Updated on April 09, 2025 05:58:38 PM
A business can legally commence commercial activities and carry out deals with other businesses with a General Trade License (GTL). A trade license for hotels is issued by the Central Licensing & Enforcement Cell (CL&EC) of the Municipal Corporation of Delhi (MCD) with adherence to Section 417 of the DMC Act-1957 (amended frequently) and composition of offenses u/s 469.
Businesses can get a trade license for hotels in Delhi for Nehru Place, Connaught Place, Khan Market, Defence Colony, South Extension, Vasant Vihar, Greater Kailash, Saket, South Delhi and many more places. Businesses seeking a General Trade License (GTL) for hotels in Delhi can get assistance from Professional Utilities. Our team of professionals aids the businesses to acquire a trade license for hotels with convenience.
Trade Certificate [Sample]
A General Trade License (GTL) for hotels allows them to conduct monetary operations or engage in businesses with other hotels with consideration to the legal framework. The General Trade License (GTL) permits hotels to legally sell or purchase or trade commodities and services. The Trade License for hotels is to ensure that the businesses obey the specific guidelines laid down by the authority and law to assure trust and credibility for the consumers. Apart from a trade license for hotels, the Central Licensing & Enforcement Cell (CL&EC) of the Municipal Corporation of Delhi (MCD) provides licenses for different categories to the businesses. Entities are required to satisfy the set standards and regulations of the authorities to be granted a trade license for hotels.
The Trade License for hotels ensures that they comply with the laws and regulations laid down by the MCD. Some of the benefits that hotels with a trade license for hotels benefit from are listed below.
Businesses with a desire to acquire a trade license for hotels can fill out the application form on the official website of the MCD with all the mandatory and specified details for the trade license for hotels.
Businesses may fill out their personal details in the application form.
The information about the hotel's premises, description and category is to be filled for a trade license for hotels.
The businesses are required to provide details about property, unit area, address of unit and more.
The application form mandates information about establishment, type of constitution, and partner’s list.
Businesses may upload the required and specified documents as per the application form of general trade license.
The application fee of the general trade license is to be paid by the candidates.
Once the above listed steps are completed, candidates can download the Trade License for Hotels through their dashboard.
The required documents that the businesses would need to submit to get a trade license for hotels are listed below.
The table below displays the fee that is charged by the government for a Trade License for Hotels and it is categorized as per the localities and size of the infrastructure which will be premised for trades
| Category | Up to 10 sqm | 10 to 20 sqm | 21 to 400 sqm | Above 400 sqm |
|---|---|---|---|---|
| A and B | Rs 3,968 | Rs 9,919 | Rs 166/sqm | Rs 83/sqm |
| C and D | Rs 2,645 | Rs 6,613 | Rs 132/sqm | Rs 66/sqm |
| E, F, G, and H | Rs 1,323 | Rs 3,306 | Rs 99/sqm | Rs 50/sqm |
Note: Professional Fees to apply for Trade License for factories is Rs 7500 exclusive of GST.
Learn about the penalties that the business who do not possess a trade license, or disobey the set rules or continue to trade with an outdated trade license may face:
Conclusion
Trade license for hotels permits that to conduct business with other businesses and participate in commercial activities with compliance to the law. The Trade License for hotels is important, to ensure that the entities hold credibility and the consumers can trust the business. The MCD Trade License is responsible to monitor the businesses and ensure legal compliance before engaging in monetary transactions including sale, purchase, or trade of commodities and services. The trade license of hotels can be renewed once its validity of three years is over after the issuance.
At Professional Utilities, we leverage our industry knowledge and expertise to help businesses navigate complex regulations, minimize risks, and optimize operations for maximum efficiency and profitability.
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Frequently Asked Questions
Yes, the trade license for hotels is mandatory for the entities to engage in monetary activities or deal with other businesses intended to sell and purchase or trade of goods and services otherwise MCD will impose penalties and legal actions on them.
Businesses are required to get a general trade license for Hotels in Nehru Place, Connaught Place, Khan Market, Defence Colony, South Extension, Vasant Vihar, Greater Kailash, Saket, South Delhi and more places in Delhi.
The trade license for hotels will be invalid 3 years after its issuance date and is needed to be renewed to continue the business without imposition of penalties and legal consequences by MCD.
Firstly, you have to fill out the prescribed application form with all the required and specified details and upload the necessary documents, then pay the fees of the trade license for hotels and submit the application, after that the MCD will issue a trade license for hotels.
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