Starting an advertising agency in Delhi can offer opportunities to work with startups, established companies, local businesses and growing digital brands. An agency may provide creative advertising, media planning, digital campaigns, social media advertising, branding, influencer campaigns or other promotional services.
There is no single universal “Advertising Agency Licence” required merely to operate a normal advertising agency. However, the agency must comply with applicable business, tax, advertising, consumer-protection, intellectual-property, data-protection and employment requirements. Additional permissions may apply depending on the advertising medium and client sector.
At Remind Legal LLP, we assist businesses with registrations, documentation and regulatory compliance required for setting up an advertising agency in Delhi.
Build your advertising agency on the right legal foundation with professional registration and compliance support from Remind Legal LLP.
Advertising agencies do more than create promotional content. They may manage or handle the client claims, copyrighted material, customer data, media budgets, endorsements and public advertisements.
The CCPA Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022 form an important part of the consumer-protection framework governing advertising in India.
Proper compliance can help an agency manage contractual responsibilities, protect intellectual property and reduce regulatory and client-related risks.
Step 1: Choose Business Structure
Choose an appropriate and suitable legal structure based on the ownership, size and future plans of the advertising agency.
Common options include: -
A proprietorship may be suitable for an individual starting a small agency, while an LLP or private limited company may be considered where there are multiple promoters, larger clients or expansion plans.
Step 2: Complete PAN, TAN & Basic Business Registration
Obtain PAN for the proprietor or business entity, as applicable, for the taxation and various business-related transactions.
If you establish an LLP or company, complete the applicable incorporation process and obtain the relevant incorporation documents.
TAN, Where Applicable
TAN is not required merely because you operate an advertising agency. It becomes applicable where the business is required to deduct or collect tax at source (TDS/TCS) under the various applicable tax provisions.
Step 3: Establish a Business Address / Principal Place of Business
Establish an appropriate business address for registrations, correspondence and maintaining business records.
Depending on the agency's operating model, this may be a suitable office, co-working space, owned premises or another permissible business address.
The agency should maintain appropriate ownership, rent/lease or other address documents required for the registrations it obtains.
Step 4: Open a Current Bank Account
Open a current bank account in the name of the advertising agency or registered entity.
A dedicated business account helps maintain records of client payments, employee payments, vendor expenses, media expenditure and other business transactions.
Banks may require PAN, incorporation/business-registration documents, address proof and applicable KYC documents.
Step 5: Obtain GST Registration, Where Applicable
An advertising agency should determine whether the GST Registration is required based on its aggregate turnover and various other applicable provisions of GST law.
Section 22 of the CGST Act provides the general registration threshold framework, while compulsory-registration provisions and various other exceptions must also be considered according to the agency's activities.
Once registered, the agency should comply with applicable invoicing, return-filing, tax-payment and record-keeping requirements.
Step 6: Follow Advertising & Consumer Protection Compliance
An advertising agency should ensure that advertisements and campaigns comply with applicable consumer-protection requirements.
The CCPA's Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022 apply across advertising media and advertisements for products or services whose advertising is prohibited under applicable law cannot be promoted merely by changing the medium used.
Agencies should pay attention to: -
The agency should also obtain appropriate client approval for advertising claims and supporting material before publication.
Step 7: Follow Copyright & Intellectual Property Compliance
Advertising agencies regularly use intellectual property belonging to clients, creators and third parties.
This may include: -
The agency should obtain appropriate ownership rights, licences or permissions before using third-party material.
Agreements with employees, freelancers, photographers, designers and other creators should also clearly address ownership and permitted use of creative work.
Step 8: Follow Data Protection & Privacy Compliance
Advertising agencies may process personal data when managing leads, customer databases, digital campaigns, audience lists, websites or other marketing activities for clients.
The Digital Personal Data Protection Rules, 2025 were notified on 14 November 2025. Their implementation framework includes phased commencement, so agencies should assess the DPDP requirements that are in force and applicable to their activities.
Depending on the agency's role and activities, appropriate measures may include: -
An agency should also evaluate that whether it is processing the personal data for its own purposes or on behalf of a client, because responsibilities can differ.
Step 9: Prepare Client Contracts & Advertising Agreements
A well-drafted agreement can define the relationship between an advertising agency and its clients.
The agreement may cover: -
Clear contracts are particularly important where an agency manages substantial advertising expenditure or creates intellectual property for clients.
Step 10: Comply with Applicable Labour Laws
Advertising agencies employing the designers, copywriters, account managers, media planners, digital marketers and other staff should comply with the applicable employment requirements.
These may concern: -
For Delhi, the Labour Department states that registration under the Delhi Shops and Establishments Act has been kept in abeyance since 1989. The Act's substantive employment-condition provisions, however, continue to be relevant.
Accordingly, Shops & Establishments Registration should not be presented as a standard mandatory setup registration for an advertising agency in Delhi.
Step 11: Complete EPF & ESI Compliance, Where Applicable
EPF and ESI requirements should be assessed according to establishment coverage, workforce, wage criteria and other applicable statutory conditions.
These registrations should not be treated as automatically mandatory merely because an advertising agency has been established.
As the agency expands its workforce, the applicable social-security requirements should be reviewed.
Step 12: Obtain Udyam Registration – Recommended for Eligible MSMEs
An eligible advertising agency may consider Udyam Registration under the MSME framework.
Udyam Registration is not a compulsory advertising-agency licence. However, eligible micro, small and medium enterprises may consider registration to access applicable MSME benefits and schemes.
Step 13: Obtain Trademark Registration – Optional but Advisable
Advertising is a brand-focused industry, making protection of the agency's own identity particularly useful.
Trademark Registration is optional but advisable for protecting the agency's: -
Registration can help protect the agency's brand against confusingly similar use by other businesses.
The agency may need additional permissions or compliance depending on the services and advertising media it uses.
Outdoor Advertising & Hoarding Permissions
If the agency undertakes outdoor advertising, such as hoardings or billboards, applicable MCD registration and advertisement permissions may be required depending on the activity and location.
These requirements generally do not apply to agencies providing only digital, creative or social-media advertising services.
Influencer & Endorsement Compliance
Agencies managing influencer campaigns should ensure that promotional relationships are appropriately disclosed and that endorsements comply with applicable advertising and consumer-protection requirements.
Sector-Specific Advertising Rules
Additional restrictions may apply when advertising products or services in regulated sectors, including healthcare, food, financial services, real estate and other specially regulated categories.
An agency should therefore review the rules applicable to the client's product or service, rather than assuming that general advertising rules are sufficient.
Music, Image & Stock Content Licensing
Appropriate licences or permissions should be obtained where campaigns use copyrighted music, photographs, footage, stock assets or other third-party content.
Event & Promotional Permissions
Where an agency conducts physical promotional events, roadshows or other on-ground campaigns, venue, municipal, police, fire, noise or other permissions may become relevant depending on the nature and location of the activity.
Documents Required
The exact documents depend on the business structure and registrations required.
Basic Documents
Business Registration Documents
Depending on the structure: -
Operational Documents
Depending on the agency's activities: -
Delhi provides access to businesses across sectors such as retail, technology, professional services, hospitality, education, real estate and consumer products.
An advertising agency can also operate through a flexible service model and offer: -
Agencies can begin with specialised services and expand their offerings as their client base grows.
Estimated Timeline
The overall timeline depends on the type of registrations required, completeness of documentation and processing time taken by the respective government authorities.
Since different approvals are issued by separate departments, the time required may vary depending on the nature and scale of your advertising agency.
Government Fees
Government fees vary depending on the applicable registration, licence category and regulations applicable at the time of application.
Professional fees depend on the scope of services required and the specific compliance requirements of your advertising agency.
An advertising agency may need to address business registration, taxation, advertising rules, contracts, intellectual property and data protection while also identifying additional permissions required for specialised campaigns.
Remind Legal LLP can assist in identifying the applicable requirements and completing the relevant business registrations and regulatory documentation.
Our Services Include: -
Ready to establish your advertising agency in Delhi? Remind Legal LLP can help you navigate business registration, contracts and applicable advertising compliance.