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Nowadays, many individuals are passionate about becoming internet service providers (ISPs). ISPs directly impact how customers access the internet as they offer the potential for faster speeds, better customer service and innovative solutions in the telecom sector.
Have you ever dreamt of becoming an internet service provider? If so, then we are here to help you turn your dream into a reality. In this article, we will discuss the legal and regulatory requirements for operating an ISP business in India.
The legal and regulatory requirements for establishing an ISP business in India are as follows:
You must register a company under the Companies Act 2013 to operate as an internet service provider in India. You can establish the ISP company as a private limited company, public limited company, etc.
The Department of Telecommunications does not grant the ISP licenses to individuals; it issues them only to businesses in India. To register a company, one must file a company registration form with the Registrar of Companies (ROC) and submit all necessary documents.
The draft Articles of Association and Memorandum of Association of the company must mention the intention to operate as an internet service provider business. After ROC approves the registration form, it will issue a certificate of incorporation to the business.
No business in India can provide internet services unless they have secured an ISP registration license. This license is issued by the Department of Telecommunications. There are 2 ISP certificate categories: A category, B category and C category.
The A category ISP license offers maximum coverage, i.e., at national level. B category internet service provider license offers state-level coverage. The final category i.e., C category of the ISP license provides the least coverage, i.e., in a secondary switching area. A category is the most expensive, followed by B category and C category.
To obtain an ISP registration certificate from the Department of Telecommunications (DOT), the applicant must ensure submission of all the required documents such as Certificate of Company Registration, Registered Address Proof, Articles of Association, Memorandum of Association, Fee Receipt, Power of Attorney by Resolution of Board of Directors, Details of Shareholders, etc.
To operate as an internet service provider, you need to obtain permission from the local authorities, such as the municipal corporation or the panchayat, to set up infrastructure like cables and towers. By getting authorization from local authorities, you will ensure that your infrastructure is built in a safe way and meets all the local needs.
You must enter into an agreement with the landlord to ensure you have the authorization to use their property for conducting ISP business. If you plan to set up infrastructure on rented property, then you must obtain your landlord’s approval beforehand.
The ISP license remains valid for a period of up to 20 years. It must be renewed in a timely manner to ensure continuous, smooth operations.
Since you will be investing a good amount of money in your ISP business because of license application, entry fees, business rent and infrastructure, it is recommended to get insurance coverage.
By getting insurance coverage for your internet service provider business, you can protect your assets.
Every internet service provider business in India must comply with various laws such as the Telecommunications Act 2023, Information Technology Act 2000, etc.
Additionally, they must also adhere to the rules and regulations of the Telecom Regulatory Authority of India (TRAI) and the Department of Telecommunications (DOT).
An internet service provider is one of the top 10 business ideas in 2025. If you want to provide internet services to businesses or the public, you must secure an ISP license from the Department of Telecommunications (DOT). Without this license, you cannot provide internet services in India. Apart from this license, there are also many other legal and regulatory requirements which you must comply with, such as company registration with ROC, timely ISP certificate renewal, authorization from local authorities/landlord, etc.
For assistance in securing an ISP license, reach out to Registrationwala. We’ll help you obtain this license from DOT without any hassle.
Hey there, I'm Dushyant Sharma. With the extensive knowledge I've gained in past 8 years, I have been creating content on various subjects such as banking, insurance, telecom, and all the important registration and licensing processes for various companies. I'm here to help everyone with my expertise in these areas through my articles.
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