Mumbai Shop and Establishment Registration: Complete Guide

Mumbai Shop and Establishment Registration: Complete Guide

If you are starting a business in Mumbai—whether it’s a shop, commercial office, restaurant, or any other establishment—you must obtain the Shop and Establishment Registration under the Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2017.

This registration is mandatory for all businesses operating within Mumbai and ensures that the rights of both employers and employees are protected while keeping your business legally compliant.

Who Needs Shop and Establishment Registration in Mumbai?

The following types of businesses must register:

  • Shops (retail or wholesale)

  • Commercial establishments such as offices, consultancy firms, and service providers

  • Restaurants, cafés, hotels, and eateries

  • Theatres, entertainment houses, and amusement parks

  • Small businesses, home-based units, and freelancers with an office setup

Why Is Shop and Establishment Registration Important?

  1. Legal Compliance – Mandatory to operate a business legally in Mumbai.

  2. Bank Account Opening – Required for opening a current account in the business name.

  3. Proof of Business – Serves as official proof for various legal and licensing purposes.

  4. Labour Law Compliance – Regulates working hours, employee welfare, and payment rules.

  5. Government Recognition – Adds credibility to your business and builds trust with clients.

Documents Required for Shop and Establishment Registration in Mumbai

  • PAN card of the proprietor/partners/company

  • Aadhaar card of the proprietor/partners/directors

  • Proof of business address (Electricity bill, Rent agreement, or Property tax receipt)

  • Passport-size photographs

  • Partnership deed or incorporation certificate (if applicable)

  • List of employees (if any) and their details

Step-by-Step Process for Shop and Establishment Registration in Mumbai

Step 1 – Determine Applicability
Check whether your business type falls under the scope of the Maharashtra Shops and Establishments Act.

Step 2 – Prepare Documents
Gather all required documents in digital format (PDF/JPEG).

Step 3 – Online Application
Visit the official Maharashtra Labour Department website and create an account. Fill in the required details such as business name, address, nature of business, number of employees, and working hours.

Step 4 – Upload Documents & Pay Fees
Upload the scanned documents and pay the prescribed registration fee online. The fee depends on the number of employees.

Step 5 – Verification by Authority
The concerned Municipal or Labour Department officer will verify the details and documents submitted.

Step 6 – Issuance of Certificate
Upon successful verification, you will receive the Shop and Establishment Registration Certificate (also known as the Shop Act License) online.

Validity and Renewal

  • The registration is generally valid for a period of 1 to 3 years (as chosen at the time of application).

  • Renewal must be done before the expiry date through the same online portal.

Penalties for Non-Compliance

Operating a business without Shop and Establishment Registration in Mumbai can lead to:

  • Monetary fines

  • Legal notices from the Labour Department

  • Possible closure orders in severe cases

Benefits of Shop and Establishment Registration in Mumbai

  • Legal proof of your business

  • Smooth bank account opening

  • Compliance with employment laws

  • Increases trust among customers and vendors

  • Easy to apply for other licenses like FSSAI, GST, etc.

Government Fees for Mumbai Shop and Establishment Registration

The government fee depends on the number of employees:

  • No employees – Nominal fee (around ₹200–₹500)

  • With employees – Fee increases depending on staff count (₹1,000–₹5,000 approx.)

Conclusion

Shop and Establishment Registration in Mumbai is a mandatory step for any business owner—big or small. It not only keeps your business legally compliant but also helps in building credibility. The process is straightforward if you follow the right steps and have all documents in place.

If you need expert assistance for Shop and Establishment Registration in Mumbai, Team TAXAJ can help you with end-to-end filing, documentation, and approval from the authorities.





Created & Posted by Pooja

Income Tax Expert at TAXAJ

 

TAXAJ is a consortium of CA, CS, Advocates & Professionals from specific fields to provide you a One Stop Solution for all your Business, Financial, Taxation & Legal Matters under One Roof. Some of them are: Launch Your Start-Up Company/BusinessTrademark & Brand RegistrationDigital MarketingE-Stamp Paper OnlineClosure of BusinessLegal ServicesPayroll Services, etc. For any further queries related to this or anything else visit TAXAJ

 

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