Step-by-Step Guide: How to Apply for a Shop License in Maharashtra?

In Maharashtra, the license for a shop and establishment is tagged as “Gumasta License.” This license is the basic license for those who are looking to open a commercial entity in Maharashtra. In addition, the people of this state are also required to meet specific rules and regulations. These parameters speed up the registration procedure. As the shop licensing is a state-specific procedure, Maharashtra also has its own rules, processing timeline, and registration cost. This guide will go over how to easily obtain the license with the necessary paperwork and other important prerequisites.

1. The Role of Shop Establishment Registration License

The functionality of the shop license depends on multiple factors. The certificate provides miscellaneous advantages, which include:

• It grants legal authenticity and formal recognition to the shops and establishments. 
• The license ensures businesses operate within the framework of the state-specific laws, such as the Maharashtra Shops and Establishments Act, 2017.
• It guarantees that the registered business complies with all applicable regulations, including those pertaining to working hours, pay and leave, employee welfare, and employment of women and children. 
• The Gumasta license registration is the fundamental requirement to open the business’s current bank account. Even registered businesses can apply for business loans. 
• To get the essential government registrations, the shop establishment license is used. With it, you can apply for an FSSAI license, a GST certificate, and use it for government tenders.
• Enhancing the credibility of the business boosts the trust of customers, partners, and investors.

2. Required Documents for Shop Establishment License in Maharashtra

In Maharashtra, a number of documents must be submitted in order to open a commercial business. These important documents are necessary:

• Identity proof, address proof, and photographs of the proprietor/owner (e.g, Aadhaar card, PAN card, etc.)
• Proof of address, utility bill, or business name board photo for business establishment.
• For the address proof, provide the rent agreement, lease agreement, or ownership documents. 
• The shop’s name board must be written in Marathi and English.
• Provide the partnership deed for the partnership firm or the articles of association and memorandum for a private limited company.
• An authorization letter for the business

Learn more: Significance of Shop and Establishment Registration

Obtain a Gumasta License in Maharashtra

Here are the steps involved during Gumasta license registration:

Step 1: Navigate Online Portal

To apply for the shop registration, visit Maharashtra’s labor department website. The Public LMS website of the Government of Maharashtra is the official channel. In case you are a registered member, please sign in. If you would like to register for the first time, sign up for the portal.  

Step 2:  Service Selection

If the applicant wants to register under the Shops and Establishment Act, the applicant has to select Service ID 3512. 

Step 3: Complete the Request

Complete the renewal application form (Form A) and submit it online.

Step 4:  Submit Documents

Gather all of your documents in advance and submit them with the application form. Common documents are: 

• Electricity bill
• Rent agreement 
• Aadhaar Card 
• PAN Card 
• Proprietor PAN Card 
• Employees Details 
• Proof of Business Registration

Step 5: Make Payment

Make payment for registration through the electronically prepared gateway. 

Step 6: System Tracking of Application 

You will be provided a registration number to track the application form in the appropriate section. 

Step 7: License Issuance

Upon verification and police inspection, the Gumasta license will be issued by Maharashtra’s controlling authority.

Gumasta License Registration Validity and Renewal

Like the other states, the Gumasta license is further valid for a specific timeline. The license in Maharashtra can be used only for one year. It means they must complete the annual renewal to keep everything compliant. Below are the steps to renew the Gumasta shop license:

• Apply Before Expiry: Initiate the renewal process before the current license expires to avoid the late fine penalty.
• Utilize the online portal: The primary online portal of the Government of Maharashtra is “Labour Management System.” It is used for the current license renewal. 
• Locate the Renewal Option: Since you have already registered on this portal, you will be guided to the license renewal option, which can be located by searching in the “Shops and Establishment Registration” or “Other Applications” tabs.
• Finish the Renewal Application: Complete the application form with all required information, including the section where you may renew your license. Must submit the application form through the portal with other updated documents.
• Payment of Renewal Fees: The renewal fees of the certificate will vary state-wise and depend on the size and type of business and the number of employees.
• Submission to Inspector: After the payment has been successfully accomplished by a person, the registration certificate must be submitted by the person to the appropriate inspector in the local area within the time. 

Final Discussion | Get Gumasta License through Aaple Sarkar Portal

In Maharashtra, the Shop Establishment License is known as the Gumasta license. The license registration is mandatory for commercial establishments, whether it is a sole proprietorship, a partnership, or a private limited company. To apply for the license, use the online portal Aaple Sarkar Portal. Therefore, you must complete Form A, collect those documents, and pay the relevant fees. To have the registration completed in less time or be hassle-free, you can get in touch with the LegalRaasta team as well.

Frequently Asked Questions Related to Shop License Maharashtra

(a) How can you get the Gumasta License in Maharashtra?

Ans. To apply for the shop license, navigate to the Maharashtra’s online shops establishment act portal. Fill out the application form and attach the necessary documents. Complete the application fees and wait for the final approval.

(b) What is the registration cost in Maharashtra for a shop license?

Ans. The cost depends on the number of employees in the entity and the respective local authority. If any entity has a number of employees below 9, the registration fees might be around Rs 799. However, if the number of employees is above 9, the fees can be around Rs 2,399.

(c) How can you open a business bank account with the Gumasta registration license?

Ans. To open a business bank account for separate transaction management, you can attach the Gumasta license certificate with the other documents. Provide the registration license with the other identity and address proofs for the business and its proprietor to the bank. The license will determine that your business is a legally registered and operational entity.

(d) Is a Gumasta or shop establishment license the same?

Ans. Yes, the Gumasta license and the shop and establishment license are the same. “Gumasta Certificate” is what it’s called in Maharashtra, while “shop license” is what it’s called in the other states of India, such as Delhi.

(e) How long is a Gumasta license valid in Maharashtra?

Ans. For businesses with fewer than 10 employees, the license will be valid for a lifetime. If the business has 10 or more employees, it will be valid for 1 to 10 years.