How to set up a Food Courts in India

Posted by Enterslice on August 20th, 2018

A food court is a common area inside a shopping mall, airports, parks, schools and universities that have counters preparing and serving multiple food types or categories of food and the food needs to be self-service by customers. At the food court, the selling counters would typically need to be medium–sized so as to generate revenues that can sustain the business within the mall, airport, movie theatre etc.

A food court in India cannot start operations by procuring the following mandatory registrations and licenses:-

Registrations

1. Register the business entity either as a Private Limited Company or Limited Liability Partnership firm or a Partnership Firm. 
2. Register the Trademark
3. Register the food court with the GST authorities. This can be done online. Some of the documents that need to be submitted are: - allotment and possession letter from Authority or copy of registered lease deed; Partnership Deed or Certificate of Incorporation; Aadhaar and Pan card of the owners/partners; photographs of all the owners/partners; mail id and mobile numbers of the owners/partners; bank statement; list of items to be sold; list of items to be manufactured; DSC of authorized signatories; Authority letter.
4. Register with Ministry of MSME as a medium scale enterprise and obtain the Udyog Aadhaar number.
5. Register under the Shop and Establishment Act and provide a detailed list of all employees to safeguard the rights of the workers.

License

1. Food License from FSSAI: All individual counters that are selling or manufacturing food at the food court premise need to apply for the FSSAI registration or license using the online FLRS (Food Licensing & Registration System). The type of license that will be issued and the authority where the application needs to be submitted is determined by:-
• Installed capacity in case of a manufacturer
• Turnover in case of another kind of business like storage units, resellers, distributors, marketers, transporters, and others.

The individual counters or restaurants need to apply for the State license as the expected revenues would surely be more than Rs. 12 lakh per annum.

The license is applicable only for a period from one to five years. Thirty days before expiry of the existing license/registration, renewal needs to be initiated by the FBO. In case the license expires before renewal, the FBO can be penalized for the same.

2. Liquor License needs to be obtained if liquor is to be served within the premise of the food court.
3. No objection certificate from the Fire Department before construction of the food court. Once the necessary fire safety equipment is installed, the premise is inspected by concerned officials again.
4. Trade license from the state municipal authority in the interest of public health and hygiene.
5. Eating House Registration that can be obtained by applying online. Necessary documents for this license include –documents proving legal occupancy of the food court; valid Trade license from Municipal Corporation, photographs of the place used as an eating house; Fire NOC etc.
6. Lift Clearance certificate from the Labour Commissioner’s office.
7. Music License from Phonographic Performance Limited.
8. Certificate of Environment Clearance from Ministry of Environment
9. Signage License from the Municipal authorities

Obtaining registrations and licenses for a food court involves tedious processes and needs expert advice and support. Contact us as we are experienced in providing services related to company registration, GST and MSME registrations, Trademark and Patent registration, Trade License, and food License.