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If you are about to launch a start-up, you have no doubt asked yourself, “Do I need a business license?”
No matter what type of business you own—whether it’s in a physical storefront or based online—and regardless if it’s a small or large company, you are going to need to obtain and maintain a business license (possibly more than one).
Understanding business licenses can be difficult. This article seeks to answer some of the most common questions business owners have about when, why, and how to get a business license.
Our partnership with LicenseLogix makes it easy for new and existing businesses to obtain all the licenses and permits your business may need. Their Client License Information Center, or CLiC, makes it easy for you to manage the business license renewal process, thus avoiding late charges and fines.
Keep in mind that it is not just new businesses that have to think about business licenses. Existing businesses must be mindful as well. Many situations could cause your company to fall out of compliance. The following are circumstances in which the requirements of your existing business license could change, and your company could need to update its business license:
Business license compliance is an important aspect of owning a company, but it doesn’t have to be stressful or tedious. However, some governmental agencies are easier to deal with and more efficient than others.
*Disclaimer*: Harvard Business Services, Inc. is neither a law firm nor an accounting firm and, even in cases where the author is an attorney, or a tax professional, nothing in this article constitutes legal or tax advice. This article provides general commentary on, and analysis of, the subject addressed. We strongly advise that you consult an attorney or tax professional to receive legal or tax guidance tailored to your specific circumstances. Any action taken or not taken based on this article is at your own risk. If an article cites or provides a link to third-party sources or websites, Harvard Business Services, Inc. is not responsible for and makes no representations regarding such source’s content or accuracy. Opinions expressed in this article do not necessarily reflect those of Harvard Business Services, Inc.
There are 14 comments left for When Do You Need a Business License for Your Company?Shannon Billman said: Saturday, March 17, 2018
Hi I want to have an Online business what type of licence will I need?HBS Staff replied: Monday, March 19, 2018
Your best bet is to check with the state in which the home business will be located. Each state has different requirements and guidelines. Try your local Small Business Administration office or your state's Divsion of Corporations website.Dan Herman said: Monday, December 4, 2017
I have an LLC consists of a golf pro SHOP driving range and snack shop Do I need seperate business licences Even though I have one EIN FOR MY CorpHBS Staff replied: Tuesday, December 5, 2017
Typically, a business license is obtained in the state where a company is physically operating. Some states may need the entity to obtain a license for each venture. It is best to ask the state in which your company physically operates what is required and if you need to obtain business licenses to operate multiple ventures.SUMAN SAHOO said: Thursday, August 24, 2017
We want to start a LLP of 3 partners, please inform us the startup procedure and engaged legal activities. Thanks & Regards Suman SahooHBS Staff replied: Friday, August 25, 2017
Hello. Here is more information on LLPs: https://www.delawareinc.com/blog/what-to-know-about-a-limited-liability-partnership/
If you'd like to form an LLP, you can do so from our website or feel free to call us at 1-800-345-2677 during normal business hours.michele miller said: Monday, November 28, 2016
I want to start a cleaning business. What steps do I need to take to get startedHBS Staff replied: Tuesday, November 29, 2016
To form an LLC or corporation, you can call us at 1-800-345-2677 9-5 EST Mon-Fri. This blog outlines some of the possible licenses you may need, and our partners at LicenseLogix can further guide you in regard to your specific type of business.