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Applying for a factory licence in Delhi should be the first thing you do if you are opening a manufacturing unit in the capital. According to the Factories Act 1948 & Delhi Factories Rules, 1950, this licence is mandatory to set up and operate a factory unit in Delhi legally. The Delhi Factory license acts as protection from legal actions against your premises. Having a factory licence means that your factory is running with all the health and safety requirements as guided by the regulations of the Factories Act 1948 & Delhi Factories Rules, 1950.
Your factory will be subject to all the legal actions and penalties by the government authorities if it is caught running without the Factory License in Delhi. To prevent it from being shut down, call to get your factory licence online application in Delhi done seamlessly.
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What Is The Need For A Factory Licence In Delhi?
You will face legal actions against yourself and your factory if you try to run a manufacturing unit with the Factory licence in Delhi. The Factories Act 1948 made the Delhi factory license compulsory to set up and operate a manufacturing unit within the capital boundaries. A factory license also helps the unit by generating trust inside the hearts of suppliers, customers, and government agents. A manufacturing unit with a factory licence is eligible for the government scheme and benefits like industrial incentives, which non-licensed factories won’t get. Registered factories also get a much validation in the eyes of insurance companies as compared to non-licensed ones. A factory license is considered an important document for both the financial protection and longevity of a business.Contact us to help you with the registration process of the MCD factory licence renewal in South Delhi.
Eligibility Criteria For A Factory Licence In Delhi Online
If a factory meets these points, then it is eligible for the factory licence registration:- Factories with 10 or more workers, with the aid of power.
- Manufacturing unit with 20 or more workers operating without using power.
- Factories engaged in hazardous processes or dangerous operations as defined under the law.
- Startups and MSMEs involved in the production, processing, or assembling of goods
- Importers are establishing a local manufacturing facility in India.
- Premises using machinery or power-driven tools for producing or modifying goods.
- Public or private sector enterprises that fall under the definition of a "factory" in the Factories Act, 1948.
- Industrial warehouses use machinery for processing, altering, repackaging, or handling goods.
- Export-Oriented Units (EOUs) are involved in any manufacturing activity.
- Entities that require pollution control or fire safety clearance due to operational risks are also subject to stricter regulatory oversight.
Legal Infinix can assist you with the online application for the factory licence in Delhi. Call us now!
Documents Required For Online Registration Of Factory Licence
Documentation is the most crucial part of the Factory registration process. If you miss or submit any wrong documents, then your factory license application process will take more than usual because of the delay due to the wrong or missing documents. So it is good to double-check all the documents before submitting. We have mentioned the list required for the factory registration process. Documents required are:- Building Plan Approval
- Layout Plan as per the Factories Act
- KYC Documents of Owners/Directors (Email id, Mobile No., PAN, Aadhaar, Voter id, Bank Statement, etc.)
- Incorporation documents (COI, Partnership Deed, LLP Agreement, etc.)
- Sale Deed/ Rent Agreement of premises.
- Sanctioned load from the authority / Latest Electricity Bill
- DPCC NOC
- Structural Stability certificate from an approved architect
- Fire NOC (for premises above 250 sq metres)
- Property Tax Receipt
- Manufacturing process flow chart
We have a team of professional Factory license consultants who can help you with the process of North Delhi Municipal Corporation factory licence renewal online. Go ahead and make a call now!
How To Apply For A Factory Licence Online Application In Delhi
Follow this simple process to apply for a factory licence in Delhi:- Document Preparation: Gather all the required documents as per the checklist.
- Online Application: Visit the MCD Portal and navigate to the Trade & Factory Licences section.
- Form Submission: Fill out the application form and upload necessary documents.
- Fee Payment: Pay the prescribed licence fee online.
- Inspection: Await inspection by the concerned authorities.
- Licence Issuance: Upon successful verification, the factory licence will be issued.
Factory Licence Fees In Delhi
| H.P. Installed | Up - 20 | 21 - 50 | 51 - 100 | 101 - 250 | 251 - 500 | 501 - 750 | 751 - 1000 | Above 1000 |
|---|---|---|---|---|---|---|---|---|
| Nil | ₹100 | ₹200 | ₹400 | ₹1000 | ₹1600 | ₹3000 | ₹4000 | ₹5000 |
| Up to 10 | ₹200 | ₹400 | ₹480 | ₹1200 | ₹2400 | ₹3600 | ₹4800 | ₹6000 |
| Above 10 and up to 50 | ₹400 | ₹600 | ₹800 | ₹2000 | ₹4000 | ₹6000 | ₹8000 | ₹10000 |
| Above 50 and up to 100 | ₹800 | ₹1000 | ₹1200 | ₹3000 | ₹6000 | ₹9000 | ₹12000 | ₹15000 |
| Above 100 | ₹1200 | ₹1600 | ₹2000 | ₹4000 | ₹8000 | ₹12000 | ₹16000 | ₹20000 |
Penalties
- Operating a factory without a valid licence can lead to fines up to ₹1,00,000 or imprisonment up to 2 years.
- Non-compliance with safety norms can result in penalties, suspension or cancellation of the licence.
- Delay in renewal may incur late fees and legal consequences.
Timeline
Standard Processing Time - The factory licence registration takes around 25 to 30 working days, depending on document readiness and government processing time.Factory Licence Renewal in Delhi
A Factory License in Delhi is usually valid for 1 to 5 years. Owners must apply for renewal before expiry to avoid penalties.- Grace Period: April is often considered the renewal grace period.
- Late Fee: Delay attracts a late fee of 25% of the license fee and further penalties.
Renewal Fee
- Within April (grace period):
- License Fee = HP-rate × Total HP
- Permission Fee = Unit Charge (₹1000) + License Fee
- Processing Fee = 50% of License Fee
- Transaction Fee = ₹10
- Convenience Fee = 2.5937% of Total Amount
- After April (up to year-end):
- Same as above plus: Late fee = ₹150 (for first 3 months) + 5% of license fee per additional month
- Beyond one year:
- Above charges + Arrear = ₹2,000 flat
Amendment Fee
- Processing Fee = ₹550 + 2.5937% Convenience Fee
- Registration Charges = Nil
- Amendment fee proper: Assessed by MCD officials at approval
Why choose us?
The registration process for a factory licence in Delhi may seem easy, but a single mistake can delay the process. It will be a waste of time to avoid any possible rejection; you will need a professional factory licence consultant who will guide you throughout the process. Legal Infinx have a team of expert legal advisors who will provide you with comprehensive support to ensure your error-free applications. We are one of the trustworthy legal services providers. We can help you get various licences like factory licence in Delhi, MCD factory licence renewal South Delhi, North Delhi Municipal Corporation factory licence renewal online, Factory Licence Renewal in Delhi, and factory licence online application in Delhi.Other Services from Legal Infinix
We manage complete business setup and compliance across India.
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