What is Factory License?
A factory license, also known as an industrial license, is a legal document that grants permission to establish and operate a manufacturing unit. It is a mandatory requirement in many countries to ensure that factories comply with various laws, regulations, and safety standards. The license is issued by the appropriate government authority, such as the local municipal corporation or industrial development authority.
The purpose of a factory license is to regulate and monitor industrial activities to protect the interests of workers, the community, and the environment. It ensures that factories operate within the legal framework and follow specific guidelines related to safety, labor rights, pollution control, and other statutory provisions.
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What are the Benefits of a Factory License?
Why Factory License is Required?
A Factory License is required for the following reasons:
- Legal Compliance: Factory licenses are necessary to ensure compliance with relevant laws, regulations, and standards.
- Safety Assurance: They promote a safe working environment and protect the well-being of workers.
- Consumer Protection: Factory licenses help ensure that manufactured products meet quality and safety standards, safeguarding consumer interests.
- Environmental Responsibility: They enforce environmental regulations and promote sustainable practices in manufacturing processes.
- Quality Control: Factory licenses require adherence to quality control measures, maintaining product standards and consistency.
- Government Monitoring: They enable regulatory authorities to monitor and control industrial activities, ensuring adherence to regulations.
- Public Health Protection: Factory licenses contribute to public health by preventing the production of substandard or hazardous goods.
- Risk Mitigation: They identify and address potential risks and hazards, minimizing the likelihood of accidents or incidents.
Who can get Factory License?
Document Required for Factory License
Role of Shamkris and Process of Factory License
Shamkris adopts a results-oriented approach to compliance with mandatory licence requirements in the organization. A simple and guidance methodology help organisation to achieve licence in a timely manner and cost-effective. Shamkris support 100% in advisory, Guidance, Compliance with respect to license requirements to obtain approval.
The License process described below:
Advisory for the document required
Preparation of documents as per application & list of documents.
Inspection by the department if required
Yearly Compliance if Applicable
Renewal when due
Who can issue the Factory License?
As per the Factory Act 1948, every factory owner must register their premises with the local authorities before commencing their business. Factory License acts as a document of approval given by authorities to carry out manufacturing activities. The Department of Factories and Boilers issues Factory License.
An applicant has to apply with duly filled in Form No-2, a set of prescribed documents and fees prescribed in the proper head of Account in the shape of Treasury Chalan in the office of Director of Factories & Boilers, of his state.