Legal AdviceShops and Establishment

Shops and Establishment Registration For Distributors

Product marketers and distributors typically have commercial space for storage and transportation. These businesses cannot operate without being registered, thus they must apply for a shop and establishment certificate to stay compliant.

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Individuals or groups engaged in the marketing or distribution of commodities will have access to commercial space for storage and the transfer of goods from one location to another. Since they are having the storage entity and all they must have the shops and establishment certificate for the entity.  They can also use this based on the number of employees in the company. Our experts will assist you in obtaining the certificate online and in a timely manner.

Shop & Establishment Certificate

Every commercial premise, regardless of its area of operation, must have a shop and establishment certificate. The authority normally takes 7-10 days to validate and issue the Shop & Establishment certificate once you apply. The applicant can apply for the said license within a month of the commencement of the business.

Apart from the FBOs, all other commercial establishments are mandated to get a labour license. It helps businesses in opening current accounts and dealing with various aspects of the business. Likewise, in the case of a physical outlet, every food business operator’s FBOs should have a shop & establishment certificate. The same restrictions apply to operators who have physical locations where they conduct business.


Documents Required for Shop & Establishment Registration

For Sole Proprietorship:

  • Name of the firm
  • Pan card of the proprietor
  • Address proof of the proprietor
  • Rental agreement
  • Passport-size photo
  • Nature of business, email ID and contact number of the concerned person.

For Partnership Firm:

  • Pan card of the partnership firm
  • ID and address proof of all partners
  • Rental agreement
  • Partnership deed
  • Passport-size photos of all partners
  • Nature of business, email ID and contact number of the concerned person.

For Private Limited Company:

  • Pan card of the private limited company
  • Incorporation certificate of the company
  • ID and address proof of all the directors
  • Rental agreement
  • MOA & AOA
  • Passport-size photos of all directors
  • Nature of business, email ID and contact number of the concerned person.

Employees’ Rights Under the Shop and Establishment Act

  • Every employee is entitled to a mandatory weekly holiday
  • Every employee who works additional hours will be paid twice as much as a regular employee
  • Further, every employee is entitled to 40 days of paid time off
  • Every employee has the ability to convert unused paid time off into cash
  • An employee who has lost his or her job as a result of the company’s actions might appeal the decision by pleading before the jurisdiction officer for legitimate reasons
  • An employee who has been laid off without cause will be compensated. In this case, the compensation will be equal to one month’s pay for each year of service.


Vakilsearch’s Experts are always ready to provide their customers with industry-leading and unrivaled services. So, if you’re looking to register your shop or business, don’t hesitate to get in touch with us; we will be more than happy to assist you.

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