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7 Steps to become infrastructure provider in India

Without a cell tower by infrastructure provider, you can’t imagine wireless internet. Similarly, try to imagine telecom wires across the street without Right of Way or high speed internet without dark fibre.

You can’t, can you?

The infrastructure provider, the one responsible for elevating the telecom companies so that they can operate – provide the telecom services – is therefore another type of business you can’t ignore.

To become an infrastructure provider, you need to obtain the permission from the Department of Telecom, which comes in the form of Ip1 License.  Here are the seven steps that you can follow to do so.

Step 1: Decide the infrastructure do you want to provide

There is a gamut of infrastructure – passive telecom resources – that you can provide with the IP1 License. Before we proceed, understand what a passive telecom resource is:

A passive telecom resource is a non-electric infrastructure that enables telecom companies to operate within a proper and legal environment without any issues. Read More : Prepaid Wallet License

There are four major types of resources that come under this passive category:

  1. Right of Way
  2. Dark Fibre
  3. Duct Space
  4. Cell Towers

Right of way is a legal resource that allows telecom companies to lay their wires across the streets, above the roads and other places without any legal repercussions. Dark Fibre is an enabler of high speed internet. Duct space provides heat ventilation facilities and finally, the cell towers make wireless connectivity possible.

Those are the four choices you have when it comes to deciding what type of resource do you want to provide. Each of them require wildly different technical and legal background and you have to remember that you’re merely a provider of these resources, not the seller.

It means that whatever you decide, you can either rent or lease these resources to telecom companies and OSPs.

Step 2: Incorporate your company

After making the decision regarding the type of infrastructure you want to provide and setting your finances and technical & legal expertise around it, you can incorporate your company.

Setting up a company is a fairly easy process if you have access to the right business consultant to aid you. Once you’ve incorporated your company, you’d have access to the following documents:

  1. Certificate of incorporation
  2. Memorandum of Association
  3. Articles of Association

You’d require the above three documents, for they are paramount for the success of the subsequent steps.

Step 3: draft a write up of the nature of business

Department of Telecommunication is only willing to issue the IP license to those who are confident enough to talk about their services. For that reason, they want the applicants to draft a small description of the business. That description forms the basis on which the DOT issues the license to become an infrastructure provider.

You can tap into the Memorandum of Association and draft the description of your business. While the MOA is filled to the brim with legal jargon, you have to keep it simple in your business description.

Step 4: Fill the Online application form

After you’ve drafted a simple-worded description of your business, you’ve gathered nearly all the documents you need to get started. At this stage, you can proceed with application filing. The process is as follows:

  1. Go to the official DOT website.
  2. From there, you’ll be redirected to the saralsanchar portal.
  3. Search in the top menus for the term “Infrastructure provider”
  4. Hovering your mouse on that option shall open a submenu that will lead to the IP1 license application filing module.
  5. Read the application details thoroughly before entering the details.

Once you fill the application form, you’ll receive the prompt to upload the documents.

Step 5: Complete your collection of the documents

Till now, you’d have accumulated four documents, namely, Certificate of Incorporation, Memorandum of Association, Articles of Association and description of business. Attach the following documents to it to complete the collection:

  1. List of directors of the company
  2. List of shareholders of the company
  3. Company’s net worth certificate
  4. Audited balance sheets of the company.

Upload the above documents as you  see the prompt for doing so. Read More: Peer to Peer Lending License

Step 6: Monitor the processing of your application

After your application lands on DOT’s table, it will scrutinize it thoroughly. It will assess every detail you’ve entered and every document you’ve provided. If both of them are up to the mark as per the DOT, you’d receive the application.

However, chances of that to happen are quite slim. It’s more likely that your application would receive some kind of objection. When that happens, make sure that you’ve a DOT consultant on a speed dial. They’ll assess every nuance of your application and make the necessary changes to remove its objection status.

Step 7: Grant of the IP1 License

After you’ve removed every mistake that made DOT object to your application, it will issue you the IP1 license.

It’s an agreement that you’d have to sign with the telecom service provider to whom you’d rent or lease the essential passive infrastructure.

Once you’ve signed the agreement, submit the copy of it to the Department of Telecommunication.

It will complete the process and make you the infrastructure provider in India.

Conclusion

So, now you understand that knowing the answer to how to get IP1 license in India is the key to you becoming Infrastructure provider. If you wish to know more about this business or want help taking the steps we have discussed, contact Registrationwala. 

How many steps do you think it takes to get IP1 license in India? You only need to take 7 steps to become infrastructure provider in India, the same goes for the Ip1 license. Read this blog to know more.

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