A state law, not a central one
Shop and Establishment rules come from state laws, and each state's labour department runs its own. So a seller in Pune follows different rules from a seller in Delhi. These laws cover shops and offices where business is done. They set opening hours, weekly holidays and terms for staff. They also ask the business to register, or to tell the department it exists. None of them is written just for online stores. The real question is whether your place of work counts in your state.
How Delhi treats an online store
Delhi's Shops and Establishments Act, 1954, as published by its labour department, casts a wide net. A commercial establishment means any premises where trade, business or a profession is carried on. A shop includes a store-room, godown or warehouse used for the business. Whoever runs the place must send a statement to the Chief Inspector within 90 days of starting work, with the set fee. The certificate must hang at the premises and be renewed as the rules require. Read literally, that can include a room at home where you pack orders.
How Maharashtra treats an online store
Maharashtra splits by size under its 2017 Act and 2018 rules. A place with ten or more workers registers online in Form A. One with fewer than ten files an online notice, called an intimation, in Form F. It then gets a receipt in Form G. The notice needs your Aadhaar and a photo of the premises. The photo must show the inside and a name board in Marathi. The rules set no fee, though you pay the government's online service charge. The receipt only shows that you told them, not that your business exists at that address.
Delhi and Maharashtra side by side
| Question | Delhi | Maharashtra |
|---|---|---|
| Who must act | The occupier of every establishment | Every establishment - register at ten or more workers, intimate below ten |
| What you file | A statement in the prescribed form | Form A to register, or Form F to intimate |
| What you get | A registration certificate to display at the premises | A registration certificate, or an intimation receipt |
| Fee | As prescribed in the rules | None prescribed, plus an online service charge |
Home-based sellers and housing societies
Neither state's page says in plain words whether a seller working from home must register. A few details point the way. Maharashtra asks for a no objection certificate from your housing society when you register a business run from a residential society. Delhi's Act turns on the premises, not the size of the business, and names godowns and warehouses outright. So a rented godown is clearly covered in Delhi. When in doubt, ask your state labour department or a CA before your first hire.
Why the certificate is worth having
Even where it is optional, the certificate is useful paperwork. The RBI's KYC rules list a Shop and Establishment certificate as one of the proofs of business a bank can take from a sole proprietor. Razorpay lists it among the papers a proprietorship can upload to go live. Keep your business name the same on the certificate, your bank account and your store. On The Storemate, you can add your registered business name and address to your About page with the page builder.