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Health Trade License

Before starting any trade business in India, the trader has to obtain the requisite licenses, and a Health trade license is one of them. Contact CorpBiz and get your Health trade license by availing of our premium offers.

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Overview of Health Trade License

In India, to deal with business affairs pertaining to goods and services that impact the end-user's health, the government made it compulsory to secure a health license. Essentially, there are two kinds of license

  • Health Care License
  • Health Trade License

Health Care Licenses are granted by authority to business entities in the medical care sector to assure authenticity. The grant of health care license is done on a state-wise basis. The Municipal Corporation of the respective state grants the health care license to the eligible applicant.

This license acts as a work permit for businesses involved with trading goods and services that affect the end user's health in one way or another. The businesses must secure the license before the start of business activities. The various entities that seek this certification are eating houses, ice-making units, authorized milk sellers, medical shops, drugs producers, etc.

Significance of Health Trade License in a Business Regime

The fundamental reason for the grant of the license is to ensure the health safety of the end-users availing various goods and services.

The license is a legal compulsion for all businesses offering goods and services relating to food, drugs, or any commodities that are ancillary to the food or drug medicines. Likewise, for services affecting end-users health, the license is mandatory. This license ensures that the goods and services are isolated from health-related hazards.

Health Trade License: How to Secure it?

  • The process of securing the health trade license isn't that complicated. But, the process differs state-wise as the municipal corporations of the state have the right to accord these licenses.
  • The process of obtaining these licenses is web-based. Thus an applicant can head over to the respective government portal to drop an application for the same. During application filing, the applicant must upload the prescribed documentation in the requested format.
  • Once the application is posted successfully, the inspection process shall be initiated by the concerned officials. If the paperwork came out clean during the inspection, the Senior Inspector of the Licensing Department shall approve the license request and grant the same within 60 days.

Mandatory Documentations to be Arranged for Health Trade License

  • Tenancy proof of the business place
  • Payment proof of the taxes paid on property
  • PAN/TAN
  • Floor plan of the business place
  • Plan of premises
  • The latest copy of electricity and water bills
  • Medical certificate
  • Self-declaration
  • NOC from the commissioner of police/fire services department
  • Water testing report granted by the certified lab
  • List of ancillary commodities
  • Sewer connection proof

Mandatory Documents Need for License Renewal

  • Original license copy
  • Partners' identification proof
  • Proof regarding the payment of taxes relating to a property
  • Challan for the preceding year

Eligibility Criteria for Securing Health Trade License

To secure the health Trade License, the applicant must have attained legal age, i.e. 18 years. Besides, he/she must have a crime-free track record.

Steps by Getting Health Trade License from Government Portal

The procedural instruction for securing Health Trade License is explained below:

  1. Head over to the respective Municipal Corporation portal.
  2. Next, enter the legit information in the e-form for Health Trade License. The web-based form generally seeks the details about;
  • Applicant status
  • Business place address
  • Type of business undertaking
  • Residential address of the owner
  1. Next, the applicant must provide all the legitimate documents like Partnership Deed, PAN, Aadhar Card, Business certificate like COI, list of active director, Landowner NOC, Tenancy certificate of the business place and so on.
  2. One Time Password, i.e. OTP, shall be generated by the portal on the applicant's contact number.
  3. The applicant should pay the fees for the application
  4. The municipal corporation shall inspect the submitted paperwork.
  5. After successful verification, the applicant shall be intimated about the issue of the license.

Legalities Relating to Health Trade License Renewal

The licenses are granted for a limited validity period, and the renewal date is also cited on the license. The license must be renewed before 30 days from the expiration date. Keep in mind the delayed renewal would attract the fine as recommended by the authority.

Fees to be Paid for obtaining Health Trade License

  • The fees for securing a health trade license vary state-wise and depend on the type of business being conducted by the owner.
  • Overall fees also include the charges for scrutiny conducted by the officials to grant a New Health License in India.

Notable Benefits of Health Trade license

Despite being a legal mandate, Health Trade license renders various benefits to the business owner as shown below:

  • Provide better framework for hygiene and safety within the workplace
  • Make businesses more credible and competitive
  • Strengthen trust among the target consumers

Penalties Relating to Non-Compliance

Operating without a valid license is detrimental because such an act could compel the defaulter to confront stringent penalties. In such cases, the defaulter could be subjected to monetary penalties or restrained from conducting trade permanently.

Why opt for Corpbiz Services for Mandatory Licenses and Registrations?

Corpbiz is an advanced and tech-savvy platform that enables businesses to procure mandatory licenses and registrations without a lag or error. We are well-versed in applicable compliances and legal formalities that play a vital role in the registration process.

Frequently Asked Questions

As per Council decision, at the instance of the grant of a new license, commence from separate departments such as Estate-1811, EBR, Enforcement Department, Tax, etc., are required to safeguard the council's interest.

While issuing no objection, such departments ensure that no illicit constructions are there in subject premise and dues are being paid on time besides maintaining adequate sanitary measures from a health viewpoint, which is scrutinized by the CMO of the area while deciding the application.

Yes, Health License can be subjected to cancellation if the underlying norms are found to be breached.

No, it is a mandatory requirement to have a health license before commencing the said business affairs. Businesses without valid health licenses would be penalized by the authority in accordance with the provisions of applicable bylaws.

Director (Health License) has been entrusted with the responsibility of granting health authority.

The health of the masses is the fundamental reason behind the grant of a Health trade license. The Municipal Corporation of the respective states has been entrusted with the responsibility of grating this license. A Health trade license is a mandate for businesses in goods and services that affect end-users health. Besides, it underpins several hygiene and safety norms for these businesses.

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Sakshi Sharda
| Date: 16 Feb, 2020

Health License in India – Complete Overview

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