What is a factory licence
A factory licence is permission to operate a manufacturing unit under the Factories Act. Whether your unit needs one generally depends on the number of workers employed and the use of power, as defined under the Act. It is one of the core approvals for manufacturers.
Approvals you usually need alongside it
A factory licence rarely stands alone. Most manufacturing units also need:
- Fire NOC from the fire department
- Consent to Establish (CTE) and Consent to Operate (CTO) from the State Pollution Control Board
- Labour and, where relevant, contract labour licences
- Legal Metrology registration for certain products
- BIS or ISO certifications depending on the product
Handling these separately is slow. They are best planned and coordinated together.
Documents commonly required
- Business and ownership documents
- Site ownership or lease deed and a factory layout plan
- List of machinery and a description of the manufacturing process
- Details of workers and the power load
- Identity and address proof of the occupier
- Product details for any product-specific approvals
The typical process
The broad path is to first map exactly which approvals your unit needs, prepare the layout and documents, submit applications to each authority, respond to any inspection or query, and finally receive your licences and consents. Timelines vary by state and authority.
Staying compliant after approval
Factory and related licences have validity periods and must be renewed. Units must also maintain safety, environmental and labour compliance on an ongoing basis. Building this into your operations from the start avoids penalties and disruptions.
How Aidwish helps
Aidwish maps every approval your unit needs, prepares the documentation, and coordinates with each authority in parallel — so you get your factory running legally with a single team managing the process.