How to Start a Health Trade License

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Overview of Health Trade License

In India, to deal with business affairs about products & services that influence the consumer’s health, the government made it mandatory to secure a health license.

Essentially, there are two types of licenses.

  1. Health Care License: the department issues health care licenses to business entities in the medical care sector to convince authenticity. The issue of health care licenses is done on a state basis. The municipal corporation of the separate state grants the health care license to the qualified applicant.
  2. Health Trade License: This License acts as work allow for entities or businesses involved with trading products and services that impact the consumer's health in one way or another. The institution must secure the License before the start of business. The various entities like restaurants, hotels, cafes, eating houses, tea shops, cinemas, guest houses, boarding houses, theatres, auditoriums, laundries, dry cleaners, salons, gyms, beauty salons, clubs, spas, gas pumps including service stations, general stores, temporary markets, shops, food sellers must obtain Health Trade License.

 The fundamental reason for the license grant is to ensure the health and safety of the consumers availing various products and services. The License is a legal obligation for all businesses offering products and services relating to food, drugs, or any commodities supplementary to the food or medicines. Like, for services that influence consumer health, the License is mandatory.

To stabilise the health trade license, the applicants must have achieved 18. except they must not have any criminal history.

Benefits of a Health Trade License

Following are the various benefits of a health trade license:-

  1. Approved by the municipality for performing business
  2. It will help in applying for other licenses
  3. It is one of the primary for additional licenses
  4. A business entity will enjoy more incredible popularity than an unregistered organisation and will draw buyers & investors.
  5. This protects owners by other forms of liability.
  6. Provide a better framework for hygiene & safety within the workplace
  7. Make businesses more credible & competitive
  8. Strengthen trust among the target consumers
  9. Trade license registration ensures safety measures & guidelines.

Eligibility for Obtaining Health Trade License

  • Age: age factor plays a significant role; the applicant should be 18 years or above.
  • No illegitimate record: Ensure the applicant does not carry any past burden of unlawful practice.
  • Legally permissible business: The profession of the applicant must be lawfully approved.

The Essential Documents for Health Trade License

Following are some vital documents that require obtaining for health trade license:-

  • Proof of payment of all the taxes, fines, etc.
  • PAN or TAN
  • Site sanction plan
  • Premises plan
  • Ownership proof
  • Copy of electricity bills
  • Copy of water bills
  • Medical certificate
  • Self-declaration
  • NOC from the commissioner of police or fire services authority
  • Water testing report
  • List of ancillary commodities
  • Sewer connection proof

Procedure for Obtaining Health Trade License

Obtaining the health trade license differs state-wise as the municipal corporation of the respective state has the right to obtain these licenses. The procedure for granting the health trade license is given below-

  • Go to the municipal corporation portal of the respective state.
  • Select for applying for a health trade license
  • Fill up the application form health trade license with all the requisite information and documents.
  • Payment of the required government fee.
  • The appropriate municipal authorities will do the verification.
  • Once the verification ends, the authority will grant the health trade license.

Procedures for Renewal of Health Trade License

The licence is granted for a fixed time, and it is required to be renewed. Should apply for its renewal before 30 days from the expiry date. The failure to renew the License would engage the penalty as recommended by the department.

Mandatory documents required for the renewal of a health trade license

  • Copy of the original License
  • Applicants recognition proof
  • payment Proof of taxes relating to the belongings
  • Previous year challan
  • The renewal of a health trade license is similar to the procedure for obtaining it.

What are the penalties related to not complying with the Health Trade License?

If a business owner starts business operations without obtaining a health trade license, then the government will appoint penal provisions in the form of fees & penalties. It can lead to the shutdown of business operations. The health trade licenses are the primary licenses needed for conducting a business in the health department. It makes the industry more authentic & trustworthy for consumers and investors.

How will SWARIT Advisors help you?

  • Purchase a plan for expert professional
  • Ass queries regarding health trade license
  • Provide documents to SWARIT Advisors expert
  • Prepare application for health trade license
  • Complete all admissibility criteria for preliminary screening
  • Complete procedural actions
  • Health trade license At your doorstep.

Frequently Asked Questions

Businesses who wish to carry out activities in the health trade sector need Health Trade License.

The public's health is the primary reason behind issuing a Health trade license. The government body gives a health trade license to ensure that the business units are dealing in goods & services that directly affect the public's health and comply with hygiene and safety norms.

The fees for obtaining the License vary and depend on the state municipal corporation and the business for which the License is desired. There is a scrutiny fee for the compromise of a New Health License in India.

The licenses are grants for a defined period, and the renewal date mentions in the License. The applicant must apply for license renewal before 30 days from the expiry date. In cases where the license restoration process is postponed, we will process a fine.

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

Yes, it can subject Health trade License to cancellation if the underlying conditions breach.

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