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    Gujarat Shops and Establishment Act: Registration Process and Benefits Explained

    The Gujarat Shops And Establishments Act of 1948 forms the foundation of Gujarat's Shop & Establishment or Gumasta Licence. It is a basic licence that every business owner needs to develop a legal business in Gujarat. You might encounter heavy penalties if you continue business without this licence.

    Are you curious to find out all about the Shop and Establishment Act of Gujarat? This article will provide a detailed guide to its regulations.

    Team Digit

    Eligibility Criteria to Register Under Gujarat Shops and Establishment Act 1961

    Any business or commercial establishment must register under the Gujarat Shops and Establishment Act 1961. These can be any small shop to the largest brands. Business owners must get this licence to make their ventures legal entities. The following types of businesses must register to obtain this licence.

    • Shopping malls
    • Establishment of any medical practitioner
    • Supermarkets
    • Hotels
    • Restaurants and eateries
    • Theatres and amusement spots

    Establishments Exempted From Registration Under the Gujarat Shops and Commercial Establishment Act

    The Gumasta Licence Gujarat provisions do not apply to certain establishments. These are as follows.

    • Establishments under the Central or State Governments
    • Office under the Reserve Bank of India
    • Establishments under the local authorities
    • Workers with intermittent work
    • Family members of an employer

    How to Register Shops and Commercial Establishments in Gujarat?

    Steps to Register Shops and Commercial Establishments in Gujarat Online

    In order to obtain the Shop Act licence of Gujarat, you need to register your business. The following steps can assist you in this regard for an online application.

    Step 1: Visit the official website of Ahmedabad Municipal Corporation. Bring the cursor to the "Online Services" option.

    Step 2: Choose "Online Service – With Login" from the drop-down list. Next, click on "Shops and Establishment".

    Step 3: It will open the login page. Click on the option for “New user”.

    Step 4: Fill out this online form with all your details. You will receive login credentials after submitting this form.

    Step 5: Log in with these credentials. This will redirect you to a registration form.

    Step 6: Fill out this form and upload all the necessary documents. Pay the fees and submit your form.

    Steps to Register Shops and Commercial Establishments in Gujarat Offline

    If you are uncomfortable with online registration, you can complete this process offline with the following steps.

    Step 1: Visit the official website of Ahmedabad Municipal Corporation. Bring the cursor to the "Corporations" option.

    Step 2: From the drop-down list, choose “Departments”. Choose “Shops & Establishment” from the Revenue tab.

    Step 3: Here, you will find links to download application forms. Click on “FORM - A APPLICATION FOR REGISTRATION”.

    Step 4: Get a printout and fill out this form manually. Bring your filled form, documents and fees to the Shops & Establishment Department office in Danapith, Ahmedabad.

    Documents Required to Register Under Gujarat Shops and Establishment Act

    You will need to produce certain documents when you are trying to obtain the Gumastadhara licence in Gujarat. These usually vary from one type of establishment to the other. These are listed below.

    Type of Establishment

    Documents Required

    Sole proprietorship

    Owner’s ID and address proof (Aadhar/PAN/Voter ID), Lease deed, Proof of property ownership, Tax payment receipts, Electricity bill

    Partnership firm

    Owner’s and partners’ ID and address proof (Aadhar/PAN/Voter ID), Lease deed, Proof of property ownership, Tax payment receipts, Partnership deeds, PAN card of the partnership firm

    Private limited company

    Owner’s and partners’ ID and address proof (Aadhar/PAN/Voter ID), Lease deed, Proof of property ownership, Tax payment receipts, MOA/AOA of the company, Certificate of incorporation, Copy of resolution

    Registration Fees for Shops and Commercial Establishments in Gujarat

    According to the Gujarat Shops and Establishment Act, business owners need to pay a certain fee while completing the registration. This varies based on the type of establishment. The following table will help you understand the fee structure.

    Category of establishment

    Fees required

    Shops

    ₹500

    Establishments

    ₹500

    Residential hotels

    ₹2,500

    Restaurants and eateries

    ₹1,000

    Theatres and other places of amusement

    ₹5,000

    Steps to Check Application Status for Shops and Commercial Establishment in Gujarat

    Now that you know the process of applying for a Gumastadhara licence online in Gujarat, you must be wondering about the steps to verify the status and download the certificate. The following steps will help you in this regard.

    Step 1: Visit the official website of Ahmedabad Municipal Corporation. Bring the cursor to the "Online Services" option.

    Step 2: Choose "Online Service – With Login" from the drop-down list. Next, click on "Shops and Establishment".

    Step 3: It will open the login page. Log in with your credentials.

    Step 4: This page will display the details of your application. It will also show the status. If the status shows that the certificate is generated, you can download it from here.

    Rules and Laws of Gujarat Shops and Establishments Act

    Following the Shop & Establishment Act Gujarat, one will follow the rules and regulations as listed below once they obtain this licence.

    1. Employment Rules for Women, Children and Young People

    • There shall not be any discrimination of gender against women when it comes to recruitment, training, transfer, promotions or wage determination.
    • Women are not allowed to work after 9 pm and before 6 am. However, an employer might ask a female employee to work during this period if certain conditions are met.
    • Of the employed women over 30 years or older, employers must provide for a child crèche.

    2. Working Hours

    Employers should fix the working hours according to this law. Nine hours is the maximum working hours in a day, meaning employees should work more than 48 hours a week. They should have to work constantly for more than five hours without a break.

    3. Weekly Holidays

    Employees will receive one weekly holiday. Shops and commercial establishments must choose at least one day weekly when they will not work. It is up to the employers to choose the day of the weekly holiday.

    4. Leave Policies

    Employees will be entitled to the following leaves:

    • They will receive at least seven casual leaves with wages every calendar year.
    • Every employee should receive at least seven days of leave on medical grounds annually.
    • They can accumulate earned leave in a year up to 63 days.
    • Every employee will receive 8 paid festival leaves in a calendar year.

    5. Employee Rights

    Employers will ensure that the employees enjoy the following rights while working:

    • Employees will not have to work before or after the fixed working hours.
    • Their health and safety will be of ultimate priority to the employers.
    • They will not face discrimination based on anything outside their capabilities and skills.
    • Employees will be entitled to wages for overtime work.
    • The employer must provide compensatory payment if the employees are not allowed a weekly holiday.
    • Employees should get rest breaks and provisions for basic needs such as water and restrooms.
    • They should have access to first aid and medical attention at work during times of need.

    6. Record Management

    Employers must maintain registers and records of work for the inspectors to check. These can be maintained either manually or electronically. They must submit a hard copy to the inspector duly signed by the concerned authorities and owners. These records should include the following details.

    • Details of employment
    • Leaves structure
    • ID details of the employees
    • Attendance cards
    • Annual returns
    • Inspection visit books

    7. Minimum Wage

    The minimum wage set by the government varies from one level of employees to another. Zones decide these levels. The following table will give you a better idea.

    Zones of employment Basic pay per day Special pay per day Total pay per day
    Zone I - Unskilled ₹ 276.00 ₹ 83.30 ₹ 359.30
    Zone I - Semi-skilled employees ₹ 284.00 ₹ 83.30 ₹ 367.30
    Zone I - Skilled employees ₹ 293.00 ₹ 83.30 ₹ 376.30
    Zone II - Unskilled employees ₹ 268.00 ₹ 83.30 ₹ 351.30
    Zone II - Semi-skilled employees ₹ 276.00 ₹ 83.30 ₹ 359.30
    Zone II - Skilled employees ₹ 284.00 ₹ 83.30 ₹ 367.30
    `

    8. Registration of Establishments

    Employers and owners of any commercial establishment must apply for registration within 60 days of starting the business. They must fill out the application form and submit it with the required documents and fees. The inspector will register the business's name on receipt of the same. They will issue a registration certificate after that.

    Benefits of Registration Certificate for Shops and Establishments in Gujarat

    There can be multiple benefits of a Gumasta licence in Gujarat. These are listed below.

    • Standards for Employment: Having set standards for employment is always more beneficial. It allows employees to avoid exploitation, and employers can be just with their services. They can satisfy their employees and retain them.
    • Tracking Discrepancies: Higher authorities can track any discrepancies and unethical business practices. After obtaining this licence, business owners must avoid such practices or the government may eliminate their licence.
    • Market Position: Businesses can enhance their grip on the market share with this licence, as it helps their ventures become separate legal entities. It will be able to attract customers easily and thereby enhance the level of commitment among employees.
    • Smooth Operations: Obtaining a licence helps business owners avoid unnecessary inspections frequently. They can also avoid the frequent interventions of the state and local authorities on their operations.

    Hopefully, now you know all about a Shop and Establishment Act of Gujarat. This licence is mandatory for the business owners of Gujarat. You can apply for registration through both online and offline modes. Moreover, you can also download the certificate through simple steps.

    FAQs About Shop & Establishment Licence in Gujarat

    What is the validity of the establishment registration?

    This certificate is usually valid for five years from the date of issuance. However, this might vary based on the scope and range of the establishment.

    This certificate is usually valid for five years from the date of issuance. However, this might vary based on the scope and range of the establishment.

    Is a shop and establishment licence compulsory for less than 10 employees in Gujarat?

    Traders and business owners running their establishments with 9 or fewer employees do not need to register for this licence in Gujarat.

    Traders and business owners running their establishments with 9 or fewer employees do not need to register for this licence in Gujarat.

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    Last updated: 20-05-2025

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    Go Digit General Insurance Limited | Corporate Office Address: Atlantis, 95, 4th B Cross Road, Koramangala Industrial Layout, 5th Block, Bengaluru 560095 | Registered Office Address: 1 to 6 floors, Ananta One (AR One), Pride Hotel Lane, Narveer Tanaji Wadi, Shivaji Nagar, Pune-411005, Maharashtra | Trade logo of Go Digit General Insurance Ltd. displayed above belongs to Go Digit lnfoworks Services Private Limited and is provided and used by Go Digit General Insurance Ltd. under license.

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