A Trade License is a document/certificate that gives permission to the applicant (person seeking to open a business) to commence a particular trade or business in a particular area/location. It ensured that the business or trade is carried by adhering to all the standards of safety as issued by State Municipal Corporation. It protects the residents from being affected by any health hazards.
However, the license does not allow the holder to carry out any other trade or business than for it is issued. Furthermore, this license does not pass on any kind of property ownership to the holder of the license.
Trade license, which is regulated by the different state governments, is issued to certify that the business in question is being conducted in accordance with the relevant rules, standards and safety guidelines, thereby ensuring that the residents are not affected by health hazards, and the nuisance brought forth by the improper and illegal conduct of trade. Any business or trade pursued without obtaining the same could be slapped with penalties and/or prosecution of the highest order.