ONLINE SHOP AND ESTABLISHMENT REGISTRATION

INTRODUCTION:

Each province has its own Shop and Establishment Act. Though, the general provisions of the Act are the same in all provinces. The Shop and Establishment Act is administered by the Department of Labour in the relevant provinces. The law regulates all shops and commercial centers operating under the government. Each province issues registration under the said Act, so the registration differs from one state to another.

All the shops are generally defined under the Act as any areas or premises where the sale of goods takes place, either by retail or wholesale or where services are provided to the customers. The term shop includes offices, godowns, storerooms, and warehouses, which are used for connection with a trade or commercial purposes.

On the other hand, establishments are defined as commercial, banking, trading, or the establishment of insurance or administrative services where people are employed to work in an office. The commercial establishment includes hotel or lodging or any other accommodations, cafe bistro, restaurants, other eateries, cinemas or theatres, and/or any other public entertainment or recreation area. 

Stores and commercial centers incorporated under this Act must apply for authorization for registration under the respective state Act. All institutions and businesses, including persons working and organizing a home business, must obtain a Shop and Establishment Registration Certificate or a Shop License or Certificate under this Act.

All those proprietors or owners who conduct business from homes outside the store or premises or having no physical store or premises are required to obtain this Certificate. Owners of e-commerce business or online business, or online store and establishments must register under this Act to obtain the said Certificate. Every shop and foundation should enlist itself within 30 days of commencing under this act irrespective of the business being fully functional or not. However, industries and factories are not covered under this Act and are governed by the Factories Act, 1948 and the Industries (Development and Regulation) Act 1951. 

A store certificate or license serves the purpose of basic business registration or license. This Certificate is intended to obtain many other business licenses and registrations. It serves as proof of the incorporation of a trading establishment or shops. It is also helpful even when a business owner wants to get a loan or create a current bank account for the purpose of business. While opening a current bank account, most banks will ask for the production of this Certificate.

Shops or establishments promote the employment of all those persons who work in the said company or the management. 

For more information, please contact us on info@trijuris.com or call us Mb. No. 85100 58386 or 9310 717274.

The Shop and Establishment Act regulates the following things-

  1. Working hours, annual leave, weekly holidays of the employees.
  2. Payment of salary and compensation.
  3. Prohibition of child labour.
  4. Prohibition of employment of women and young people in night shift work.
  5. Enforcement and Examination.
  6. Period of rest.
  7. Opening and closing hours.
  8. Record keeping by the employers of the shop or establishment.
  9. Dismissal provision etc.

DOCUMENTS REQUIRED FOR REGISTRATION:

For obtaining a registration certificate of a shop and establishment, the essential documents are as follows-

  1. ID proof of the proprietor or owner.
  2. Address proof of the said shop or business establishment.
  3. Owner’s PAN card.
  4. Details of the employees and managers working under the said shop or establishment.
  5. Challan for Payment.
  6. If any additional business licenses are required to start a business.

PROCEDURE FOR OBTAINING REGISTRATION UNDER THE ACT:

The process for obtaining a Shop and Establishment Registration Certificate varies from state to state. It can be done offline or online.

  1. The first and foremost step to obtain an online registration certificate is that the store owner or business owner must log in to the website of the said states Labour Department.
  2. The proprietor or owner must fill out the application form for registration under the Shop and Establishment Act.
  3. After which, the proprietor or owner should upload all the necessary documents and pay the prescribed fee for the purpose of registration. In every state, the registration fee is not the same, it varies. Once the registration form has been approved, the registration certificate will be issued online to the owner or business proprietor.
  4. To get the receipt of an offline registration certificate, the application for registration must be completed and submitted to the Chief Inspector of the area concerned, along with the prescribed fees for registration. After inspection, the Chief Inspector will issue a registration certificate to the owner or proprietor after being satisfied with the genuineness of the application.

The application form for registration contains information regarding the name of the employer and the institution, address, and category of institution, number of employees, and other relevant details as required. The application for registration needs to be renewed before the expiration of the registration period. The validity of a Shop and Establishment Act Certificate varies from state to state. Some states offer lifelong valid certificates, while others claim that the Certificate is valid for one to five years.

In Delhi, there are no documents required for online shop and establishment registration under shop and establishment Act, you just need to fill and file a small “FORM A” through below link,

https://labourcis.nic.in/FSE01_Registration.asp

Wherein details of Employer/company, details of establishment, mobile no. email id and name of the shop, date of commencement of business shall be asked, it’s a simple form and certificate can be obtained immediately after filling of all the required details. Thereafter, please take the print out of the certificate and affixed the same at your premises. No documents are required to be uploaded.

For more information, please contact us on info@trijuris.com or call us Mb. No. 85100 58386 or 9310 717274.

PROCEDURE FOR CANCELLATION OF THE REGISTRATION:

In case of cancellation of the Shop and Establishment Act Licence, the below-mentioned steps are taken-

  1. The prescribed application form for cancellation must be filled properly.
  1. The said form must be applied within 10 days of the actual closure of the shop or establishment.
  1. The registration number of the shop or establishment must be specified on the cancellation form, along with the name, business address, and other relevant information regarding the said shop or establishment.
  1. The reason for the cancellation of the license must be stated clearly on the application form.
  1. Another thing to keep in mind is that the reasons for the cancellation should be valid.
  1. Finally, a copy of the Paid Legal Dues of Employees must also be included.

FEATURES OF THE SHOPS AND ESTABLISHMENT ACT:

The important features of the Act are listed below-

Basic Purpose of the Act: One of the main objectives of the law regarding The Shops and Establishment Act is to ensure that all employees are given equal rights and benefits in all spheres, be it movies, theatres, or other entertainment venues.

  1. Protocol on Shop and Establishment Act and Registration of such Establishment:

The Shop and Establishment Act, which falls under the labour laws, provide for employers to pay close attention to the number of hours of work per day and to comply with the opening and closing hours of the said store. It also requires management to look into the list of leaves or holidays, such as national and religious holidays, maternity leaves, and other casual leaves, and also to set guidelines for the registration of children and women. Guidelines to hire and terminate work, manage the annual leaves, keep the records, and register are also mandatory.

  • Records Keeping Under the Shop and Establishment Act:

All organizations must apply for approval from the Department of Labour and stay updated of the details of hiring, payment, debt reduction, leaves, and so on under the Shop and Establishment Act. Proof of leaves annually, a complete check of representatives should be provided to the Municipal Corporation(MC), annually. However, these guidelines too vary from one state to another.

  • Authorize the Prerequisites for the Retail and Real Estate Act and Registration Process:

According to labour laws, a shop and establishment permit is a mandatory pre-requirement, and in this case, all shops and foundations must join under the business and organization within 30 days from the date of the commencement of such shops. In addition, this registration is an important permit that is required for another certificate license. For the purpose of ordering and purchasing stores with a new license, a PAN card for the shop owner or the foundation itself, a copy of the lease agreement or a deal agreement, and the data of those representatives are required.

CONCLUSION:

Keeping in mind the above-mentioned things regarding the shops and establishments, it is necessary to get the said shops and establishments registered under the said shops and establishments for the purpose of smooth running of the said shops or establishments.


For more information, please contact us on info@trijuris.com or call us Mb. No. 85100 58386 or 9310 717274.