Trade License in Delhi

India's Trade License Violation Penalty

It is a certificate or document that allows a company to conduct business or trade activities within a particular municipality. Traders and establishments in Delhi are issued trade licenses by the Municipal Corporation of Delhi (MCD) in order to monitor and regulate various trade activities.

 In accordance with the Delhi Shops and Establishments Act, 1954

According to the Delhi shops and establishments act, 1954, trade licenses are issued based on the following conditions. As soon as a shop or establishment is established under this act, it must be registered within 30 days.

The shop and establishment act regulates the following aspects of doing business in India:

  1.   Based on working hours
  2.   Rest intervals, spread out, opening and closing hours, closed days, national and religious holidays, overtime.
  3.   Children, young people, and women are regulated
  4.   Paid leave regulations and rules
  5.   Employment and termination rules and regulations
  6.   Employer and employee obligations related to work
  7.   Maintains records and registers in accordance with maintenance obligationsined records and the registers
  8.   In the event of an accident or fire, etc., precautions need to be taken.
  9.   An establishment or shop has a responsibility towards the social welfare of its customers.
  10.   Display of notices is governed by certain rules and regulations.

Renewal of a trade license requires the following documents:

  1.   An individual’s address and identity must be verified.
  2.   Copies of original licenses.
  3.   An old receipt from the G-8.
  4.   Renewal of license application.

The duplicate trade license requires the following documents:

  1.   Report of first information (FIR).
  2.   A prescribed indemnity bond.

Trade license process 

  1.   Visit the MCD’s online portal.
  2.   Choose between the north, south, or east DMC regions.
  3.   The “Trade or Storage” tab is visible on the home page.
  4.   The new trade license certificate application can now be accessed by clicking “Application of new licenses”.
  5.   Click on the submit button after filling out the application with all required information.
  6.   Submit the required documents after uploading them.
  7.   ULB officials verify the uploaded documents once this process has been completed.
  8.   A unique application number will be generated after the application has been successfully submitted.
  9.   When the applicant has made the requisite payment, they will receive an SMS on their mobile number.
  10.   During the payment process, you must fill out the following information:
  • Name of UBL
  • Date of collection
  • Centers for collection
  • Date of payment
  • Details of the bank
  • Making payment is the last step, which can be done by clicking the “make payment” tab.

This is followed by the generation of an acknowledgment receipt.


It is important for every commercial business to obtain a trade license, as it gives the business owner various privileges. In contrast to other licenses, the process of obtaining a trade license is not complicated. Trade licenses are also issued by the government to ensure that businesses conduct themselves legally and ethically.   

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