Registration under Shops and Establishments

One of the most important regulations to which most businesses in India are subject to is the Shop and Establishment Act, enacted by every state in India. The Act regulates all the shops and commercial establishments operating within the state. This regulation is designed to regulate payment of wages, work hours, leave, holidays, terms of service and other work conditions.

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Shops and establishments are defined in the respective state Acts and factories are not covered by the act, as factories are regulated by Factories Act, 1948.

All establishments and business, including the people working and maintaining a business from home, must obtain a Shop and Establishment Registration Certificate or Shop License under the Act.

Types of Required Documents

  • Shop or Business Establishment address proof
  • ID proofs of the proprietor/partners/directors
  • PAN Card
  • Details of the employees
  • Additional business licenses necessary for starting the business, if any

The applicant must display the registration certificate at the shop or establishment. The certificate shall be renewed subsequently before the expiry of its validity period.

In case of any change with respect to any information given during application, the same has to be notified to the Inspector’s office within 15 days after the change has taken place.