Do I Need a Business License for a Home Greeting Card Business?

Home greeting card businesses require a number of permits.

Starting a home-based greeting card business does not just require skill in business. A number of permits will be needed as well. You will also need to familiarize yourself with local zoning laws to ensure it is legal to operate a business in your residence. In addition to licensing and zoning, there are certain tax considerations when operating a home office.

Basic Business License

Most states require a basic business license (BBL) to operate any business. Your home greeting card business is no exception. Check with your state's government offices about basic business permit requirements. BBLs are typically easy and cheap to obtain. Many states allow you to download or even file the necessary forms online. There can be serious legal consequences to operating a company without a BBL, even if it's in your home.

Retail License

If you are going to sell tangible greeting cards, it is likely you will also need a retail license. Licensing requirements vary from state to state, so make sure to check with your local business permit office if one is required. A retail license allows you to conduct a retail operation in a physical storefront or online. Acquiring this license will also allow you to charge sales tax if it is required in your state.

Commercial Zoning

If you plan to operate a retail storefront out of your home, you must check with local zoning officials if it is legal. Most homes are zoned exclusively for dwelling and retail operations are not permitted. Some residences have duel zoning and it might be possible to operate a greeting card store out of your home. This, however, is very unlikely. If your home is not zoned for commercial use, you can petition your local government to rezone your area.

Home Office

Even if your residence does not have commercial zoning, you can still operate an office out of your home. If your greeting card company has retail operations based online, you can legally run it from your home office. Check with your state's permit offices about home office regulations. Most states require a separate home business license. Some states allow you to apportion a certain square footage of your home as office space and deduct it from your property taxes or list it as a business expense.

References

• How to Get a Business License
• Obtaining a Business License or Permit