Trade License

Trade license in Jharkhand. Process, cost, checklists and other details.

A Trade License is nothing but a legal certificate/document issued by an approved body (local municipality, by and large) of the State Government. It approves the candidate (an individual or party) to begin business activities in a particular area or region. The undertaking that acquires the permit should cling to the set down rules and guidelines of the power. The exchange permit likewise avows that the business isn’t rehearsing any deceptive strategies that may possibly hurt individuals living in the characterized region/region.

The application ought to be documented with the assigned official of the authority something like 30 days prior to beginning the business. The candidate/undertaking ought to present the required records during this time-frame.

Trade license came into existence forty years back and is being represented through Municipal Corporation Act. The Trade permit advances reasonable exchange practice and tries to protect people in general from wellbeing dangers of any exchange, and it has been made compulsory by the Indian government to lead any sort of business or exchange specific territory and to guarantee that nobody is utilizing deceptive strategic policies.

The permit tries to ingrain amicability in the public arena and orders entrepreneurs to agree with hidden rules. The permit likewise gives entrepreneurs the prerequisite of following wellbeing measures.

Who issues Trade license in Jharkhand?

  • Municipal corporation or Nagar parishad generally issues Trade license.

What is validity of Trade license?

  • Trade license is generally valid for 1 year.

Categories of trade license:-

  • Food establishment license: hotels, restaurants, canteen, food stall, bakeries, the sale of vegetables and meat etc.
  • Industries license: small and large scale manufacturing factories, cyber café etc.
  • Shop license: a barber shop, dhobi shop, candle manufacturer etc.

Eligibility for getting a trade license:-

  • Person must have crossed minimum ages (18 years).
  • Person must not have any criminal records or backgrounds.
  • Business must be capable of executing legal work and should be competent to contract.

3 important points before you apply it:-

  1. Application has to made before you start running your business.
  2. Renewal of application must be filled in 30 working days before expiry of the license.
  3. Once license issued and it has to be maintained on annual basis.


Q. What is period for license renewal?

Renewal period is from January first to March 31st of every year.

Q. Why Do You Need a Trade License?

Trade license ensures that business carried within the city is according to the rules, standards and safety guidelines. You just cannot setup a mini manufacturing unit in your residence.

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