All public businesses in India have to make sure they have all their paperwork in place before they begin working. While the Government has made it mandatory for a business to follow the registration rules, and apply for the specific licences and permissions, they do provide companies and businesses, with some leeway, giving them time to get their documents in order.
When it comes to the application for a shop licence, companies can get through it in 30 days after they start running their business or establishment. To receive a shop licence, applicants and business owners have to register under the Shops and Establishments act. They will later have all their future business registrations linked to the same shop licence. The shop licence is an important document and connected to multiple other aspects for running a business, so if they make any changes to the business, or the founders plan on opening a company bank account, they have to provide their licence.
Furthermore, the registration is mandatory for several reasons, including the opening of the current bank account, applying for various Government schemes, and whenever coordinating licences or proof for inspections. This Shop and Establishment Act and the Shop license is proof for a business and can be used to apply for other registrations required to run a business in India.
When applying for the shops and establishments act, there are a few differences with the registration process based on the Indian state where the company is registering. The main intention of the act is, however, the same across the States. Furthermore, the process and procedure remain the same.
The act requires every business to get all the necessary approvals from the Department of Labour. They have to obtain a registration certificate from the Chief Inspector of Shops and Establishment Act, or from other inspectors delegated to the area where the establishment is based.
To apply for the licence, applicants have to fill out some of the application forms. They can choose to download these forms through the website, or they can upload the same information on the website and have the website coordinate the same. After getting the forms and making sure they are in the right formats, applicants have to submit them to the person in charge. Some of the information that they have to provide includes
- The name of the establishment
- Name and details of the owner (employer)
- Details of the employees (at the time of incorporation of business)
- The address of the establishment
- A copy of sale deed or rental agreement for the shop
- PAN card of the business or the owner
If the process is handled through the office, applicants have to submit copies of all the information mentioned above. If applicants complete the process through the website, they can upload the forms and documents there which would be easy.
Furthermore, food business operators who are companies dealing with food, food processing or coordination with food in some way or the other have to get through another registration process which is the FSSAI registration. When it comes to food, there are a lot more challenges, including that it can get spoilt or make the people consuming it sick. The FSSAI registration provides establishments with a 14 digit food licence which is a number that they have to publicly display at the establishment or on all food packets that are selling. If they are making or selling food products, they have to add the number on the product, and make it visible for the people consuming it,
The Government, with their eGovernance business platform, made the process convenient by adding all the registration information publicly, allowing companies to find out the type of registration they have to compete and go ahead with the process. Furthermore, they have added the steps allowing businesses to understand the process. They can even download resources to understand or get in touch with people who can get them through the registration making sure they have their paperwork in place since it is mandatory to renew it annually.