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Trade Licence 

  • Mandatory for starting a legal business in a municipal area

  • Prevents illegal or unethical business practices

  • Valid for 1 year – needs renewal annually

  • Non-compliance can lead to penalties or closure

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A Trade Licence is a mandatory document issued by the municipal authority that allows an individual or business to carry out a specific trade or business activity in a particular area.


 

Overview of Trade Licence

  • Issued by the local municipal corporation

  • Ensures businesses comply with health, safety, and regulatory guidelines

  • Required for shops, restaurants, factories, and any other commercial establishment

Documents Required for Trade Licence

  • Identity & Address proof (Aadhar, PAN, etc.)

  • Address proof of business premises (rent agreement/property papers)

  • NOC from property owner (if rented)

  • Layout/site plan of the business

  • Business registration certificate (if applicable)

Registration Process

  1. Apply online/offline at your local municipal office

  2. Submit required documents

  3. Pay prescribed government fees

  4. Officer visits premises (if needed)

  5. Licence is issued within 7–15 days

Benefits of Trade Licence

  • Legalizes your business operations

  • Builds trust with customers and authorities

  • Helps avoid legal complications or shutdowns

  • Required for opening a current bank account in business name

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Frequently Asked Questions (FAQs)


If commercial activity is carried out regularly, yes – especially in urban areas.

 


 Typically valid for one year and must be renewed before expiry.


 No, licences are non-transferable. A fresh application is required