Starting a new business is a thrilling endeavor, especially if you’ve been dreaming about this development for years. But before you can open up a shop, you need to ensure that you have all of the appropriate permits and licenses. If you’re unsure where to start with the process, keep reading.
Of course, the specific licenses and permits you need will depend on your location and business type. The following list will give you a general idea of how to get started. As you go, make sure to use online resources to save yourself time and money along the way.
Table of Contents
A Local Business Operating License
Even if you plan on running just a small business, the IRS requires you to get a license. Your local or city government likely requires the same. A quick internet search will tell you where to find your area’s business license department. Make an appointment to get the process started.
Land Use and Zoning Permits
As you apply for your local business license, you’ll need to inform your local government as to where you plan to do business. The area’s zoning department will check to make sure that the area is zoned for that type of use.
If it’s not, you’ll need to apply for a conditional-use permit before you can begin working in that area. Essentially, you’ll need to prove that your work and business won’t interfere with the safety or the character of the neighborhood.
Sales Tax Permit
Will your business be selling any goods (either online or offline)? Then you’ll need a sales tax permit, which will require you to obtain a federal and state tax identification number as well. Start by contacting your state’s tax commission to learn more about what’s required.
Occupational Licenses
Certain industries have their own licensing standards, which means that you can’t perform work without the proper education and licensing. Some examples of industries that require a license include therapy, nursing, contracting, cosmetology, teaching, law, medicine, etc. Again, these requirements for these licenses will vary from state to state.
Sign Licenses
Do you plan on advertising your business with a large sign placed in front of or on your shop? In many areas, you are required to obtain a license to do so. To get a permit, you must be willing to adhere to the local standards regarding the size and location of the sign. There may also be insurance requirements.
Where to Go from There
As mentioned, this is just a general overview of some of the permits and licenses you need to run a business. If you want to dive more into the specifics of your situation, you might check your state’s business license website or visit sites that explain specialized permit requirements like rapidpermitting.com does for the Florida Keys.
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