Obtaining a Small Business License

Almost every type of small business needs a business license and this can be obtained either in-person from the county courthouse, or by filing an application online. The small business license is a legal document that describes what the business does, who owns it, and where the business will be conducting operations; it is also necessary for tax purposes. Here's what you need to obtain a small business license.

Things You'll Need

• Business Tax ID number
• Personal social security number

Instructions

1. Contact your State's department economic development to find out what the business licensing requirements are for your area. A full listing of resources can be found on the Small Business Administration's website.

2. Locate your county clerk's office online to find out where your business license needs to be mailed. In most cases, you will be submitting your business license application to the county clerk in City Hall.

3. Complete an application. You may download the business license application from your county's website or pick up an application in person from City Hall.

4. Fill out all necessary fields on the application. Complete all information as accurately as possible, then sign and date the document. You will need to provide information such as your federal tax ID number, location of the business, and personal contact information.

5. Pay the base fee and processing fee associated with your application. This fee varies by state and county, and can be paid by check in person or by mail, or with a credit card if the application is completed and accepted online.

6. Wait for your official license before beginning operations. City Hall will send you an official business license after reviewing your application and authorizing your business entity. Your business license will be sent to you by mail.

Tips & Warnings

• If you are in the business of selling or buying retail taxable or wholesale taxable goods, you may also need to obtain a business permit. Rules and regulations for permits vary by State, but the procedure for obtaining a small business license is the same across the country.

• The Small Business Administration offers a wealth of free resources and advice for small business owners and startups

• Some counties require you to apply for a business license and complete an occupational tax application; make sure you understand the rules and regulations from City Hall

• Don't forget to complete a license renewal form before your business license expires; the renewal process varies by State and you can expect to receive a renewal notice in the mail

Resources

• Information on Licenses and Permits via the SBA
• Where to Obtain a Small Business License