Kuldeep Singh 08 October 2026

Who will take fssai and trade license ?

I work and reside in delhi state and own a commercial shop in alwar district of rajasthan state. A local resident of rajasthan district wants to rent my shop for a small food business.

As you know, food businesses require an FSSAI license and a trade license. I will talk here only about these two only .

1. Can I, the shop owner, obtain both licenses in my name?

2. or will both these licenses be made in the name of the tenant ?

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Quick Summary

When renting out a commercial property for a food business, the tenant is responsible for obtaining both the FSSAI and trade licences in their name. As the property owner, it's crucial to take precautions and ensure a legally sound lease deed is executed with the tenant. Consulting a local advocate is highly recommended to navigate these requirements and avoid future legal issues.

4 Replies

kavksatyanarayana (subregistrar/supdt.(retired)) 08 October 2026

1 & 2: The tenant shall obtain two licenses in his name only, not in your name. Before renting out the property, you have to take some precautions to avoid legal problems. So the lease deed shall be executed by both (you and the tenant). So consult a local, prudent advocate and do everything under his guidance only.

Kuldeep Singh 09 October 2026

Originally posted by : kavksatyanarayana
	1 & 2: The tenant shall obtain two licenses in his name only, not in your name. Before renting out the property, you have to take some precautions to avoid legal problems. So the lease deed shall be executed by both (you and the tenant). So consult a local, prudent advocate and do everything under his guidance only.

Will an 11 months notarized rent agreement work ?

Dr. J C Vashista (Advocate ) 09 October 2026

Who so ever will be doing the business shall have to take licence as per rules.

Ajay 23 October 2026

Since you are renting your commercial shop to a person who intends to run a food business, the licensing requirements should generally be handled by the person operating that business.

1. FSSAI licence or registration

The tenant who will operate the food business would generally need to apply for the appropriate FSSAI licence or registration for the business at the rented premises. The applicable category depends on the nature and scale of the food business and the relevant eligibility criteria.

2. Trade licence

The trade licence is generally obtained by the person seeking permission to operate the particular business, subject to the applicable local authority's requirements. Rajasthan's Local Self Government Department explains that a trade licence permits the applicant to operate the business specified in the application; it does not confer ownership of the property.

What should the shop owner do?

As the owner, you should provide the tenant with the necessary property documents or consent where required. The rental agreement should clearly state that the tenant is responsible for obtaining and maintaining the licences and registrations required to run the food business.

Since the shop is in Alwar district, Rajasthan, confirm the specific trade licence requirements with the relevant municipal authority. The exact process may depend on the location and type of business.

In short, the owner does not ordinarily need to obtain these licences merely because they own the shop. The tenant operating the food business should generally arrange the necessary licences for their business, while the owner provides the required premises-related documentation.