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Gumasta Licence in Mumbai (2026): New 20-Worker Rule, Online Intimation, Renewal and Closure

Many guides still say a Gumasta licence is needed for 10 or more workers. Since 1 October 2025, Maharashtra's threshold is 20. What small shops and offices in Mumbai must file now, whether old certificates need renewal, what banks ask for, longer working hours, and how to intimate closure.

Illustration: a boutique owner and her assistant discussing a Gumasta shop licence intimation with a woman advocate

“Gumasta licence” is the everyday Mumbai name for registration under the shops and establishments law. Every new shop, office, clinic, salon or small business hears that it needs one, usually because a bank wants it for a current account. The rules changed in October 2025, and most online guides have not caught up. This guide sets out the current position.

What changed on 1 October 2025

The Maharashtra Shops and Establishments (Regulation of Employment and Conditions of Service) (Amendment) Ordinance, 2025, effective from 1 October 2025, amended the 2017 Act:

Point Before From 1 October 2025
Registration certificate required 10 or more workers 20 or more workers
Smaller establishments Fewer than 10: online intimation Fewer than 20: online intimation only
Maximum daily working hours 9 10 (weekly limit of 48 unchanged)
Continuous work without a break 5 hours 6 hours
Overtime limit per quarter 125 hours 144 hours

Older guides, and some older forms, still show the 10-worker figure. Check the current position on the Labour Department portal before you apply.

Which filing do you need?

Your establishment What to file What you get
Fewer than 20 workers (most small shops and offices) Online intimation of commencement of business, within 60 days of starting An acknowledgement or receipt of intimation, not a registration certificate
20 or more workers Online application for registration A registration certificate with a Labour Identification Number
You start small and later reach 20 workers Registration from that point A registration certificate

Applications are made online through the Maharashtra Labour Department’s services, also reachable through the Aaple Sarkar portal. There is no government fee for the intimation. In 2026 the State also clarified that establishments already registered under the central Occupational Safety, Health and Working Conditions Code do not need a separate Shops Act registration; check whether this applies to you.

Documents usually needed

  • Identity and address proof of the proprietor, partners or directors;
  • proof of the business address: a registered leave and licence agreement or ownership document, with an electricity bill or property tax receipt;
  • a photograph of the shop or office with the name board;
  • details of the business activity and number of workers;
  • for companies and LLPs, the certificate of incorporation and authorisation.

Do old Gumasta certificates need renewal?

Under the old 1948 Act, certificates had to be renewed periodically. Under the 2017 Act, registration and intimation do not require annual renewal. What you must do is keep the details current: if the business moves, changes its name or ownership, or crosses the worker threshold, update the record online. If you still hold an old 1948-era certificate, consider filing a fresh intimation or registration under the current law so your records are clean for banks and licensing.

Closing the business

When an establishment closes, intimate the closure online within the time prescribed (commonly 30 days), so that its entry is removed. Leaving an inactive record can cause problems later, for example with GST or bank records.

Gumasta, Udyam and GST: what banks really want

Banks opening a current account for a proprietorship usually ask for two business proofs: the Shops Act intimation receipt or certificate is one; Udyam registration and GST registration are others. They serve different purposes. See Gumasta vs Udyam and GST registration in Mumbai.

Frequently asked questions

I have 12 employees. Do I need a Gumasta registration certificate?

Since 1 October 2025, establishments with fewer than 20 workers file an intimation instead of obtaining a registration certificate.

Is the intimation receipt valid as proof for a bank account?

Generally yes; banks accept the Shops Act intimation receipt as one business proof. Individual banks may have their own lists.

Do I need a Gumasta licence for a home-based business?

If you run a commercial establishment from home, the intimation route usually applies. Purely freelance work with no establishment may not need it; check your facts.

Does BMC still issue the Gumasta licence?

Filings are now online with the Labour Department’s facilitator. BMC’s separate trade licence under the municipal law is a different requirement for certain trades.

See also: shop establishment, Gumasta and Udyam registration.

Consultations are by appointment. To fix a time, telephone +91 99301 50560 or send a message on WhatsApp.

This guide describes the law as understood in October 2026, including the October 2025 amendment. It is not legal advice; confirm current requirements on the Labour Department portal.

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