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Step-by-stepOperating without a required license can result in fines per day, business closure, and in some cases personal liability against the owners.
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How-to guide
How to get a business license · plain-English guide

How to get a business license.

There is no single "business license" in the US. Most businesses need a combination of state, county, and city permits, plus industry-specific licenses (sales tax permit, professional license, health permit, signage permit, occupancy permit). This guide walks through how to find every requirement for your location and industry, common pitfalls, and our flat-fee filing service.

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The process

Step by step.

01
Identify your business type and location

Industry, entity type, primary location, additional locations. License requirements vary dramatically by both industry and city.

02
Check federal licenses

Most businesses do not need federal licenses. Federal licenses apply to: alcohol (TTB), broadcasting (FCC), aviation (FAA), transportation (FMCSA), agriculture (USDA), commercial fisheries (NOAA). File.Business does not service firearms (ATF FFL) per AUP.

03
Check state licenses

State Department of Revenue: sales tax permit (if you sell goods or taxable services). State Department of Health: food service, childcare, healthcare. State professional licensing boards: licensed professions (law, medicine, accounting, engineering, real estate). State Department of Labor: contractor licenses.

04
Check county licenses

Many counties require a general business license. Often $25-$200 per year. Health permits, environmental permits if applicable.

05
Check city licenses

Most cities require business licenses, sometimes called "tax certificates" or "business tax certificates." Zoning permits if operating from a non-home location. Signage permits.

06
Apply for each license

Federal: usually online via the relevant agency. State: usually online via state portal. County: online, by mail, or in person. City: typically in-person or online.

07
Pay fees

Federal: typically $0-$500 depending on type. State sales tax permit: usually free. State professional: $50-$500. County general business: $25-$300. City: $50-$500.

08
Renew on schedule

Most licenses renew annually. Some every 2-5 years. Missing renewal can mean fines or business operations suspended.

Common mistakes

What to avoid.

Mistake
Stopping at state

State licenses do not cover county or city requirements. Each layer must be filed separately.

Mistake
Not getting sales tax permit

Selling taxable goods without a state sales tax permit creates personal liability for the collected (or uncollected) tax.

Mistake
Operating without zoning

Operating a business at an address not zoned for that business type triggers fines and forced relocation. Home-based businesses must comply with home occupation rules.

Mistake
Missing professional licenses

Operating as a licensed professional (lawyer, doctor, CPA, etc.) without the state license is a criminal offense in most states.

Mistake
Not renewing

Annual renewals are easy to miss. We track renewals as part of our service.

FAQ

Common questions.

How do I get a business license?
It depends on your activity and location: you may need a general business license from your city or county, a state license for regulated activities, plus industry-specific permits and a sales tax permit. There is rarely a single license. We map every license and permit your specific business needs and help you obtain them.
Does the state or the city issue business licenses?
Often both, plus the county: a general operating license usually comes from your city or county, while the state licenses certain regulated activities, and industry permits come from specialized agencies. We identify which level issues each license your business needs so nothing is missed across the layers.
Do I need a business license if I have an LLC?
Usually yes: forming the LLC creates the legal entity, but a business license is separate permission to operate a particular activity in a particular place. You can have a registered LLC and still lack the licenses to operate legally, so we handle both.
How much does a business license cost?
It varies widely by license and locality, from a small local fee to a substantial regulated-industry license, and many renew annually. We itemize the licenses you need and their fees; current service pricing is on the pricing page.
Do I need a business license to work from home?
Often yes: a home-based business can still require a general business license and, in many localities, a home-occupation permit, with zoning rules applying. Being home-based does not exempt you. We check the state and local requirements for a home-based business so you are not caught operating without one.
Do I renew business licenses?
Usually yes: most business licenses renew on a set cycle, often annually, and lapsing can halt operations or bring fines, separate from your entity's annual report. We track every license expiration on a compliance calendar so nothing quietly lapses.
Do I need a sales tax permit too?
If you sell taxable goods or services, generally yes, and it is separate from a business license, authorizing you to collect and remit sales tax. We handle the sales tax registration alongside your licenses so you are set up correctly from day one.
What happens if I operate without a license?
It can bring fines, back-fees, and a shutdown order, and complicate contracts, insurance, and financing, and the penalty usually exceeds the license cost. We identify what your business requires up front so you open legally rather than fixing it under pressure later.
Can File.Business handle my business licenses?
Yes: we map every state and local license and permit your operation needs, help you obtain them, add the sales tax permit where required, and track renewals, so a confusing patchwork becomes one managed list.
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