Trade License

A trade license is a document/certificate that gives the permission to the applicant (person seeking to open a business) to commence a particular trade or business in a particular area/location. However, the license does not allow the holder to any other trade or business than for it is issued. Furthermore, this license does not pass on any kind of property ownership to the holder of the license.

Trade license was introduced in the late '80s in the country in the last forty years and is being regulated through municipal corporation acts by the state governments. This regulation helps ensure that no one is severely affected by any trade or business's nuisance and health hazards.

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About This Plan

Avail various benefits under the scheme ? Apply for Trade License Registration with TAXAJ

Created by potrace 1.15, written by Peter Selinger 2001-2017


It usually takes 3 to 5 working days.

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Services Covered
Who Should Buy
How It's Done
Documents Required
Services Covered

  • Drafting documents
  • Filing of forms with Authorities
  • Documented Follow-up
  • Business hours - CA support
Who Should Buy
  • Any business entity or Individual
How It's Done

    • Purchase of plan
    • Upload documents on Vault
    • Drafting of documents
    • Submission of documents and application with Department
    • Receipt of Registration letter
Documents Required

  1. Name, Contact Number and Email Id of Stakeholder.

  2. Self Attested PAN, Aadhar & Passport size photo of Stakeholder.

  3. Specimen Signatures of Stakeholder.

  4. Latest Electricity Bill/Landline Bill of Registered Office.

  5. NOC from owner of registered office. (If Owned)

  6. Rent Agreement from Landlord. (If Rented/Leased)

  7. PAN, TAN, COI of the Business Entity

  8. Cancelled Cheque in business name 

MCD Trade License Explained in this video by our Expert!


a. Industries license: small, medium and large scale manufacturing factories

b. Shop license: Dangerous and Offensive trades like a sale of firewood, cracker manufacturer, candle manufacturer, barber shop, dhobi shop etc.

c. Food establishment license: Restaurants, hotels, food stall, canteen, the sale of meat & vegetables, bakeries etc.


The applicant must have crossed the age of 18 years

The applicant must not have any criminal records

Business must be legally permissible.

Why Trade License?

The government has made it necessary to carry out any particular business or trade in a specific area and to ensure that no one is carrying out any unethical business practices. This license creates harmony in society that every business follows relevant rules and guidelines and obeys safety measures. This license was made obligatory to ensure that the government can regulate various trade activities in the country. The core objective of issuing this is to control the locations by restricting the people from executing certain types of businesses from their home location to maintain the business environment and locality environment.

Delhi Shops & Establishment Act, 1954

The Shops and Establishments Act regulates the following aspects of doing business in India. Under the Shop and Establishment Act, the following rules are based on which the Delhi trade license is issued. Every shop & establishment must be registered under this Act within 30 days of commencement of work.

👉 The working hours on a daily and weekly basis.

👉 Provisions for spread-over, rest interval, opening, and closing hours closed days, national and religious holidays, overtime work.

👉 Regulation of employment norms for children, young persons, and women.

👉 Rules and regulations concerning paid leaves.

👉 Rules and conditions for employment and termination of service.

👉 Regulations concerning the maintenance of records and registers.

👉 Obligations of employers as well as employees.

👉 Precautions against fire, accidents, etc.

👉 Regulations concerning the display of notices.

👉 The responsibility of the employer and employee towards each other, the firm and the society.