BBMP Trade License for Restaurants and Bars (2026): GBA Fees and Renewal

A restaurant in Bengaluru pays between ₹5,000 and ₹25,000 a year for its trade licence, and a restaurant with a bar pays ₹25,000 to ₹50,000. The fee depends on three things: whether you serve alcohol, whether the dining room is air-conditioned, and its floor area. Those figures come from BBMP's own fee schedule, the last one it published. Many consultant guides quote it wrong.

BBMP itself no longer exists. Five city corporations under the Greater Bengaluru Authority (GBA) replaced it in September 2025, and the GBA now sets the renewal rules. Here are the restaurant and bar fee rows in full, the 2026-27 renewal deadlines and penalties, and the location rules that get a restaurant's licence refused.

Key takeaways

• The fee is set by category, not turnover. A darshini pays ₹5,000, a non-AC restaurant ₹10,000, an AC restaurant ₹15,000 to ₹25,000 by area, and an AC restaurant with a bar ₹35,000 to ₹50,000.
• Renew between 1 and 28 February to pay no penalty. A March renewal adds 25%, and from 1 April the penalty is 100% of the fee.
• You can renew for one to five financial years at once and pay only for the years you choose.
• Businesses started after 2015 on residential roads narrower than 40 feet have their licence applications rejected. Check the road before you sign a lease.
• A trade licence isn't your bar licence. Serving alcohol also needs a Karnataka excise licence, which is a separate and much larger cost.

BBMP is now GBA: who issues your licence

On 2 September 2025 the Karnataka government notified five city corporations under the Greater Bengaluru Governance Act, 2024: Bengaluru West, South, North, East and Central. Together they replaced the Bruhat Bengaluru Mahanagara Palike (BBMP). The Greater Bengaluru Authority sits above all five.

For your trade licence, that changes less than the headlines suggest. The renewal rules for 2026-27 came in a single GBA circular from Chief Commissioner M. Maheshwar Rao, and they apply across all five corporations, as The Hindu reported. Each corporation's health officers inspect and approve applications for their own area. Trade licences have always sat with the health department in Bengaluru, which is why some older guides call it a "health trade licence".

One thing to know before you start. When we checked the online service on 3 November 2026, it was branded "Greater Bengaluru Authority (GBA) Trade License Online Service". It showed a notice saying the service was unavailable for an application migration scheduled for 21 to 24 September 2026, and it told applicants to visit their nearest GBA zonal office. If the portal still isn't taking applications when you try it, go to the zonal office, and keep copies of everything you submit.

What a trade licence costs a restaurant

BBMP's last published fee schedule is a category list dated 23 February 2016. We couldn't find a newer one from the GBA or the new corporations. Treat these as the reference figures, and ask your zonal office to confirm the fee before you pay.

In Bengaluru's licensing language, "hotel" means a restaurant, which is how the schedule uses the word. These are the rows under "Hotels, restaurant and all establishments serving, selling or storing food, beverages or alcohol":

A darshini is the self-service, standing-counter format. A regular sit-down restaurant without air-conditioning pays ₹10,000, double the darshini rate. Several guides call ₹5,000 the "non-AC restaurant" fee, but that is the darshini row.

Other food businesses have their own rows. A fresh juice centre pays ₹1,500 under 500 sq ft, ₹3,000 for 500 to 1,000 sq ft, and ₹5,000 over 2,000 sq ft. Ice cream retail sales pay ₹2,000. A bakery or confectionery retail counter under 500 sq ft pays ₹500, while a bakery that bakes on site without powered machinery pays ₹4,000. If you're opening a small tea point, our guide to starting a tea stall business covers the rest of the licence list.

What a trade licence costs a bar or pub

Serving alcohol moves you onto a higher set of rows in the same schedule:

The common mistake here is the AC bar. Several guides put an AC restaurant with a bar at ₹25,000. In the schedule, ₹25,000 is the non-AC bar row. The smallest AC bar starts at ₹35,000, and most mid-sized restro-bars in Indiranagar or Koramangala fall in the 1,000 to 2,000 sq ft band at ₹40,000.

This licence covers the premises. Your liquor licence is a different document from a different department. The Karnataka Excise Department issues it, and its fees run to lakhs, not thousands. Budget for both, and for the music licences a bar needs as well: see PPL license costs for restaurants and bars.

A worked example

Take a 1,200 sq ft air-conditioned restro-bar. It falls in the "AC hotel with bar, 1,000 to 2,000 sq ft" row, so the trade licence is ₹40,000 a year. Here is what timing does to that number:

A missed February costs this bar ₹10,000. A missed March costs it ₹40,000, a whole extra year's fee, for nothing. A darshini at ₹5,000 risks far less, but the rule is the same.

The 2026-27 renewal rules

The GBA's circular for 2026-27 set out the renewal window, the penalties and the conditions. The Hindu, The Times of India and Asianet Newsable all reported the same terms:

• Validity. You choose one to five financial years, April to March, and pay the fee only for the years you pick.
• Online only. The whole renewal runs online. You pay online or by challan at Canara Bank.
• Waste. Any establishment generating more than 100 kg of waste a day must prove it processes waste on site, or show an agreement with an empanelled waste vendor.
• Plastics. Hotels, restaurants and convention halls must give a written declaration that they comply with the single-use plastic ban, and display awareness posters.
• Bins. Separate green bins for wet waste and blue bins for dry waste.

Put a reminder in your calendar for 1 February, not 28 February. If the portal is slow or down that month, you want time to get to the zonal office.

There's one more condition, and it isn't in the GBA circular. In January 2025, BBMP said it would withhold trade licence renewals from businesses whose nameboards didn't follow Karnataka's rule that 60% of the board be in Kannada. The other 40% can be in any language. Fix the board before you renew, not after.

Where you can't get a licence at all

The fee is the easy part. The location rules decide whether you get a licence.

The GBA circular says licences will be rejected for businesses that started after 2015 in residential areas on roads less than 40 feet wide. It also withholds renewals for premises in buildings that violate their approved plan, in parking areas, and on rooftops. That last one matters to restaurants, because Bengaluru has many rooftop bars and cafés.

The 40-foot rule goes back to the 2015 amendment of Bengaluru's Revised Master Plan, which barred commercial activity in residential zones on roads 40 feet wide or less. It's enforced against restaurants. In August 2026, the Bengaluru North City Corporation refused a licence for a proposed bar and restaurant in Kodigehalli because the premises was in a residential area on a road 7.2 metres wide, about 24 feet.

So before you sign a lease, measure the road, check that the building has an approved plan and an occupancy certificate, and confirm the space isn't a sanctioned parking floor or a terrace. A landlord's promise that "the last tenant ran a restaurant here" is not evidence. If you're cooking from a residential address, read running a cloud kitchen from home first.

How to apply for a new licence

1. Check the premises first. Road width, zoning, building approval and occupancy, as above. This is where most refusals start.
2. Get your FSSAI registration or licence. Every food business needs one; see FSSAI license renewal for the 2026 rules.
3. Pick your category from the schedule. Choose the row that matches your format, AC status and area. If you run a restaurant and a bar on the same premises, expect the bar row to apply.
4. Gather the documents. These are typically ID and PAN of the owner or partners, your lease or ownership papers, a recent electricity bill, the property tax receipt, the occupancy certificate where available, and photographs of the premises and nameboard.
5. Apply online, or at the zonal office if the portal is down. Pay the fee and save the receipt and acknowledgement number.
6. Expect an inspection. Health officers from your corporation check the premises before approval.
7. Display the licence at the premises once it's issued.

Your trade licence is one item on a longer list. Our restaurant licence guide puts it in order alongside FSSAI, GST and Shops and Establishments registration.

FAQ

Is a BBMP trade licence still valid after the GBA took over?

Yes. The five city corporations that replaced BBMP in September 2025 are renewing existing licences under the Greater Bengaluru Authority's rules. Renew on the normal February timetable. For 2026-27, a single GBA circular set the renewal terms across all five corporations.

What is the trade licence fee for a restaurant in Bangalore?

BBMP's last published schedule charges a darshini ₹5,000 a year, a non-AC restaurant ₹10,000, and an AC restaurant ₹15,000 to ₹25,000 depending on area. A restaurant with a bar pays ₹25,000 without AC, or ₹35,000 to ₹50,000 with AC. Confirm the current fee with your GBA zonal office before paying.

What is the penalty for late trade licence renewal in Bengaluru?

There's no penalty if you pay between 1 and 28 February. Paying from 1 to 31 March adds 25% of the licence fee, and from 1 April the penalty is 100%, so you pay double. These are the GBA's terms for 2026-27; check the circular each January for the next cycle.

Can I renew my trade licence for more than one year?

Yes. The GBA lets you renew for one to five financial years at a time, from April to March, and you pay the annual fee for each year you choose. A longer renewal means fewer February deadlines to miss, which matters most for bars, where a 100% penalty can mean ₹40,000 or more.

Can I open a restaurant on a residential road in Bengaluru?

Usually not on a narrow one. The GBA rejects licences for businesses started after 2015 in residential areas on roads under 40 feet wide. It also refuses premises in buildings that violate their plan, in parking areas, or on rooftops. Measure the road and check the building's approvals before you sign a lease.

Is the trade licence the same as a bar licence?

No. The trade licence comes from your city corporation and covers the use of the premises. Serving alcohol also needs a licence from the Karnataka Excise Department, which is a separate application with much higher fees. A bar needs both, plus music licences if it plays recorded music.

What to do next

If you're already open, check two things this week. First, does your licence category match how you trade today? A restaurant that has since added a bar or air-conditioning may be on the wrong row. Second, when does your licence expire? Set a reminder for 1 February and consider a five-year renewal. If you're still choosing a site, measure the road before you talk rent.

Once the paperwork is done, the next thing to work on is the average bill. dineomAI lets guests order from their table by chatting in their own language, Kannada included, and it suggests the side or the next round every time. See how it works for restaurants in Bangalore, then book a short demo.