New Regulations for Mobile Trade Points: 50,000 Dram Fee and Up to 500,000 Dram Fine
Starting this year, mobile trade points will operate only with the permission of the city municipality. This requirement is stipulated by law, while the specific locations and criteria for mobile trade are defined by a council decision.
“For more than 10 years, the law allowed trade to be conducted through mobile trade points, but there was no regulation in place. With the amendment of the law, the council has been granted the authority to determine how these operations should be conducted,” says Hovik Safaryan, head of the Trade and Services Department of Yerevan Municipality.
The city has designated and equipped 52 locations for mobile trade operations. To commence activities, entrepreneurs must submit a paper or electronic application to the municipality, attaching the necessary documents:
- Payment receipt for the local fee (50,000 dram),
- Copy of the applicant's state registry certificate,
- Copy of the vehicle registration certificate,
- Photos of the mobile trade point,
- Copy of the identification of the executive body head of the legal entity or the individual entrepreneur,
- If you do not yet have a mobile trade vehicle, you must first submit a sketch version to the municipality and receive a conclusion regarding its external appearance, which must also be attached to the application.
“If the citizen already has a ready mobile trade point that has advertisements posted, then when applying, the application will also be assigned to the external design and advertising department. In other words, the process occurs simultaneously,” notes Hovik Safaryan.
After submitting the application, the mobile trade point must undergo inspection within 6 days. The permit will be granted or denied within 4 days afterward.
“Mobile trade points must be equipped with necessary devices for product storage and retail trade, as well as the provision of services. Additionally, vehicles and/or their trailers can be up to 10 meters long, 2.5 meters wide, and 3 meters high. They must also be equipped with an independent electricity generation system,” emphasizes Eduard Amiraghyan, deputy head of the Trade and Services Department.
Upon receiving the permit, a location must be selected. Reserving a spot can only be done electronically. For this purpose, the platform arevtur.yerevan.am has been launched. Here, you can also find comprehensive information regarding the permitting process.
“When submitting the application and providing an email address, citizens receive a reply letter, along with a password to access the system, select, and reserve a spot. The available spots will be marked in green and red. By choosing a green spot, you can reserve it for the necessary number of days. Since the permit is granted for a monthly fee, subsequent extension payments can also be made online,” says Izabella Nikoghosyan, head of the Systems Implementation and Support Division at the Yerevan Center for Management Technologies.
“We have streamlined the permit granting process to minimize wait times, so citizens spend less time and interact with us only once. Entrepreneurs should focus more on developing their businesses,” comments Hovik Safaryan.
The locations have been allocated primarily near universities, parks, and transport hubs. Reservations in the center are made for 1 day, in Arabkir for 2 days, and up to 3 days in other administrative districts. Thus, equal competitive conditions will be ensured for all entrepreneurs. Cancellations of reservations are not allowed. Mobile trade points will operate for a maximum of 14 hours a day until 11:00 PM. Entrepreneurs who fail to comply with the regulations or operate without a permit will be fined.
“For operating without a permit or violating the conditions, the first-time fine is set at 100,000 dram, and for repeat offenses, it is 500,000 dram. Towing costs will also be added to the fines,” emphasizes the head of the Trade and Services Department of Yerevan Municipality.
Legislative changes have been made taking into account the observations of entrepreneurs. The city authorities will continue to collaborate with them.