Licenses & Permits Required For Hotel Business Registration

License & Permits Required For Hotel Business Registration

Hotel business is one of the top performing businesses in the world and that is the reason why many people get attracted towards setting up their own Hotels in the most busy places of the country. To set up a hotel in India, it is required to to take mandatory licenses and permits for the smooth registration of a Hotel with the Government. Read this blog to know everything about the important and mandatory licenses and permits required for Hotel Business in India.

License & Permits are the essential elements for starting a new Hotel Business in India. These Licenses assure that your hotel is legal and safe & secure. Obtaining different Licenses and permits can be a complex task. You can consult with  Professional Utilities Experts to Register Your Hotel Business in India. 

 

Table Of Content

• What is a Hotel Business?

• What are the Licenses Required for Hotel Business Registration?

• Application Format For Hotel Business Registration 

• Conclusion

• Frequently Asked Questions (FAQs)

 

What is a Hotel Business?

A hotel business is a commercial enterprise that offers visitors, tourists, and guests temporary housing, lodging, and frequent other services in exchange for money. Offering a location for people to stay away from their homes, whether for leisure, business, or other reasons, is the main goal of a hotel. The size, design, amenities, and clientele of hotel businesses, which are an essential component of the hospitality sector, can vary greatly. 

 

What are the Licenses Required for Hotel Business Registration?

Hotel Business includes many permits and licenses for registration. They are as follow: 

• Building Permit: 

In India, the Bureau of Indian Standard issues National Building Code which provides a unique identity throughout the country. All Government Departments, Municipal Bodies, Construction Agencies, etc  accept the national building code as a proof of building permit. It is a compulsory document before starting any Hotel Business. 

• Police License: 

A valid permit from the police department is required as the hotel is closely monitored by the police department. Hotels are required to maintain the record list of guests who have visited and stayed there. 

• Trade License: 

Trade License is also known as Health Trade License. For Restaurants & Hotels operations, the local health department issues this license. It is an important & mandatory permit, we highly recommend you to obtain all these documents before beginning with the registration process.

• Fire Safety Permit: 

Fire safety permit is only provided to a hotel, if there are proper fire prevention and fire safety measures available. A fire Safety Permit assures that the guests are safe in their hotels and can enjoy their vacation peacefully. 

• FSSAI License: 

FSSAI License is required for operating a hotel business as most of the hotels provide meals to their guests. FSSAI License assures the food provided to them is 100% safe and hygienic. FSSAI Permit is issued under the Food Safety and Standard Act. 

• Business Permit: 

Business Registration of any legal entity like a company or LLP is mandatory. To start a hotel business one may need Business Operational Permit. This Business permit gives you a legal identity by providing your business a unique business number. 

• Bar License: 

Bar License is required for those hotels who operate bar or alcoholic services. Bar License requirements vary from state to state as Bar License is issued by the State Government. 

• Eating House License: 

Hotels in which all kinds of food and drink can be offered and public is allowed in every area, Eating House License is required. 

• Music License: 

To play any recorded music or video in hotel premises, you need to obtain a Music License.

• Signage License: 

If you want to advertise your hotel through signs, photographs, and symbols you need to obtain a signage license as well. This License is issued by the local authorities such as Municipal Corporation. 

• Lift Clearance License: 

Lift clearance License is issued by an electrical inspector for multi-storey hotels where lift is the measure source to reach different floors. Lift clearance License is issued to a hotel after checking or pre-testing the lift in terms of structure, safety measures, electric security, and advanced options. 

• GST Registration: 

If you’re opening a new hotel you need to register for GST as it comprises VAT, Service Tax & Service Charges. In order to run a hotel business Good & Service Tax Registration is necessary.

• ESI Registration: 

ESI Refers to Employee State Insurance. ESI Registration is mandatory in India if a business or company has more than 10 employees. The employee is required to contribute 1.75% of his/her wages as ESI dues. 

• PF Registration: 

In India if a company or business has more than 20 employees, they need to register for an employee provident fund. The PF Board in India works for employees welfare. 

• Certificate of Environmental Clearance: 

Certificate of Environmental Clearance is issued by the Ministry of Environment & Forest under the environment management act. This certificate is required to ensure that your business will not provide any kind of harm to the environment. Although an assessment is also done to rule out any negative environment impact by the authority. This assessment can be done by filing out a questionnaire.

 

 

Application Format For Hotel Business License 

The Hotel Business Registration includes an application along with various Licenses & Permits. The details required to be fill in that application are as follow: 

 

Applicant Details	Aadhar Number Applicant’s Name Father’s Name  Gender  DOB Postal Address Mobile Number  Email
License Details	Name of the hotel  Address of Hotel
Land Details	Survey/Gat Number  Reference No.  Application Date  Area Does Applicant own the land name of the owner of the land
Hotel Details	Number of Rooms   Sitting arrangement  Articles Served
Challan Details	Challan Number  Challan Submission Date Amount (in Rs) License Number obtained from Municipal Corporation

 

Conclusion 

Registering your new hotel business includes various licenses and permits which assure your hotel is family friendly. Remember that business registration processes can vary widely based on your location and local regulations. 

It's always a good idea to consult with legal and financial experts who are familiar with the specific requirements in your area. You can consult with  Professional Utilities Experts.

 

Related Reads:

• How to Start Paying Guest Business

• How to start Hotel Business in India

• How to Start Homestay Business in India

• How to start Guest House Business in India

• How to Start Bed & Breakfast Business in India