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Features & Benefits of Shop Act Registration

  • Legal Compliance
    It ensures your business complies with local labor laws, protecting you from legal challenges.

  • Business Legitimacy
    Registering your establishment enhances your credibility, creating trust among customers, suppliers, and employees.

  • Access to Bank Loans
    With a Shop Act registration certificate, it becomes easier to open a current bank account in the business's name and apply for business loans.

  • Hiring Employees
    Registering under the Shop Act allows you to legally hire employees and give them benefits according to the labor law.

  • Tax Registration
    Many states require Shop Act registration before allowing other business-related registrations such as GST.

  • Regulated Working Conditions
    The Shop Act sets guidelines for proper working conditions, working hours, and overtime pay to protect employees' rights.

  • Holiday and Leave Policy
    It ensures employees are granted sufficient holidays, leaves, and rest days according to local labor laws.

  • Fair Wage Practices
    The Shop Act mandates fair wages and payment schedules, protecting employees from exploitation.

  • Records Maintenance
    The employer must maintain registers of attendance, salary payments, and leave records as per the law.

Shop Act Registration Process

At Right Advisorz, we simplify the registration process for you. Here’s the step-by-step procedure:

  • Consultation & Document Collection
    We provide a free consultation to understand your business requirements and collect all the necessary documents.

  • Application Submission
    We prepare the application form and submit it to the local Municipal Corporation or Labor Department, depending on your state’s regulations.

  • Inspection (if applicable)
    Some states may conduct an inspection of the business premises before issuing the license. We will coordinate with local authorities to ensure the process goes smoothly.

  • Payment of Fees
    Once the inspection is complete, the applicable government fees will be paid, and we will provide you with the receipt.

  • Issuance of Shop Act License
    Upon successful submission and approval, you will receive the Shop Act License Certificate within a few days.

Registration Form

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Shop Act Registration

The Shop and Establishment Act is a state-based law that governs the proper functioning of businesses, particularly shops and commercial establishments, such as retail outlets, offices, and warehouses. If you're starting a business in India, registering under the Shop Act is mandatory to comply with local labor laws and regulations. At Right Advisorz, we guide you through the Shop Act Registration process, ensuring smooth compliance with state regulations.

Consult with an Expert

Overview Shop Act Registration

Shop Act Registration, also known as the Gumasta License, is a legal obligation for businesses to operate a shop, restaurant, or commercial establishment in India. It regulates conditions of work, employee rights, and sets norms for the working hours, wages, and holidays for employees in these businesses.

Who Needs Shop Act Registration?

Any business establishment engaged in:

  • Retail Trade (Shops, Showrooms, Boutiques, Supermarkets)

  • Service Establishments (IT Companies, Coaching Institutes, Consultancy Firms, Beauty Salons)

  • Hotels and Restaurants

  • Warehouses, Storerooms, or Godowns

  • Entertainment Establishments (Theaters, Amusement Parks)

Documents Required for Shop Act Registration

For a seamless registration process, the following documents are needed:

  1. Identity Proof

    • PAN Card or Aadhaar Card of the business owner.

  2. Address Proof

    • Electricity bill, rent agreement, or property tax receipt of the business premises.

  3. Proof of Business Name

    • If the business operates under a trade name, the certificate of incorporation or business registration document should be submitted.

  4. Establishment Address Proof

    • Lease deed or rent agreement (if rented), or property ownership document (if owned).

  5. Employee Details

    • List of employees, their employment details, and salaries.

  6. Partnership Deed (for partnership firms)

    • For businesses operating as a partnership, a copy of the partnership deed should be provided.

  7. Photographs

    • Passport-size photographs of the business owner.

  8. NOC from the Property Owner

    • If the property is rented, the landlord must provide a No Objection Certificate (NOC) stating that they have no objections to the business being run at the premises.

  9. GST Registration (if applicable)

    • If the business is already GST registered, a copy of the GST registration certificate may be required.

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