Factory License
Legal Darbar provides a factory license which is also an essential legal document required to operate a factory or manufacturing. LD gives the factory license which ensures that the factory will complies with workplace safety, labor welfare being, and environmental standards are defined by the law. It is Governed by the Factories Act, 1948 in India and rules framed by the respective state governments by legaldarbar.com
Key Points included by Legal Darbar for factory license:
- Purpose: Its purpose is to regulate the operation of factories and manufacturing units used to ensure the employees safety, health, and welfare being and to monitor the environmental and pollution compliance.
- Applicability: It is applicable If power is used it is engaged in manufacturing and factory activities by employing 10 or more workers and employing 20 or more workers if the power is not used.
- Documents Required:
o Factory layout plan should be approved by local authorities.
o Agreement or a proof of ownership should be there.
o Details of machinery should be installed.
o Personal details of the employees.
o Identity and address proof of the factory owner. - Process used by legal darbar:
o Submit an application form to the Chief Inspector of Factories or local labor department.
o Then attach all required documents mentioned above and pay the fee.
o Then the factory may be inspected by authorities for compliance or they will come and do the inspection of the factory.
o After the verification, license will be issued. - Validity: Its validity is usually issued for a specific period of time like (1 year, 5 years, etc.) and can be renewed periodically.
- Penalties for Non-Compliance: Operating a factory without a license can lead to penalties, fines and the legal strict action can also be taken.
Need Help ?
FAQs for Factory license?
Speak to your state’s or region’s relevant labor department.
when 10 or more people in the factory use electricity to carry out manufacturing duties.
when 20 or more workers in the factory participate in manufacturing without the use of electricity.
In India, you must have a factory license, a Pollution Control Board (PCB) Consent Certificate, which complies to environmental laws in order to run a factory.
A factory license holder may request permission to transfer their license to another person at any point before to the license’s expiration.
Depending on the state laws and the kind of license granted, a factory license in India normally has a 1 to 5 year validity period.
- Make to Assemble (MTA),
- Make to Order (MTO),
- Make to Stock (MTS).
Legal Darbar helps in getting a manufacturing license by managing documentation, compliance, inspections, and approvals, assuring legal compliance and a smooth registration process.