How to Set Up a Business in South Carolina

The process of starting a business in South Carolina is fairly straightforward.

You shouldn't have that much trouble starting a business in South Carolina. The state's requirements for business licenses and registration are pretty basic and easy to follow. Most of what the average person will have to do to start a business in South Carolina involves registering with the state's Department of Revenue.

Things You'll Need

• Type of Business Organization
• Business Registration
• Tax Registration
• Retail Sales License
• Other State Licenses

Instructions

Choose the Business Organization

1. 

   Some businesses will need to register with the Secretary of State

   You will need to decide what kind of business organization you want to form. The four most common business organizations are sole proprietors, corporations, partnerships and Limited Liability Companies (LLC).

2. 

   Registration with Department of Revenue required

   Those who start corporations and LLCs in South Carolina will have to register with the state Secretary of State's Division of Business Filings. Persons who start sole proprietorships and partnerships can skip this step.

   S.C. Secretary of State's Office

   1205 Pendleton Street, Suite 525

   Columbia, SC 29201

   803-734-2158

   scos.com

3. 

   Retail sales licenses are required in South Carolina

   All businesses in South Carolina have to register with the state's Department of Revenue for tax purposes. Most entrepreneurs will be able to do this by filling out form SCTC-111, which is available from the Department's website. Submitting this form is also the first step in applying for most state business licenses in South Carolina.

   South Carolina Department of Revenue

   P.O. Box 125

   Columbia SC 29214

   803-898-5000

   sctax.org

4. 

   Purchaser's Certificate of Registration

   The next step is determining if you need a retail sales license. All businesses that make retail sales in South Carolina are required to have a retail license. Even businesses that makes retail sales without a permanent shop are required to get a retail sales license in South Carolina. A person can apply for a retail license using form SCTC-111, available from the Department of Revenue.

   South Carolina Department of Revenue

   P.O. Box 125

   Columbia SC 29214

   803 898-5000

   sctax.org

5. 

   Determine what additional business licenses you may need

   Businesses that don't make retail sales but purchase goods or supplies from outside the state need a Purchaser's Use Certificate in South Carolina. Most construction contractors will need to get this certificate. This certificate can be obtained from the South Carolina Department of Revenue.

6. 

   A special license could be required for this business.

   Additional licensing is required for certain kinds of businesses in South Carolina. Businesses that sell alcohol need an Alcoholic Beverage License. Other licenses required in South Carolina include tobacco licenses, Bingo licenses, Admissions Tax licenses, Coin-operated Device licenses, Fuel Tax licenses and Soft Drink licenses. Details about these licenses are available from the South Carolina Department of Revenue.

Tips & Warnings

• All of the forms needed to start a business in South Carolina are available on the state Department of Revenue's website.

• It would be a good idea to check with the State Department of Revenue about sales tax before starting a business in South Carolina. The state's sales tax system is very confusing because there are different tax requirements for different kinds of businesses. The Department of Revenue should be able to tell you what you need to know about the sales tax.

References

• South Carolina Business Portal
• South Carolina Secretary of State Divsion of Business Filings
• South Carolina Department of Revenue: Starting a Small Business in SC

Resources

• Business.gov Starting a Business in South Carolina