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Business

How to get a business license

Most businesses need at least one license or permit to operate legally — typically a general business license from your city or county, and sometimes additional state or federal licenses depending on your industry.

1 day to several weeks depending on license type and jurisdiction
$$50–$400 for a general business license; professional and specialized licenses vary widely
Varies by locality

Business licensing requirements are set at the local (city/county), state, and federal level. Most businesses need a local general business license at minimum. Regulated industries (food service, healthcare, childcare, financial services) require additional state or federal licenses.

Last reviewed: June 5, 2026

Steps

1

Identify all required licenses for your business type

There is no single "business license" — you may need several. Most businesses need a general business license from their city or county. Some industries require state professional licenses (contractors, cosmetologists, doctors, accountants). Certain federal activities require federal licenses (firearms dealers, alcohol sellers, commercial trucking).

Tip: The SBA's business license and permit tool at sba.gov lets you search by business type and state to identify what you need.

2

Register your business entity first

If you're operating as an LLC, corporation, or other formal entity, register with your state Secretary of State before applying for business licenses. Many licensing agencies will require your state registration number or entity documents.

3

Apply for a local business license

Most cities and counties require a general business license just to operate. Apply through your city or county clerk or business licensing office — usually online or in person. Provide your business name, address, type of business, and estimated annual revenue.

4

Apply for any state professional or occupational licenses

If your profession is regulated in your state (contractors, real estate agents, barbers, childcare providers, and many others), you must obtain the relevant state license before operating. Apply through your state's licensing board for that profession.

5

Apply for federal licenses if required

If your business involves firearms, alcohol, broadcasting, aviation, or interstate commercial trucking, you need a federal license or permit. Visit the relevant federal agency (ATF, TTB, FCC, FAA, FMCSA) to apply.

6

Renew your licenses before they expire

Most business licenses must be renewed annually or bi-annually. Missing renewal deadlines can result in fines or business suspension. Keep a calendar of all renewal dates.