A trade license is one of the most important documents that is required to start a trade or a business in a municipal area. This document will provide you with the legal right of operating your business in a specific area. The government is responsible for authorizing the legal agreement of trade license. It mainly makes sure that none of the people in that area where the business is being held are affected by any kind of nuisance and health hazard issues. Hence, to start a business successfully, it is necessary to do the trade license registration.
Importance of Having A Trade License
The main goal of a trade license is to control the businesses that are being operated in a particular area. It is a way that helps to regulate the activities that are carried out in a business and check if they are causing any harm to the residents in that area.
It is very necessary to have a trade license as it is the only proof that your business is not fake and is under the vigilance of the Government. The trade license will help other businesses and people to make sure that your business is being carried out following all the major rules, regulations, and safety measures as stated by the Government. Hence, instead of wasting your time, get your trade license registration Gurgaon done as soon as possible.
Documents Needed to Apply For a Trade License
While you apply for a trade license, make sure you submit the below-mentioned documents to the municipal corporation of the area where you want to operate your trade or business.
- PAN Card
- Aadhaar Card
- Property Tax payment receipt
- Application form
- Consent letter from the owner of the property or lease documents
- Incorporation Certificate only if you have one
- NOC from a neighbor living close to your business area
- The layout of the building where you are going to operate your business
- Sanctioned plan
- Khata extracts
- Occupancy certificate
- Khata certificate
Ways to Renew a Trade License
If you issue a trade license for your business, it will be valid for one year. This means, after every one year, you need to renew your trade license. Hence, you must make sure to apply for the renewal of your trade license within 30 days from your date of expiry. In case you delay the application process, you may have to incur a late fee which is mostly 50% of your licensing fee.
The documents you need for renewing your trade license are:
- Previous year’s challan
- Updated receipt of property tax
- Original copy of your trade license
You can also opt for other trade license services if you are unable to do it yourself. The experts in such services will help you to get your renewed trade license.
Penalties Associated with Trade License
There are various rules and regulations that must be followed by every registered business. Non-compliance to that will lead to penalties. Some of the penalties are listed below.
- In case of any delay during the renewal of the trade license application process, a fine of 50% of the license fees is charged.
- Any breach of the terms and conditions of the license, a huge penalty charge will be fined.
- If your business causes any harm to the neighborhood or the surrounding areas, your license can be revoked or canceled.
- In case of any discrepancy, appropriate legal actions will also be taken.
Now you know the importance of having a trade license for your business. If you are planning to start a new business then make sure to avail the trade license in order to avoid the penalties. You can also take the help of the various trade license registration to complete your registration formalities faster. If you want to start a new business or renew your license, visit https://www.avcindia.co.in/ without any further delay. Our expert professionals will help you with the applications and keep your business away from the seals of MCG.