Starting a One-Person Candy Business: Do I Need a Labor License?

Hi, I am planning to start a candy business (confectionery) in which I am the sole proprietor and the only employee. I will manufacture the products and sell them to wholesalers and retailers. Do I need to take a labor license?

Hi,

As it's a manufacturing unit, you definitely need to get a factory license.

Factory License - what license is it? Please let me know if I need a labor license if I am the owner and worker of the company.

Dear Sir,

If you are manufacturing the candy using power and employing 10 or more employees, you need to obtain a license under the Factories' Act. If you are solely engaged in the selling business, a license is not required under the Factories Act but is necessary under the Shops and Commercial Establishment Act. Please check for the applicability in your state.

Whatever your business-related activity—manufacturing, sales, forwarding, etc.—the question of obtaining what you call a "Labour Licence" will arise only when employing labor for the purpose. If it is a manufacturing activity carried out with power and 10 or more workmen, or without power and 20 or more workmen, you must obtain a license under the Factories Act, 1948, and comply with the provisions of the Act and its rules regarding matters concerning your labor as specified therein.