Flat Preloader Icon We are getting there...

BUSINESS TRADE LICENSE

A Business License allows you to establish a particular business in a specified area. The license also ensures that your business and the business premises meet all of the building regulations, public safety, and health requirements. Trading without a valid Business Trade License is a punishable offense.

CLICK ME

LEGISLATION

Click Me!

The Business Act 71 of 1991 intends, to repeal or amend certain laws regarding the licensing and carrying on of businesses,
and shop hours; to make certain new provisions regarding such licensing and carrying on of businesses, and to provide for matters connected therewith.

Business or trade license requirements are governed by the National Business Act and apply throughout the country, whereas permits and certificates are generally issued in terms of local authority by-laws. These by-laws tend to differ, depending on the location of the business by either, Metropolitan Councils, Local Town Municipalities, or District Councils.

Various Metropolitan, District, and or Local Town Municipalities departments are involved in the process, and the business owner needs to comply with all relevant laws including;
Health and Safety – Applicable to the requirements for food premises and the transport of food

Noise and air pollution – Applicable to the control and prevention of noise and air pollution

Building Control Unit – Applicable to building control in compliance with the National Building Regulations and Building Standards Act, 1977

Urban Planning Unit – Applicable to land use rights

Public Safety and Emergency Services – Applicable to public safety.

Types of Business Licenses

Legislation requires that certain types of business be in possession of a valid business or trade license. A business license allows you to establish a particular business in a specified area. The license also ensures that your business and the business premises meet all of the building regulations, public safety, and health requirements.

This can include businesses under the following criteria;

01.

Sale or supply of meals or perishable foodstuffs.

The carrying on of business by the sale to consumers of –
  • Any foodstuff in the form of meals for consumption on or off the business premises; or
  • Any perishable foodstuff.
Business Example: Places that serve food, provide takeaways, or transport meals like a Restaurant, Franchises, Pub and Grill, Action Bar, Tavern, Cocktail lounges, Accommodation Facilities, Sports Facilities, Hotel, Guesthouse, and or Lodge

02.

Provision of certain types of health facilities or entertainment.

The carrying on of business by –
  • Providing Turkish baths, saunas, or other health baths.
  • Providing massage or infrared treatments.
  • Making the services of an escort, whether male or female, available to any other person.
  • Keeping three or more mechanical, electronic, or electrical contrivances, instruments, apparatus, or devices that are designed or used for the purpose of playing any game or for the purpose of recreation or amusement, and the operation of which involves the payment of any valuable consideration, either by the insertion of a coin, token, or disc therein or in an appliance attached thereto or in any other manner.
      • Keeping three or more snooker or billiard tables.
      • Keeping or conducting a nightclub or discotheque; and
      • Keeping or conducting a cinema or theatre.
Business Example: Health and beauty clinics, spas, saunas, public baths, massage parlors, laser and ultraviolet treatment centers, adult shops, cinemas, nightclubs, pool rooms, arcades, and any business with three or more vending or slot machines.

03.

Hawking in meals or perishable foodstuffs.

The carrying on of business, whether as principal, employee, or agent, by selling any foodstuff in the form of meals or any perishable foodstuff –
  • Which is conveyed from a place, whether by vehicle or otherwise.
  • On a public road or at any other place accessible to the public; or
  • In, on, or from a movable structure or stationary vehicle.
Business Example: Hawkers, food stalls, transport meals, food vending trailers, and vehicles.

Notice

A Business Trade License or Application is not transferable at the change of ownership (When the Business is Sold) or from one premise to another (When the Business is relocated). The Business Trade License is “Renewable” annually, by the Metropolitan Councils, Local Town Municipalities, or District Councils, depending on the geographical area and by-laws of the Council and or Municipality.

A trade license can be withdrawn or suspended if not complying with endorsements. Once the trading license has been granted, your premises may be inspected from time to time.