Gumasta License: Online Registration of Shop & Establishment


Every shop or commercial establishment in the country has to obtain a Gumasta license before they begin operations. It comes under the Shops and Establishment Act and must be obtained by every business having 10 or more employees. It is valid for a year, which means it must be renewed regularly.

How to apply for a Gumasta license?

Gumasta license can be obtained online as well as offline. However, here we’ll only talk about the online procedure since it is easy and quick. Follow these steps in order to register yourself for a Gumasta license.

  1. Visit the official website of your state. Every state has provisions for applying for a Gumasta license on its website. If you’re from Maharashtra, visit this link — www.lms.mahaonline.gov.in.
  2. You’ll need to create a new account under the ‘Create Employer User Account’ if you’re an employer. If you’re an individual, select the appropriate option. Regardless, you’ll need to provide details such as your email id, password, and mobile number.
  3. Once you’ve done that, an OTP will be sent to your mobile number. Enter the OTP to complete the verification process.
  4. You’ll then be given a login ID and password, which you can use to access the portal.
  5. You can now begin with the Gumasta license application procedure.
  6. After logging in, click on the ‘Shops and Establishment Registration’ tab on the left side of the page.
  7. Next, you have to click on ‘Registration Form A’ under the same tab.
  8. Fill out the form carefully, providing all the relevant details.
  9. Submit the form and then upload all the required documents on the platform.
  10. Finish the procedure by paying the application fee online.
  11. After you do that, your application will be scrutinised for an officer. If everything is on point, you can download your Gumasta license in a few weeks.

Why get a Gumasta license?

There are many different reasons why you should get a Gumasta license. A few of them are mentioned below:

  1. Freedom to conduct business

This is, by far, the biggest benefit of getting a Gumasta license. You cannot think about opening a shop or starting a business without a Gumasta license. Once you get that, however, you wouldn’t have to worry about any legal ramifications of operating a business. You can peacefully focus on your work and find ways to move your business forward.

  1. Avail tax subsidies

The Government of Maharashtra keeps coming up with new policies and decisions that benefit its citizens. Every once in a while, it also comes with constructive tax subsidies that help business owners save more . However, if you don’t have a Gumasta license, you wouldn’t be able to avail those benefits. Hence, get a Gumasta license if you want to enjoy the benefits that come with lenient government schemes.

  1. Open business accounts

Having a business account in a leading bank comes with a number of benefits. That said, you can’t open it randomly. Every bank asks for a Gumasta license in order to open business accounts.

Cancellation Process of Gumasta License

If an applicant or current certificate holder wishes to revoke his or her registration, he or she must:

  • Submit a notice that includes his/her request, as he/she wishes to revoke his/her licence or registration.
  • Second, if the employer does not send his or her statement with supporting documentation within 10 days of receiving the notice, his or her registration will be revoked.

Documents Required:

  1. For General/Sole Proprietorship
  • Duly filled-in application form.
  • Passport-size photographs.
  • Identity Proof such as Aadhaar Card, PAN Card, Passport, etc.
  • Address Proof such as Voter ID, Passport, Utility Bills, etc.
  • Business Address Proof
  • Authority letter of business
  • Proof of Property ownership
  1. For Partnership
  • Aadhaar Card
  • PAN Card of Firm/ LLP
  • PAN Card of All Partners
  • Partnership Deed Copy
  • Certificate of Incorporation (only for LLP)
  • Business Address Proof
  1. For Private Company
  • Aadhaar Card
  • PAN Card of Company
  • PAN Card of All Directors
  • Copy of Memorandum of Association (MoA) and Article of Association (AoA)
  • Certificate of Incorporation
  • Business Address Proof

Frequently Asked Questions (FAQs):

Q. How much does it cost to register for a Gumasta License?

Ans: The fees, fines, and penalties associated with registration vary by state, so check the official website of the state in which you want to start a business for the most up-to-date information.

Q. Is getting a Gumasta License necessary?

Ans: Yes, if you want to start a business in Maharashtra, you must obtain this licence. Failure to do so will result in penalties of up to Rs. 2 lakh per applicant.

Q. How long is the Shop Act Registration valid?

Ans: The Shop Act Registration is valid for a lifetime.

Q. Is there a difference between Gumasta and Shop Act Registration?

Ans: No, there is no difference between these two since the word ‘Gumasta’ is derived from the Persian language ‘Farsi’ which means ‘agent.’