Businesses in most states require a license or permit from the countrys department of revenue.
This license allows you to conduct business under the name you choose, but it also establishes
that your business is legitimate. Depending on your industry and location, you may need
additional licenses from the federal government or local authorities.
The following are some examples of licenses, permits and approvals:
Business licenses: Businesses are required to have a business license before they can open their
doors for business. These licenses vary by city and state, but in general they require proof of
insurance and disclosure of your company’s name, address and phone number. You may also
be required to pay an annual fee for the license or have it renewed every year with proof of
continued compliance with local regulations.
Zoning permits: Zoning laws are designed to protect residential areas from being overrun with
businesses that could disturb residents’ quality of life. If your business requires a zoning permit
because it operates outdoors or sells goods outside its building, obtaining one will help ensure
that you’re not violating any zoning laws while conducting business.
Sale of alcohol: A liquor license allows you to sell alcohol at your bar or restaurant. Alcohol
licenses can be issued for home consumption or for on-site consumption only. Licenses are
issued by the state’s liquor control board, which is responsible for regulating the sale of alcohol
within its borders.
Food service: If you plan to serve food in your restaurant, you’ll need a permit from your local
health department so inspectors can ensure that sanitary conditions are maintained in the kitchen
and dining room areas of your business. Food service permits may also be required by county
or city governments if you do not operate within city limits but have customers who live within
those jurisdictions.
Fire safety: Your local fire department may require annual inspections of your building’s fire
alarms and sprinkler systems as part of their fire code compliance requirements. If your business
has hazardous materials on site (such as paints, solvents or chemicals), they may require
additional safety precautions such as fire extinguishers or smoke detectors throughout each
work area.
Licenses, permits and registrations are often required to operate asmall business.

