Votomaxx

Documents › Formats › Rent agreements

Rent agreement for a shop or office

Renting a shop, office or godown uses the same backbone as a residential agreement, but a few clauses change: the permitted use, GST on rent, who pays for fit-out and signage, lock-in, and longer notice. Banks and the GST portal also ask for the agreement as proof of business premises.

Make the agreement — preview free, ₹149 for PDF + WordOpens the generator with this type selected. Made in your browser; nothing is uploaded.

Sample

[Key clauses that differ from a house agreement]

Use: The premises shall be used only for carrying on the business of a retail pharmacy under the name "Bluehill Medicals" and for no residential purpose.

Rent and GST: Rent of Rs. 25,000 per month, payable by the 5th. If the Landlord is registered under GST, GST at the applicable rate shall be paid by the Tenant in addition to rent against a tax invoice.

Fit-out and signage: The Tenant may install counters, shelving and a signboard at his cost, without structural change, and shall restore the premises on vacating, fair wear and tear excepted.

Lock-in: Neither party shall terminate this agreement during the first 6 months. Thereafter either party may terminate with 2 months' written notice.

Licences: The Tenant shall obtain and maintain the trade licence, GST registration and any other licence required for the business at his own cost. The Landlord shall sign any NOC reasonably required for such registration.

Signed
Landlord · Tenant · two witnesses, on stamp paper

Names, numbers and dates above are examples. Replace them with yours.

What it must include

  • Permitted business and trade name
  • GST on rent clause (landlords with turnover above Rs. 20 lakh charge 18% GST on commercial rent)
  • TDS: tenants paying over Rs. 2.4 lakh a year in rent deduct 10% TDS if they are liable to audit
  • Fit-out, signage and restoration
  • Lock-in period and notice
  • Landlord's undertaking to give NOC for registrations
  • Security deposit (commonly 3–6 months) and refund timing

Common mistakes

  • Leaving out the GST clause and arguing about it later.
  • No clause on who restores the premises after fit-out.
  • An 11-month agreement with an automatic renewal that makes it effectively a lease — register it instead.

Stamp paper, notary and signing

Same as residential for an 11-month agreement in most states: Kerala Rs. 100–250 stamp (0.5% of total rent in some cases), Karnataka 0.5% of annual rent + deposit, Maharashtra 0.25% of rent + deposit (registration compulsory), Delhi 2% of average annual rent. Agreements of 12 months or more must be registered. The generator's state guide gives the figure for your state.

Common questions

Is an 11-month agreement valid for a shop?

Yes, and it is the common practice. But if you are investing in fit-out, a registered 3–5 year lease with a lock-in protects you better.

Does GST apply to my rent?

Only if the landlord is GST-registered. Then the tenant pays 18% on commercial rent and can claim input credit if registered.

Can I use this for a godown or office?

Yes; change the permitted-use line.

Make the agreement — preview free, ₹149 for PDF + Word

Other rent agreements

Related

This page is a template and general guidance for a common situation, not legal advice. Rules differ by state and office; check with the office that asked for the document. Last reviewed October 2026.