Respected All, What is first step to start manufacturing unit. Please guide me about factory license and other formalities with form number to be submitted at concern Govt dept.
From India, Ahmedabad

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Dear ,
First step is to approach an expert in the field like me and hire his services.
You must be having your project report ready.
You must be having the process flow ready.
You must be having the drawings of plant & machinery lay out ready.
You must be having permission to construct a factory building from local authority.
Then, you have to first approach the DISH department with prescribed form for registration of factory and approval of Plans. Pay cess on construction to local authority. And apply and obtain Factory Licence.
The procedure may vary from State to State.

From India, Mumbai
Dear Akshay,

The first step to start a factory is to prepare a proper business plan. In the business plan, broadly, you need to assess the following:

a) Location of the factory: - You need to assess the easy accessibility to procure the raw material, transportation of the finished goods and easy availability of the labour

b) Space requirement: - Space will depend on the estimated demand for the finished goods and the types of operations. You need to identify types of the plant and machinery, optimal movement of the goods and labour in the factory etc.

c) Procurement of the Raw Material: - Are the vendors available in the nearby area? What will be the lead time?

d) Storage of the Raw Material: - Depending on the estimated demand, what will be the requirement of the safety stock for the class A, B and C type of material

e) Manufacturing: - What will be the process cycle time? What will be the output per batch? What will be the per shift output?

f) Storage of the Finished Goods: - What will be the estimated turnover?

g) The estimated demand: - This is the most important factor. Any wrong estimate will make previous calculations wrong. Your labour requirement per shift, number shifts and raw material requirement per shift will be decided based on the estimated demand.

h) What will be the requirement of the support staff?

i) Report Generation: - What kind of MIS will be developed, who will develop it and who will analyse it? What kind of future decisions will be taken based on the information that will generate in the initial phase?

There are so many questions associated with your post. I provide consulting services on "How to Prepare Business Plan?" Feel free to contact me if you wish to avail of my services.


Dinesh Divekar

From India, Bangalore
Respected Dinesh Divekar,
I feel all the things you listed will come in project report. The queriest is seeking guidance on factory license and other formalities with form numbers to be submitted at concern Govt dept.
In my response I did mention the project report but not detailed out.
I left out obtaining NOC from Pollution Control. I think, it is necessary all over India.
Registering factory, approval of plans and obtaining factory licence is not applicable if the manufacturing is carried out with less than 20 workers with power and 40 workers without power in some States and with less than 10 workers with power and 20 workers without power in some States.

From India, Mumbai
First step to start your manufacturing unit.
Form a company,
Register it in ROC,
Register it under shops and estd.
Based on business type, product and, or service and no of employees as per applicability,
Get the factory license,
Get pollution control board certificate,
If product is food material or eatable ,get FSsi registration.
If Boilers installed, get boiler certification done.
If the factory is in Industrial area, get approvals from industrial development corporation for better amenities, power water light etc.
Further, in operational phase,
You have to ,mandatorily get all statutory licenses and registrations as per labour laws ,GST , Professional taxes etc
During construction phase BOCW registration will be required.
Advise, Start with small, step by step get necessary registrations as required. Get consultation from experts and meet people in business to know more.

From India, Vadodara

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