How to get Medical Store License | 5 Steps to make it Simple

 

For starting a business in India, the businessman has to fulfil some necessary obligations set by the government of India like company registration online. So, if you are planning to start a pharmacy or a medical shop, you must know how to get medical store license to operate it without any retributions.

To get the medical store license, you must first fulfil all these requirements to start a medical store step by step.

Medicines are in high demand right now. Every other person has been looking for a medical store near me since the start of COVID-19. Every day, the entire world relies on pharmaceuticals to fight diseases.

• Have you ever wondered how much profit these types of firms must be making? 
• Have you ever considered starting your medical supply store?

Without a doubt, every one of us has considered opening a pharmacy. But how many of us have done some research around the same. Today, we'll take a step-by-step look at how to open a medical business in India and how to get medical store license.

 

5 Steps to Start a Medical Store 

 

Step 1: Select the Type of Medical Store

Without a doubt, India's pharmacy industry is expanding, with a business model that stands the test of time and economic cycles. Surprisingly, according to statistics based on the pharmaceutical industry's revenue, it accounted for around 70% of the overall market revenue in 2018.

Owning a medical store is a dream for many people, especially given the industry's growth potential. Before you think about things like how to establish a medical store, you must be informed of the type of medical shop you want to own. 

Below are some of the regularly available options-

• Medical Supplies in a Hospital

This sort of medical store is located within a hospital and was created to give medical services to hospital patients.

• A Medical Store That Is On Its Own

It is one of the most commonly chosen medical stores. These are the pharmacies that we frequently visit, and they can be found throughout the residential areas.

• Pharmacies Franchise

These are medical stores set up as franchises in malls or near hospitals.

• Medical Supplies in the Township

In a township, these kinds of medical stores are built up. Its purpose is to provide services to the residents of the township.

• Government Medical Stores

These are the medical stores that are funded and supplied by the government. They are basically for the people below the poverty line, for example, Jan Aushdhi.

 

 

Step 2: Get your Medical Store Registrations

Business Registration

Business registration is highly necessary. You cannot get any other license or permit unless your business is legally recognised. So, when it comes to business registration, you have the following options:

• Private Limited Company Registration Online
• One Person Company
• Sole Proprietorship
• Partnership
• Limited Liability Partnership 

Tax Registration

According to the Indian government, every business organisation must use the Goods and Services Tax. 

A medical supply store is no exception. If you want to operate a medical store, you'll need to register for the Goods and Services Tax. 

Now you must understand the various threshold restrictions available in a GST registration. Except in the North-Eastern Hilly states, where the GST threshold limit is set at INR 10 lakhs, the government has fixed the GST maximum at INR 20 lakhs.

Land Registration

After obtaining a pharmacy licence, the next step is to begin the land registration process. It is when the investment factor enters the picture. You can either own a piece of property to register as a medical shop or rent one for that purpose. 

It depends on the type of investments or assets you have at the moment. You must produce a rent document or a sales agreement to register your land for a pharmacy. You may need to seek legal assistance during this process.

 

Step 3: Get the Medical Store License

The registration of a drug licence is the final legal requirement before starting a medical store. Regardless of the size of the business, every pharmacy must get a drug licence from the Central Drugs Standards Control Organization and the State Drugs Standards Control Organization. 

• Licence to practise pharmacy

Being qualified and obtaining a Pharmacy License is one of the most important prerequisites for starting a medical store. A B. Pharm or M. Pharm degree is required in order to start a medical shop and become a qualified pharmacist.

• Licence to Sell Drugs in Store

A licence is required to operate the ordinary chemist shop, and you must pay a small charge to get started. It should be emphasised, however, that the registration process can only be completed by someone who has earned a degree or diploma in pharmacy from one of the specified universities or institutes.

• Licence to sell drugs in bulk

If you want to offer or sell drugs in bulk, you must first obtain a licence. In contrast to a Retail Drug License, the applicant is not required to follow a set of rules and regulations. The issuance of this licence comes with some restrictions.

Documents Required

• Application form in the prescribed format under the Act.
• A cover letter with the application, officially attest and contains the applicant's name and designation.
• The fee for registration on a challan.
• The building's blueprint.
• Form of declaration in the format required by the Act.
• Ownership of the property.
• Proof of the company's formation and registration.
• Under the Drug and Cosmetics Act of 1940, an affidavit of non-conviction of the proprietor, partners, or directors is necessary.
• Affidavit of a registered pharmacist or another individual equally qualified who will work full-time.
• If you are employed, a letter of appointment from a registered pharmacist or another competent person is required.

 

Step 4: Set up the Store

Minimum space requirements for general retail are 10 square metres and for wholesale businesses are 15 square metres.

A medical store must have a refrigerator and an air conditioner for storage. 

It is important because many pharmaceuticals, including vaccinations, serum, and insulin injections, must be in the refrigerator according to labelling requirements.

 

Step 5: Hire the Technical Staff

Specialized staff is necessary for both types of medical stores.

• Wholesale business: Drugs may only be sold in the presence of a legal pharmacist with one year of experience dealing with drugs. Also, it may be a person who clears the S.S.L.C and has four years of experience by the Department of Drug Control.
• Retail: During business hours, a registered pharmacist must be present when selling pharmaceuticals.

 

Online Medical Store Legal Procedures:

Since individuals are increasingly acquiring products online, online medical stores have become the most popular method of purchasing medications. Consumers can obtain even the rarest of rare pharmaceuticals with convenience and anonymity. 

Here are some legal practices for an online medical store:

1. Except for over-the-counter medications, all pharmaceuticals require a prescription.
2. The contact information for online medical retailers must be from the state of the drug licence.
3. Verify and authenticate the drugs that have been supplied.

The Indian law surrounding the shipping of medications from one state to another, as well as the provision of demanding money before the delivery of drugs, is unclear.