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Shops and Establishment License
The Shop and Establishment Act registration controls various terms of employment such as payment of wages, work hours, the interval for rest, meals, holidays, leave, and other situations of work of individuals working in various establishments. This registration is necessary for each business place of work excluding those who already come under the Factories Act 1948.
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Overview of Shops and Establishment License
The Shop and Establishment Act registration controls various terms of employment such as payment of wages, work hours, the interval for rest, meals, holidays, leave, and other situations of work of individuals working in various establishments. This registration is necessary for each business place of work excluding those who already come under the Factories Act 1948.
Advantages of Shops and Establishment License
| Legal Entity | It acts as a legal entity proof of Shops and other commercial establishments which gives a right for doing business in that particular area |
| Business Bank account | It act as proof of legal entity proof for opening a current bank account |
| Smooth inspection | As state government and local municipality carry out periodic inspection visits for monitoring the proper operation of shop and establishment along with license as well |
| Compliance | Shop and Establishment Registration Certificate does not require any compliance. One-time |
| Online Registration | Online Registration under Shop and Establishment makes whole process hassle-free and time-efficient |
Registration Process of Shops and Establishment License
Step 1: Login to the Labour Department Website
Registration process is Online in many states and in some state semi online. Every state has Labour Department Website and online Registration form is available thereon with instructions.
Step 2: Download the Application Form
Firstly, download the application form for the registration from the official website of the respective state in which the said shop or establishment is located.
Step 3: Fill in all the Required Details
Name of the Proposed Shop and Establishment
The Name and Details of the concerned employer
Name and Details of all the Employees working at that time
Address proof of the Registered Establishment together with the NOC (No-Objection Certificate) or the Rent Agreement.
Step 4: Uploading documents
Upload required Documents online after fill up the form. In some states, documents along with Printout of the application form needs to submitted physically.
Step 5: Inspection
The Labour Department examines your application. Sometimes, In order to verify the particulars you filled up and documents attached, an Inspector is appointed to carry out inspection of your business premises.
Step 6: Approval & Issue of License
After Examination of your application and/or Inspection of business premises. Authority approves your application and grant a License with validity (valid for 1 year with renewal every year)
Documents Required of Shops and Establishment License
- Aadhar Card / Voter ID/ Driving License
- Photo of Shop with owner
- Rent Agreement (Electricity bill if rented)
- Shop or Business Address Proof
- PAN Card
- Payment Challan
Additional Business licenses necessary to start a business(Certificate of Incorporation (COI), Memorandum of Association(MOA), Articles of Association(AOA), Limited Liability Agreement(LLP)
FAQ's on Shops and Establishment License
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