Overview of Shops & Establishment Act in India

Governed by the Labour department of the State, the shops & establishment Act has put up a state of the work environment that establishes certain benefits, the employees are given, by their company or management. Appropriate for shops all across India, lodgings, eating circles and joints, eateries, cinemas, and all public places of entertainment. It's mandatory for every shop to enlist itself within 30 days of commencement under this act, regardless of whether the business is entirely functional or not.

Frequently Asked Questions

Running a business without a license is always risky. If the authorities are notified about the illegal running of the business without a license, your business could be sealed or closed. Even a lawsuit could be filed against you by a dissatisfied customer if he gains knowledge that you are running a business without a license. All this could lead to loss of reputation and unwanted stress. So, it always wise to follow the compliance procedure for your business license.

Once you decide to run a business, it's always wise to apply for establishment registration and order for a license to get it running. The same could be done online, initiating an online registration or filing. The income earned from the business can't be shown as personal earnings. The earnings have to be taxable, for the same. And also, it's not legal to run a business without a business license.

Yes, if you are a business owner or have a shop set up in India, it's mandatory to follow the norms under the Shop & Establishment Act and apply for a license, be it in any part of the country. The registration can be done online and the certification can be procured online itself. The license should be applied within the first 30 days of the opening of your firm.

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