The food industry is the fastest growing industry in the country. Preference and lifestyle of people are changing. Setting up an eating house is a great idea but before setting up an Eating House one must research thoroughly regarding its legal implications.
Now, before starting with Eating House License, first, we will discuss the Eating House.
“Eating House is a place where different kind of food or drink is supplied for consumption of the general public.”
To operate an Eating House in India, one has to obtain the Eating House License from the monitoring authority. For Eating House License, an applicant has to apply to the State Police Headquarters and the Police Commissioner of that city.
Market Overview
Indian food service industry is growing rapidly. Consumers prefer to have hot & fresh food. As per the survey, a major part of the population prefers to eat in rather than take away. This trend is not going to end as India has a large young population.
India is one of the fastest growing economies of the world and there are numerous advantages to the food industry. Following factors contribute towards the growth of the food industry:
· Large Young Population of the Country
· Increase in the income level of the population
· The lifestyle of the People
· Food License: In order to set up a food business in India, one has to obtain a food license from FSSAI. Before applying for food license, one has to check its eligibility for FSSAI registration, state license or central license.
· Health Trade License: It is required to obtain from the Municipal Corporation of the concerned state.
· Eating House License: For Eating House License an application is made to the police commissioner of the concerned state.
· Fire Security Certificate: In order to set up a food business one has to obtain NOC from the fire department. After applying for NOC, the inspection will be carried out by the officials of the Fire Department.
· Liquor License: If liquor is going to be served then a liquor license is required to be obtained from the excise commissioner of the state.
· Lift Clearance: If there is a multi-story building then to assure that lift is operating as per the safety norms, it is required to obtain clearance from the electrical inspector of the office of the labor commissioner.
· Music License: If music is going to be played then it is required to be obtained.
· Environmental Clearance: In order to ensure that business is not going to pollute the environment, NOC is required to be obtained from the pollution board of the concerned state.
· Insurance: Insurance is required to be taken for public liability, fire policy and for the assets of the company.
· A license under Shops & Establishment Act: It is required to be obtained from the concerned state.
· Weights & Measures Department Approval: One has to obtain approval of models of weighing & measuring instruments from the Weights & Measures Department according to the Legal Metrology Act, 2009.
Following Documents are required:
· Site Plan of Eating House
· Postcard size photographs of Eating House
· Copy of valid Trade License from NDMC/MCD/DCB/Airport Authority of India along with the fee receipt
· Legal occupancy proof of the Eating House and NOC from the landlord in case of a tenancy
· Identity and Residential Address Proof of the applicant
· An affidavit on stamp paper which has to be duly attested by Notary Public
· In case seating capacity of people in eating house is 50 or more than fire safety certificate.
· An undertaking for amusement activities and installation of CCTV Cameras with 30 days recording facility.
· Certificate of Incorporation and details of directors in case of Company.
· Copy of Board Resolution
· GST Registration Certificate
· FSSAI License
· Details of Employees
· Police Clearance Certificate
· Fire Safety measures installation proof
Application for Eating House License can be filled online directly with the government. Though the process is long and consumes around 30-60 days to complete.
For starting the way toward acquiring the Eating House License, the applicant needs to get user ID and Password by giving a request letter in person with the subtleties of the Eating House.
All the data is to be filled absolutely for separate application for Eating House License. All the necessary documents ought to be uploaded for the reason. There are various reasons for the dismissal of an application. The licensing authority may request some other explicit reports whenever required.
Meet the Additional Commissioner of Police, Licensing, Delhi for scrutiny of your application and supporting documents.
To know about any update on your application, take a follow-up with the government department. On encountering any rejection based on any mala fide information or incomplete information, the fees once paid will be forfeited by the government.
Within 45-60 working days, the government will review your application and thus grant Eating House License.
Authority who has granted the License can also cancel or suspend the same based on the following:
· If the owner or the license holder violates the guidelines issued at the time of allotting the License or is found not following the direction issued by registering authority shall upon giving the reasonable opportunity of being heard, can cancel the License
· In case the eating house is not operating or is willing to shut down its business for the reason stated, it can apply to the authority, for the surrender of the License, who upon the receipt of such application will cancel the License.
Q. What is the validity of the Registration Certificate?
The validity of such License stands valid for a period as stated in such certificate issued by the competent authority granting the License. The validity varies subject to health or trade license issued by the local civic body or such other changes in the organization, its name, activities, etc.
Q. Is the License allowed to be transferred?
Yes, the License issued for eating house is transferable in case the:
· Owner of the restaurant die,
· There is any transfer of ownership
· Issuing authority deems fit
Q. Does the authority grant or issue the duplicate License?
In case the authority finds it feasible to grant the duplicate License if the same has been lost, damaged, deteriorated, or any similar incident occurred. The applicant can make the application to the additional commissioner of police for the same along with the prescribed fees.
Q. How to file an appeal against the order of licensing authority?
If any person is aggrieved by order of the additional commissioner of police or any other authority can apply to present its appeal before the Police Commissioner within 30 days of receipt of such order.
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Posted by Pooja
Team Taxaj