When might you need a trade license?


If you are involved in trading, a number of different types of licenses may be required depending on the type of business you are involved in.

Street trading:

A trade license is required by all traders who sell or offer anything for sale in the street (referred to in documents as a ‘street trader’). There are very few limited exceptions to this rule. If trading on private land, you may not require consent. However, in some cases you may still need to apply for a trade license.

A street trader who is trading without a trade license is committing an illegal offence. You can get a trade license by completing the relevant application form and sending it together with a fee to your local authority.

Online trading:

Those who trade online are unlikely to require a trade license. However, if you trade online it is imperative that you keep an accurate record of your earnings for income tax purposes.

Export/import licenses:

If you are involved in foreign trade, license to export or import goods may be required. Import and export licenses may prove very expensive dependent on the quantity and value of the goods in question. If you are involved in an international sale of goods agreement the contract should stipulate who is to pay the costs of export or import licenses and clearances. If as a seller you agree to bear these costs, you should try to factor this in when you are negotiating the sale price.

If you would like to obtain legal advice and information on different types of trading licenses, Caven can put you in touch with a local specialist commercial/trade solicitor free of charge. So, if you have any questions or would like our help in finding local commercial/trade solicitors please call us on 08001 221 2299 or complete the web-form above.

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