What is a Trade License Number?

Last Updated at: Jul 16, 2020
What is a Trade License Number_
In view of the ongoing COVID-19 pandemic, the EDMC ( East Delhi Municipal Corporation), on 16th June, has extended the period of renewal of trades license. Now, licenses can be renewed up to 31st March, 2021, without any penal interest.


People thinking to start a business or trade should know that the Trade License Number is one of the essential documents that one needs to have. This document permits the applicant to begin a business in the given region. The trade license was introduced 40 years ago, and it is regulated through the municipal corporation. The licensing department under the municipal corporation issues this license for various departments of the business. Trade License is granted to businesses to make sure they do not carry out any illegal activities. The trade license number can be a necessary element of the trade license.

Categories of Trade License

  1. Industries License: This includes the small, medium, and large manufacturing industries.
  2. Shop License: This includes trades like firewood, crackers, candles, barbershops, dhobi shops, etc.
  3. Food establishment License: This includes restaurants, hotels, food stalls, food stalls, the sale of vegetables and meat, etc.


Your application should be a minimum of 18 years old

  1. You should have no criminal records
  2.  The business you are going to do should be legal

Documents to be submitted

  • Application
  • Any ID proof (Aadhaar Card/PAN/Driving license etc.)
  • Address Proof (Residence certificate/Ration card/ Aadhaar Card etc.)
  • Tax Payment Receipt.
  • Property documents.
  • A NOC from your neighbor.
  • Occupancy Certificate.
  • Katha Extracts.
  • Katha Certificate
  • Sanction Plan.
  • After you apply for the license, it generally takes 7-10 days to process the application. But if you stay in rural areas and smaller cities, it will take longer.

Procedure for getting trade license online

Trade license is essential for every business that carries out a trade or business.

It is valid only for a year. We, at vakilsearch help you put together all the required documents, and then file the application on your behalf. With no hassle, you get your trade license. 

You can also apply for the trade license in the following way- 

  • Log in to the online municipal corporation portal and fill out the application. You should also upload the required documents.
  • Your application will be sent to the SI (Sanitary Inspector) of the concerned division. You will receive an SMS and email about the details of the inspection.
  • On the given date, the inspector will inspect the place and will prepare an inspection report. This will decide the fee you have to pay depending on the rent, square feet area, the volume of production, etc.
  • This report will be further forwarded to the concerned Municipal Health officer/ Sanitary Officer.
  • The concerned officer will read the report and conduct another inspection if required. The accepted file will then be forwarded to the commissioner.
  • If the commissioner finds no fault in the file, he will provide his approval, and the demand notice will be available to the applicant. The applicant can download this through the citizen portal.
  • The applicant can make the required payment and then directly download the certificate using the trade license number.

Get Your Trade License

Renewal of the License

This license has a validity of only one year and after that, it should be renewed every year before the date of expiry. To renew the license, one must apply on 1st March of every year. He has to pay a penalty of 25% over the regular fee if the license fails. For trade license renewal online, the applicant should follow the same steps as when he applied for a new one.

Key Points to Remember

The Municipal authority issues this license for traders and business people who are above 18 years and do not have any criminal background. 

  1. The rules and regulations will differ from state to state.
  2. The fee to be paid depends on the nature of the business.
  3. A business with this license will attract more customers and investors.
  4. A business with this has to follow safety measures and guidelines.
  5. A person who starts a business or a trade without applying for the business has to pay the penalty.  This can also result in the closure of the business.


  1. What is a trade license?

To run a business in the country, any business owner needs to get a trade license. It is the permission by the local authorities and government to run business operations. Moreover, to register for a trade license, one needs to log on to the portal of their respective municipal corporation.

2. How do I check the trade license number?

After the successful completion of registration of trade license, the registrar issues a certificate of trade license, which has the trade license number. You can also go to the portal of the respective municipal corporation and find the trade license number.

3. What are the key points one needs to know about trade licenses?

One must consider the following points:

  1. One must apply for trade license before starting to run the business
  2. The application for trade license renewal should complete 30 days before the date of expiry of the license
  3. The license should maintain on an annual basis.

To know more about Trade License: Click here

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