Planning to open a cloud kitchen in India?
Well, Cloud Kitchens don’t really need heavy investments initially and you can actually kickstart your business quite early. However, don’t forget to apply for all the necessary cloud kitchen licenses required before you invest in anything major. Certain licenses are compulsory for all kinds of food businesses in India and cloud kitchen is no such exception.
Getting licenses could be tricky and time-consuming if not done smartly. Therefore, here we are with a guide for your rescue.
Let’s See All The Licenses You Need To Open The Best Cloud Kitchen Business In India
FSSAI stands for Food Safety and Standards Authority of India. Restaurants need an FSSAI license in order to make sure that their cloud kitchen’s food standards meet the standards set by the authority of India. It also serves as a certificate of trust for your customers that the food served is safe and consumable. It doesn’t matter what restaurant type or locality your restaurant is in, you need to get an FSSAI license mandatorily.
Documents required for FSSAI License
For basic registration
- Form B – completed and signed
- Rent agreement or any proof of possession of premises
- List of food products served
- Food safety management system plan
- Photo Identity of FBO
- Partnership Deed / Certificate of Incorporation / Articles of Association etc.
For state registration
- Signed Form B
- List of Directors/ Partners/Proprietors with address, contact details and photo ID
- Plan of the processing unit showing the dimensions and operation-wise area allocation
- Proof of possession of premises
- Name and list of equipment and machinery used with the number and installed capacity
- List of food categories served
- Partnership deed/ affidavit of proprietorship
- NOC and copy of License from the manufacturer
- Authority letter from the manufacturer nominated a responsible person’s name and address
- Analysis report of water that is going to be used
- Food safety management system plan or certificate
- Copy of certificate obtained under the Coop Act 1861/Multistate Coop Act 2002
For central registration
Refer to this document here- Documents for a central license
You need Health and Trade license for your cloud kitchen business to make sure you adhere to the hygiene concerns laid out by the health department. It makes sure that you achieve the necessary benchmark in the safety and hygiene levels at your particular Food Business.
Documents required for Health & Trade License:
- Ownership proof
- Rent Agreement or NOC from landlord
- Indemnity bond for Rs. 100
- Power and Water paid Bill
- Letter from Delhi police for swimming pools, cinema halls, and hotels
- Sewer Connection Proof
- Medical Fitness Certificate of Workers
- Three copies of the site plan and layout
- Structural Stability Certificate signed by Structural Engineer
- Water Testing Reports
- Plan of the Premises
- Medical Certificates of Employees
- Proof of Property Tax
The purpose of a Fire Safety License is basically to protect your employees and property from any kind of danger caused due to fire hazards. It is a precautionary process to ensure fire safety in your cloud kitchen business so that you can deal with any incendiary crisis effectively.
Therefore, you need a No Objection Certificate (NOC) from the fire department of your state for your cloud kitchen operations.
The required list of documents is listed on the state government website of the respective state.
This license of Shop and Establishment License was introduced to monitor and regulate work conditions and to protect the rights of employees in an unorganized sector of employment under the Indian Labor Law.
Under this act, a cloud kitchen business owner needs to disclose the following things:
- The working hours of your cloud kitchen business
- Opening & closing hours
- Break time of employees
- Health and safety measures
- National and religious holidays
- Wages for overtime work
It is also mandatory to register the shop or establishment within 30 days of commencement of work.
Documents Required For The Shop And Establishment Act License
- Pan Card of the Proprietor/Partners/Directors of the company
- Id and Address Proof of the Proprietor/Partners/Directors of the company
- Address Proof of the proprietor/Partners/Directors of the company
- Details of the Employees
Any and all restaurants with a turnover of INR 20 lakhs and above need a GST registration by law. Moreover, restaurants in special category state will require GST registration for their restaurant if turnover crosses INR 10 lakhs and more. Food Businesses below this turnover can apply for GST registration but it’s not mandatory for them.
Restaurants who does not have a GST registration cannot charge GST to the customers on their bill.
Documents required for GST registration
- Photograph of the cloud kitchen business owner/managing partners/proprietor
- Partnership deed (in case of partnership firm)
- Electricity bill of the restaurant
- Tax receipt of the restaurant
- Copy of NOC
- Rent agreement (in case of rent)
- Bank statement/passbook
Apart from these licenses, you should also make sure you have the following clearances as well to be on the safer side:
- Certificate of Environmental Clearance (CEC)
- Prevention of Food and Adulteration Act Clearance Certificate (PFA)
- Night Operations License (if required)
To save yourself from any legal penalties or scrutinies make sure you have all the applicable licenses and clearances before time.
Hope this helps you in applying for necessary licenses and your cloud kitchen business planning. Want to read more about cloud kitchen? Click here.