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License Type Eligibility Validity Consultation & Legal Support (Invenix)
Shops & Commercial Establishment Trade License
Any business operating a shop, office or commercial outlet (online or offline)
1 year (renewable annually)
End-to-end documentation, filing & approval support
Industrial / Factory Trade License
Units involved in manufacturing, processing or industrial activities
1 year (renewable every financial year)
Category mapping, compliance checks & inspection coordination
Food & Hospitality Trade License
Restaurants, cafés, cloud kitchens, bakeries, tiffin services & food outlets
1 year
Integrated support along with FSSAI/FoSCoS where needed
Health & Fitness License
Salons, spas, gyms, clinics, pathology labs, physiotherapy centres etc.
1 year
Focus on hygiene, safety & statutory guidelines
Professional / Service Provider Trade License
IT services, consultancy, coaching, tuition centres, freelancing workspaces etc.
1 year
Simple, fast registration for service-based businesses

A Trade License ensures that a business is legally permitted to operate within a specific jurisdiction and that its activities comply with local municipal regulations, safety norms, and environmental standards. Operating without a valid Trade License can lead to heavy fines, sealing of premises, and even closure of business operations by authorities.

It also acts as a foundational compliance document to obtain related approvals such as FSSAI, Fire NOC, Pollution Consent, GST registration, Professional Tax and MSME registration—making the overall compliance journey smoother and faster for the business.

A Trade License is not the same as GST or FSSAI registration. GST is a taxation registration for collecting and depositing Goods & Services Tax, whereas a Trade License is a municipal permission to run business activities from a particular premises.

Similarly, FSSAI/FoSCoS registration relates specifically to food safety and quality, while the Trade License focuses on local civic norms such as hygiene, building safety, fire compliance, pollution norms and permitted usage of the property. Most serious businesses require both sets of approvals.

Trade License Sample

Select Packages

Commercial Trade License

For Shops & Retail Outlets, Professional Establishments, Wholesale Traders & Distributors, etc.

₹ 3,799.00

  • InvenixEligibility check
  • InvenixDocument verification
  • InvenixApplication drafting
  • InvenixFiling with municipal authority
  • Invenix Follow-up for approval
  • InvenixFinal certificate download
Industrial Trade License

for Textile & Garment Manufacturing, Manufacturing Units & Workshops, Construction Material Units,etc.

₹ 3,999.00

  • InvenixEligibility check for industrial unit
  • InvenixDocument & layout verification
  • InvenixApplication drafting
  • InvenixFiling with municipal authority
  • Invenix Support for fire/NOC (if required)
  • Invenix Follow-up for approval
  • InvenixFinal certificate download
Health / Food Trade License

For Restaurants, Cafes, Salons, Clinics, etc.

₹ 3,899.00

  • InvenixEligibility check
  • InvenixDocument verification
  • InvenixHealth/Food-category application drafting
  • Invenix Filing with municipal corporation
  • Invenix Follow-up with health department (if applicable)
  • InvenixFinal certificate download
Special Category Trade License

For Gyms, Coaching Centers, Warehouses, Hazardous Activities, etc.

₹ 4,599.00

  • InvenixEligibility & compliance check
  • Invenix Document verification
  • InvenixDrafting of special-category application
  • InvenixFiling with concerned department
  • InvenixSupport for additional NOCs (if applicable)
  • InvenixFollow-up for approval
  • Invenix Final certificate download
Invenix Invenix

Benefits of Having a Trade License

Legal Authorization to Operate

A Trade License ensures that your business is legally permitted to operate within a specific jurisdiction and complies with municipal rules and safety norms.

Builds Trust & Credibility

Licensed businesses inspire higher confidence among customers, suppliers and partners, and appear more professional and reliable compared to unregistered entities.

Avoids Penalties & Business Closure

Operating without a Trade License may attract heavy fines, legal notices, and even sealing or shutdown of the premises by local authorities.

Supports Other Registrations & Approvals

Trade License acts as a base document for approvals like FSSAI, Fire NOC, Pollution Consent, GST, Professional Tax and MSME registrations, enabling faster processing.

Better Banking & Finance Access

Banks and NBFCs ask for Trade License as proof of legitimate business, which helps in opening current accounts, getting loans, POS machines and subsidies.

Ensures Consumer & Employee Safety

Licenses are granted only when hygiene, fire safety, ventilation and structural standards are met—reducing health hazards and risks at the workplace.

Strengthens Long-Term Brand Image

Compliance-driven businesses build stronger goodwill, retain customers for longer and create a sustainable brand respected by authorities and stakeholders alike.

Penalties and Offences for Trade License Non-Compliance

Operating Without a Trade License

Running a business without a valid Trade License is a direct violation of municipal laws and can lead to heavy fines, daily penalties, suspension of operations and sealing of premises.

Submitting False Information

Misrepresentation of business activities or documents during application may result in cancellation of license and legal action for fraud or misstatement.

Unauthorized Activities Beyond Scope

Conducting business activities not covered under the approved license category can invite penalties, suspension, and mandatory corrections by authorities.

Violation of Safety & Environmental Norms

Non-compliance with hygiene, pollution, structural or fire safety standards can lead to strict fines, shutdown orders and criminal liability in serious cases.

Non-Renewal of License on Time

Failure to renew annually may attract daily late fees, cancellation of license and orders to halt business activities until compliance is restored.

Obstructing Government Inspection

Refusing or obstructing municipal inspections is punishable and can lead to additional scrutiny, higher penalties and even revocation of license.

Documents Required for Trade License

Key documents required for smooth Trade License approval from the municipal authority.

  • Identity Proof of Applicant / Business Owner
  • Aadhaar Card / PAN Card / Passport / Voter ID / Driving License of the owner or authorised signatory.

  • Address Proof of Applicant
  • Electricity Bill / Telephone Bill / Gas Bill / Bank Statement / Rental Agreement (not older than 2 months).

  • Business Address Proof
  • For owned premises – Property tax receipt, electricity bill or sale deed. For rented premises – Rent agreement with NOC from property owner.

  • Business Registration Proof
  • Proprietorship – GST / MSME (if available); Partnership – Partnership deed; Pvt Ltd/LLP/OPC – Incorporation Certificate with MOA & AOA / LLP Agreement.

  • Premises Layout / Floor Plan
  • Simple site plan showing area, equipment placement, entry/exit, ventilation and safety measures (especially for restaurants, factories, gyms, salons).

  • Business Activity Details
  • Brief description of products/services, business category and number of employees.

  • Photo of Business Board / Name Display
  • Photograph showing trade name board fixed outside the business premises.

  • Proof of Occupancy / Property Ownership
  • Latest property tax paid receipt or notarised lease document.

  • Fire NOC / Pollution Consent (if applicable)
  • Required for high-risk units such as restaurants, factories, storage units and chemical/industrial establishments.

  • Additional Documents for Specific Businesses
  • For food businesses – FSSAI application/proof; medical/health services – qualification certificates/registration; salons/spas – equipment & treatment list; gyms – equipment list & trainer certification; educational centres – faculty list and safety certificate.

Who Needs a Trade License?

Almost every commercial, industrial and service-based unit operating within municipal limits.

Shops & Commercial Establishments
Manufacturing / Industrial Units
Food & Hospitality Businesses
Health & Fitness Centres
Beauty & Personal Care Services
Professional & Service Provider Businesses
Storage & Warehouse Units
Training & Educational Institutes
Automobile & Mechanical Workshops

Here’s How The Trade License Process Works

Your Trade License journey broken down into clear, simple steps.

1

Identify your business category & municipal jurisdiction.

2

Gather required documents (ID, address, property, registration proofs etc.).

3

Obtain landlord NOC for rented/shared premises, if applicable.

4

Prepare premises layout & ensure fire, hygiene and safety compliance.

5

Fill the municipal Trade License application (online or offline).

6

Attach all documents & pay government fees and inspection charges.

7

Submit application & note the acknowledgment/SRN for tracking.

8

Municipal authority conducts site inspection for verification.

9

Respond to any queries or additional document requirements.

10

Receive approval & download/collect Trade License certificate.

11

Display the license prominently at your business premises.

12

Renew annually and update for any changes in activity, address or ownership.

Frequently Asked Questions

A Trade License is an authorization issued by the municipal authority allowing a business to operate legally within a specific area.
Yes, every commercial establishment must obtain a Trade License before starting business activities to avoid penalties.
The local municipal corporation, municipality, panchayat or other urban local body, depending on your business location.
Approval typically takes 7–21 working days, depending on the city, inspection schedule and completeness of documentation.
Trade Licenses are generally valid for 1 year and must be renewed annually before expiry.
Yes, if local municipal regulations permit commercial activity at residential premises and an NOC from the owner is provided (in case of rented property).
No. GST is a taxation registration, whereas a Trade License is a municipal approval for running business operations from a particular premises.
Yes, if the business operates from a physical office, storage facility, kitchen or workshop located within municipal limits.
Late renewal may lead to daily penalty fees, and continued delay can result in cancellation of the license and closure of business activities.
Heavy fines, shutdown notices, sealing of premises and other legal actions depending on the nature and duration of the violation.
In most cases, yes. Municipal authorities perform a site inspection to verify safety, hygiene, fire and activity compliance before issuing the license.
Yes, but you must file an amendment application with the municipal authority before adding or modifying activities.
Yes, a written No Objection Certificate (NOC) from the property owner is mandatory while applying for a Trade License in rented premises.
No. They are generally required only for high-risk trades like restaurants, factories, warehouses, chemical handling and other industrial units.
Yes, in case of change in ownership, a transfer application must be filed with supporting legal documents and municipal approval.
Yes, ideally the license should be applied for and approved before commencing business operations.
Yes, retail shops, food stalls, small eateries, salons and other small commercial units are also required to obtain a Trade License.
ID proof, address proof, property proof/lease + NOC, business registration proof, layout plan, premises photos and applicable safety certificates such as Fire NOC or Pollution Consent.
Yes, the municipal authority can cancel the license if the business violates license conditions, performs unauthorized activities or repeatedly ignores renewal & compliance requirements.
Invenix manages the entire process including document preparation, category selection, application filing, inspection coordination, responding to queries, renewals and municipal follow-ups—ensuring smooth and error-free Trade License approval.