FACTORY LICENSE
Starting a new factory isn’t just about machines, workers, and production lines — it’s about running a legally recognized workplace. A Factory License is the government’s approval that your premises meet the safety, health, and welfare standards required under the Factories Act, 1948.
It safeguards workers, promotes industrial discipline, and builds trust in your business. Whether it’s a small manufacturing unit or a large industrial setup, obtaining this license is mandatory before operations begin — your legal foundation for manufacturing in India.
Documents Required:
- Proof of identity & address of occupier/owner (e.g., Aadhaar, passport, voter ID).
- Proof of factory premises address (sale deed/lease agreement, electricity bill, and municipal tax receipt).
- Business entity proofs: Certificate of Incorporation / Partnership Deed / PAN.
- Fire department NOC or fire-safety certificate.
- Pollution Control Board consent
- List of directors / partners (for companies/LLPs).
- Tax receipts, utilities, occupancy certificate, proof of ownership/occupancy etc.
FAQs
Any premises employing 10 or more workers with power-driven machinery, or 20 or more workers without power, must obtain a Factory License before commencing operations.
The Chief Inspector of Factories (CIF) or the Directorate of Factories and Boilers of the respective state issues the Factory License.
Factory Licenses are generally valid for one year, though some states allow renewal for up to five years at once.
- Operating a factory without a valid license is a punishable offense under the Factories Act, which can lead to penalties, suspension, or closure of the factory.
Yes. Each factory or manufacturing premises requires a separate license, even if owned by the same company.
No. A factory license under Factories Act is about premises and manufacturing process broadly. Manufacturing licenses (for example under Drugs & Cosmetics Act, 1940, Food Safety & Standards Act, 2006) are product-specific. You may need both.