the companies working within the state follow specific rules and regulations
• Supports the government control trade activities within the country

What is the Eligibility Criteria for Trade License Renewal?

1. The person must be an adult, above the age of 18 years, and not a minor.
2. The individual applying for a trade license renewal need not have any illegal cases against them or an unlawful background
3. The business for which the person is asking the trade license must be professionally satisfactory within India and must not trade in illegal items
4. The applicant must be an Indian citizen
5. The person must be enrolled at least 30 days before beginning the business in most states

Things to Remember On Trade License Renewal

1. Trade licenses are assigned by the licensing department which controls under the jurisdiction of the municipal corporation
2. The licensing department has many departments under it such as health, engineering, and even industries
3. The government itself allows such permissions to improve trade and business within the country
4. While the exact method for license renewal differs from state to state, the necessary process remains the same everywhere in India
5. Normally, the complete process takes from anywhere within 7 to 10 days to complete. In case it needs more than 2 weeks, consult the Municipality to understand if there are problems with your application

Documents Required for Trade License Renewal

1. Duly mentioned application for trade license in the designated form
2. In case the license renewal is for a firm, partnership or LLP, Private limited company, they must offer their PAN and incorporation certificate
3. Aadhaar card if the person is an individual
4. Property tax receipt from the Municipality
5. In case the business occurs in a rented property, the rent agreement/lease agreement
6. Neighbour’s NOC
7. Blueprint of the building wherein you want to start the business
8. Katha extracts and certificate
9. Sanction plan for the blueprint from the Municipality
10. Occupancy certificate