A lot of people nowadays are starting businesses that are related to food. Sure it’s a good business to get into, but you must be aware of the fact that...
India is the hub of restaurants, cafes, bars and other food joints. One can find adequate eateries in every nook and corner of the bustling streets, which gained worldwide popularity for the rich flavours and exquisite dishes. Perhaps this is the reason which drives many entrepreneurs to start their own eating house. However, the legal procedure for opening a food outlet is complex and requires proper knowledge. This document covers the Eating House License renewal and issuance process along with the documents needed for the same.
Introduction of Eating House License
An Eating House is defined as “Any place wherein any kind of food or drinks is served to the public for consumption.” Some establishments categorized under the Eating house are street food shops, hotels, restaurants, food trucks, Dhaba, bar and club. It is essential to obtain an Eating House License to operate a food outlet in India. The Licensing Police Commissioner of city/state issues and renews an Eating House License. Therefore, a Food Business Operator (FBO) needs to apply for such License under the City or State Police Headquarters and the Police Commissioner.
List of licenses required to open an Eating House in India
Setting a food joint is no cakewalk; an individual has to undergo a tedious brainstorm session from choosing the right location to making market strategies. Besides, FBO has to meet a considerate amount of legal permits to run the business legitimately. Here is a complete list of Licenses required to open an eatery store:
- Food Safety and Standard Authority/FSSAI License– The food business and FSSAI are inseparable. Anything related to the food industry depends upon the affirmation of Food Safety and Standard Authority of India. Moreover, the Food Business Operators who possess FSSAI License has more customer base as it ensures the standard quality of the food.
- Eating House License– If FBO wants to set a food unit in a particular location, he/she must acquire the Eating House License from the Police Commissioner of that city. License is valid for three years. Hence, one must apply for Eating House License renewal before its expiry.
- Health Trade License– Intending to safeguard the public health and keep it on topmost priority, the Municipal Corporation Act (1957) generates Health Trade License.
- Liquor License– In case, the proposed Eating House will serve liquor, it is compulsory to procure Liquor License from Excise Commissioner of the state.
- Fire & Lift Clearance NOC- The restaurants or cafes that have an occupancy of 50 or more seats must attain a NOC from Fire Department. Also, to operate a multi-story food unit, a person must take Lift Clearance NOC from the Electrical Inspector of Labour Commissioner’s office.
- Shop & Establishment License- All the food juncture must register under Shop & Establishment Act within 30 days of commencing the business.
- Environment Clearance Certificate– Nowadays, everything revolves around the environment’s safety so before you start a restaurant, provide evidence that it won’t pollute the surroundings. Therefore, acquire No Objection Certificate from Pollution Board of the concerned state.
- Music License- Music has become a marketing strategy to attract prospective customers. If you want to play music in your Eating House, get Music License from Phonographic Performance Limited.
Documents needed for online Eating House License
An applicant of Eating House License must affix the documents given below along with the Registration Application:
- ID proof such as Permanent Account Number (PAN), Voter ID, Passport etc.;
- Residential proof like Voter ID, Aadhaar Card, etc.;
- Proof of tenancy or ownership of the land (lease documents/ Rent Deed/ Sale Deed);
- Self-attested NOC from the owner of the premise;
- Trade License from current NDMC/DCB/MCD/Airport Operator;
- Incorporation Certificate of Companies and LLP;
- Memorandum of Association (MOA) of the proposed Eating House and LLP;
- Comprehensive list of Director Names and the current Form 32;
- The nomination of the decided Authorized signatory on the letterhead of the Company;
- Resolution of the Board for conducting business;
- A copy of Registration papers/FSSAI License;
- An updated GST Registration Certificate;
- Complete information (name, address, parentage )of the employees who shall work in the Eating House;
- Registration Certificate issued by the Labour Department, GNCT of Delhi (as the case may be);
- Fire Safety Certification;
- Three copies of an approved building/site plan with Fire Safety measures;
- Consent Letter from the DPCC ;
- A Self-attested prescribed Affidavit for issuance of a fresh License;
- A copy of the Police Clearance Certificate (PCC);
- Permit from Indian Performing Right Society to conduct amusement activities such as DJ and Live Band;
- A proof of CCTV or surveillance system installed with a minimum of 30 days video recording which serves as an invoice of CCTV;
- Earmarked Space proof like the photographs of the allocated Eating House.
Online Process to get an Eating House License
Usually, it takes around 30-60 days post submission of Eating House License Application and cost a minimal fee of INR 300. The chart given below demonstrates the entire procedure of Registration:
Eating House License Renewal
The Eating House License is issued for a period of three years. After termination of the validity, a licensee must take the renewal process, which is similar to the issuance procedure. The only difference that persists between the issuance and renewal is the application form. Fill in the renewal form in the prescribed format:Eating-House-License-Renewal-form
To avoid such a situation, take professional guidance from Swarit Advisors. We provide end-to-end assistance in establishing food ventures.