Bihar's Arrah Municipal Corporation Mandates Businesses to Obtain Trade License

Bihar’s Arrah Municipal Corporation has recently taken significant steps to ensure businesses within its jurisdiction obtain trade licenses. With an increasing focus on regulating commercial activities, local businesses are expected to meet this essential legal requirement. In this article, we’ll discuss the importance of obtaining trade licenses through the lens of this crucial incident, highlighting the necessity of local compliance.

Trade License Now Mandatory in Bihar's Arrah City

The Bihar's Arrah City Municipal Corporation has made it mandatory for all businesses within its jurisdiction to obtain a trade license. This decision was made after it was found that only 300 businesses in Nagar Nigam currently hold valid trade licenses, and approximately 5000 shopkeepers in Arrah City conduct business activities without trade licenses. 

To enforce this mandate, the Municipal Commissioner has announced that notices will soon be issued to large business owners, emphasising the urgency of compliance. Business owners have been given a deadline to apply for a trade license in Bihar for non-residential buildings. Those utilising their premises for commercial purposes must register within this period, or they risk facing legal action.

The corporation has also highlighted the importance of keeping property tax payments up to date and updating the property's ownership details properly to obtain ownership certification. 

Deadline to Obtain Trade License

Business owners have been given a one-month deadline to apply for a trade license for non-residential buildings. Failure to comply within this timeframe will result in legal action against unlicensed establishments.

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What is a Trade License, and Why is it Important?

A trade license is an official document issued by the Municipal Corporation or local governing authority that grants permission to individuals or businesses to engage in specific trade or business activities within a designated area. It is essential for ensuring businesses comply with local regulations, safety standards, and public health requirements and enhances business credibility. By obtaining a trade license, businesses demonstrate their commitment to ethical practices and legal compliance, which helps protect consumers and the community from potential hazards associated with various trades.

Also read: Ola Electric Showrooms Trade Certificate Violations – What Businesses Must Learn?

Who Needs a Trade License?

As per the 2007 regulations, the Municipal Corporation has identified several types of business establishments that must secure a trade license. These include:

• Large shops and showrooms
• Banks
• Petrol pumps
• Malls
• Manufacturing units

How to Stay Compliant?

To ensure your business operates smoothly and within the legal framework, here are the key steps you should follow:

• Apply for a Trade License Without Delay: Start the application process as soon as possible to avoid penalties and disruptions to your business.
• Meet the Deadlines: The municipal corporation has set clear timelines. Ensure you complete your trade license application within the given period.
• Understand Renewal Requirements: Trade licenses are not a one-time process. Track the renewal timelines to keep your license remains valid.
• Register Separate Licenses for Multiple Businesses: If you operate more than one type of business, each will require its own trade license.

Need Professional Assistance?

With tighter enforcement and strict deadlines, obtaining a trade license has never been more crucial. If you’re unsure where to begin or need assistance navigating the process, IndiaFilings is here to help. Our team of experts will guide you through documentation, application, and compliance, ensuring that your business stays legal and protected.

Start your trade license registration with IndiaFilings today — simplify compliance and focus on growing your business!

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