Apply for Online Shop Act License

Apply for Online Shop Act License, Online Shop Act License, Shop Act License, Shop Act License Maharashtra, online Shop Act License in india,Shop Act

Apply for Online Shop Act License – Complete Guide

Introduction

The Shop and Establishment Act, commonly referred to as the Shop Act, is a legal registration required for any business establishment operating in India—especially in retail, service, or trade. If you are starting an online business, e-commerce store, or service-based venture, obtaining a Shop Act License online is essential for operating legally and availing government benefits.

In this guide, you will learn what the Shop Act license is, why it's needed, how to apply for it online, required documents, fees, and FAQs.

What is a Shop Act License?

A Shop Act License is a mandatory registration certificate issued by the Labour Department of the respective state government under the Shops and Establishments Act.

It regulates:

Working hours,
Conditions of employment,
Employee rights,
Business operating hours.

Who Needs It?

E-commerce startups
Small retailers
Online freelancers & service providers
Restaurants, cafés, and local shops
Private businesses with or without employees

Benefits of Shop Act License

Legal recognition of your business
Required to open a current bank account
Helps in applying for other licenses (e.g., MSME, GST)
Proof of business for startup India, funding, and loans
Complies with labor laws and local rules

Eligibility for Online Shop Act Registration

Any individual starting a business with or without premises
Companies, sole proprietors, LLPs, partnerships
Freelancers working from home

Documents Required for Shop Act License

Here is a common list of documents (may vary by state):

Aadhar Card of owner/proprietor
PAN Card
Passport-size photo
Proof of business address (Electricity bill/Rent agreement)
Ownership proof or NOC from landlord (if rented)
Business Name and Activity Details
Mobile number linked with Aadhaar (for OTP)
Email ID

How to Apply for Shop Act License Online?

Here is the step-by-step process:

Step 1: Visit the State Government Portal

Each state has its own official labor department website. Here are a few examples:

Maharashtra: https://lms.mahaonline.gov.in
Delhi: https://labour.delhi.gov.in
Karnataka: https://sevasindhu.karnataka.gov.in

Step 2: Register/Login

Step 3: Fill the Application Form

Select “Shop and Establishment Registration”
Enter details like:
- Name of Business
- Owner/Manager details
- Address of business
- Nature of business activity
- Number of employees (if any)

Step 4: Upload Documents

Upload the scanned copies of required documents in the specified formats (JPEG, PDF).

Step 5: Pay the Application Fee

Fees vary by state and employee count. Example:

No employee: Around Rs. 100–200
With employees: May go up to Rs. 2000+

Payment is done online via:

Net Banking
UPI
Debit/Credit Card

Step 6: Submit Application

After payment, submit the form.

Step 7: Acknowledgement and Certificate

You will receive an Acknowledgment Number
After verification by the Labour Department, you will get the Shop Act License Certificate via email or download it from the portal.

State-Wise Portals for Shop Act Online Registration

State	Official Website
Maharashtra	lms.mahaonline.gov.in
Karnataka	sevasindhu.karnataka.gov.in
Delhi	labour.delhi.gov.in
Tamil Nadu	labour.tn.gov.in
Gujarat	digitalgujarat.gov.in
Uttar Pradesh	uplabour.gov.in
Madhya Pradesh	labour.mponline.gov.in

Fees for Shop Act License

The fees differ based on:

State government rules
Number of employees
Duration (1 year, 5 years, lifetime)

Example for Maharashtra:

No employee – Rs. 100/year
1-5 employees – Rs. 300/year
Up to 10 employees – Rs. 600/year
Valid for 1 to 10 years

Renewal of Shop Act License

Usually valid for 1 to 5 years.
You can renew online using the same state portal.
Renewal process is similar to registration.

Things to Remember

Apply within 30 days of starting the business.
Shop Act license is mandatory even if you’re working from home.
You may face penalties for non-compliance.
Display the license prominently in your business location.

Offline vs Online Registration

Criteria	Online	Offline
Speed	Fast (1–5 days)	Slower (7–15 days)
Documentation	Upload soft copies	Submit hard copies
Convenience	Can apply from anywhere	Need to visit the office
Cost	No agent fees if done directly	Agents may charge extra

FAQs – Shop Act License

Q. Is Shop Act mandatory for online businesses?
Yes, especially if you want to register your business formally and open a current account.

Q. Is it required for freelancers?
If you're offering professional services (like writing, designing, consulting), you may need it for formalization.

Q. Can I apply from home?
Yes. Even a home-based business can get Shop Act registration.

Q. Can I update my license details later?
Yes. Most portals allow modifications like address change, employee update, etc.

Conclusion

Getting a Shop Act License is the first legal step to launching your business, even if it’s an online store or freelance service. It helps build credibility, gives access to banking and government services, and ensures compliance with labor regulations.

By applying for it online, you save time, cost, and paperwork. Every new entrepreneur or business owner should complete this process as early as possible.