ILD License by DOT: Everything that you need know

ILD License is an authorization issued by the Department of telecommunication to those companies who seek to provide telecom services over an International Long Distance.

The services that you can provide once you acquire this authorization consist of voice, data, fax, message, video and multimedia transfer services. However, obtaining this license is not a simple matter. There are:

1. Eligibility criteria that you need to meet
2. Documents that you need to submit, and
3. Procedure that you need to follow.

This article sheds a light on each of these aforementioned aspects. Additionally, when you scroll further down, you’ll know how can make the procedure easier for yourself.

What is the need of ILD license?

The need of International Long Distance service steps from the fact that in this diverse world with a diverse topography, not everywhere is reachable. To reach those areas, we are in need of a uniform network that can connect even the most remotest of locations with the internet. Establishing such a network requires nuanced telecom equipment and a nuanced service, both of which requires a special authorization from the Department of Telecommunication. That authorization is known as the International Long Distance License.

What is the eligibility criteria to obtain the International Long Distance License?

To become an International Long Distance Operator, you must meet the mandatory eligibility criteria mentioned below:

1. You must have a company: Department of Telecommunication only entertains the applications from private limited or public limited companies. Thus, to apply for the license, you need to first incorporate your business as a private limited company.
2. You must follow the FDI policy: If your company is partly owned by a foreign element, you must adhere to the FDI policy pertaining to it. If the foreign ownership of your company exceeds 49%, you need to obtain FDI approval as per the FDI act.
3. You must meet the entry fees requirements: The entry fee required for the International Long Distance License is INR 2.5 Crore. It’s a non-refundable amount. Thus, ensure that your financial backbone is sturdy enough to bear this cost.
4. You must adhere to all the specific security conditions: The DOT has setup specific security conditions to prevent any kind of compromise of personal information of the subscribers of ILD services. Only apply for the license if you can meet these conditions.

What is the procedure to obtain the ILD license?

To become an International Long Distance Provider, you must follow the steps given below:

1. First, you need to furnish the required documents: Your first task is to furnish the required documents. There are many of them and therefore, you need to precise when putting them together and vigilant when certifying them with the aid of appropriate authorities.
2. File the application form: having gathered all the required documents, you need to scan them and store them in your system. Afterwards, you need to head to the saralsanchar portal and till the ILD application form. Upon filing the application form, you’ll receive a prompt to upload the supporting documents. Do so and deposit the application processing fee.
3. Wait as the application is assessed by the DOT: The department of telecommunication will assess your application form. If it doesn’t encounter any issues during your application’s analysis, you’ll receive a letter of intent.
4. Fulfil the requirements mentioned in the letter of intent: There are three requirements you need to fulfil as mentioned in the letter of intent.
   2. Performance Bank Guarantee: INR 2.5 Crore
   3. Financial Bank Guarantee: INR 5 Crore
   4. Entry fee: INR 2.5 Crore.
5. Obtain the ILD License: After you’ve deposited bank guarantees and the entry fees, you’ll obtain the ILD license.

Read Other Useful License: Corporate Agent License

Documents required to become International Long Distance Operator

Following are the documents required for International Long Distance License:

1. Certificate of incorporation of your company
2. Memorandum of Association
3. Articles of Association
4. Complete business plan
5. Details of the funding arrangement
6. DD or pay order of the application processing fee
7. List of directors and shareholders of the company
8. In case there is foreign investment in your company, certified copy of the agreement between your company and the foreign investor
9. Board registration authorizing the signatory of the application form.

Conclusion

International Long Distance License is a business license that not many can get their hands on because of the obvious financial requirements. If you’re someone who is capable of handling such a business, you must consult with Registrationwala. We can provide you complete assistance in this regard. 

Here is everything that you need to know about ILD license by DOT. Read this blog if you want to become an International Long Distance Operator.