OFFICE NO. 530, CLOUD 9 TOWER, SECTOR-1, VAISHALI, GHAZIABAD, UP - 201010
+91 8368090143, 9716881410, 8860214999

Shops and Establishment Registration

The Shops and Establishment Act is a state-specific law which may differ from state to state. The object is to govern and improve the working conditions and rights of the workers, like wage payments, leaves, holidays & work hours, etc.

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Required Documents for Registration
SHOPS & ESTABLISHMENT ACT REGISTRATION

The registration under shops and establishment act is regulated by the labour department of respective state, and it is mandatory for all business entities which do not fall within the ambit or applicability of The Factories Act, 1948. Even cases where the employees are working from home, this registration is necessary to obtain. Most of the state governments have passed their own law through the legislature assembly or have adopted some other state government legislation on shops and establishment. We are providing professional services in the matter of registration of the establishment and compliance with various provisions which may be required under respective Shops and Establishment Act.

All states have their own Shop and Establishment Acts but adhere to the same general provisions. State Labour Departments regulate Shop Act. According to this shop act registration, licenses are issued by the respective states. Therefore they differ slightly from state to state. The shop and establishment registration Act regulates all shops and commercial establishments within the state.

As defined by the Shop and Establishment Act, a shop is where goods are sold or provided, whether retail or wholesale or where services are rendered. Commercial establishments generally employ people for office work, such as commercial, financial, trading, or insurance companies. Offices, godowns, storerooms, and warehouses are examples of commercial establishments. The term includes hotels, boarding houses, restaurants, cafes, theatres, and other public entertainment venues. However, factories and industries are not covered by this shop act registration. They are governed by the Factories Act 1948 and the Industries (Development and Regulation) Act 1951.

Why Was the Shop Act License Introduced?
  • To Impose Rules Based On Local Culture and empower states: It expressly allows states to frame their regulations and rules pertaining to the labour workforce engaged in such commercial establishments and make necessary exceptions
  • To Convert Unorganised Sector Into Organised: Government aims to convert the unorganised sector into an organised industry by bringing in rules and regulations
  • Mandates registration: Business registration is mandatory for entrepreneurs under the Shop and Establishment Act, which is the most significant push towards organising and monitoring this sector. With more and more small shops and commercial establishments registered, the government will be able to provide them with better assistance and resources
  • To Regulate Wages Of The Employees: Before, any shop or commercial establishment could fix any salary/wage for its employees, and there was no way to regulate it. Daily wagers and labourers received substantially less money, and business owners weren't held accountable. Shops and Establishment Certificate holders must now comply with government rules regarding wages and provide the care each employee deserves
  • Stop Child Labour: Among the most important features of the Shop and Establishment Act is making child labour illegal and punishable. Child labour was common before opening shop act license, which destroyed lives. Government regulations and rules regarding shop and establishment license have made this illegal
  • Healthy Working Conditions: Regardless of the condition of the business, the shop act registration requires business owners to maintain a healthy working environment and provide washrooms, baby care rooms, etc.
Benefits of Shop and Establishment License
  • Legal Right to Conduct Business

Obtaining a shop and establishment license and providing evidence of business, such as a partnership firm or sole proprietorship, gives the business owner the legal right to operate within the Act's jurisdiction. Law enforcement officials cannot harass and bother them.

  • Ease of Opening Business Bank Account

According to RBI regulations, every business must have a separate business account to manage its money. Under the Shops and Establishments Act, only a certificate can be used to create this business account.

  • Hassle-free Inspections

Shop and Establishment License provide access to government schemes designed to promote small businesses. Businesses registered under the shop act can also access low-interest bank loans, financial plans, and programmes.

  • Availing Government Benefits

Shop Act License provide access to government schemes designed to promote small businesses. Businesses registered under the shop and establishment legislation can also access low-interest bank loans, financial plans, and programmes.

  • Encourage Expansion

By giving a legal entity status, a business owner who is 100% committed to following the shop act registration compliances will be able to strengthen the entity's market position, allowing the business owner to reach out to newer consumers.

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Feel free to get in touch, we are always available for you. Don’t hesitate to either call us, text us, chat with us, or contact us via form on the left side. We exist to serve you. Please do let us know your concern..

Contact US

Feel free to get in touch, we are always available for you. Don’t hesitate to either call us, text us, chat with us, or contact us via form on the left side. We exist to serve you. Please do let us know your concern..

Location:

OFFICE NO. 530, CLOUD 9 TOWER, SECTOR-1, VAISHALI, GHAZIABAD, UP - 201010

Call:

+91 8368090143, 9716881410, 8860214999

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