Who Needs A License?
Many cities, counties, and states may require you to get a license. In addition, the federal government may also require you to obtain a license. It depends on your industry and the level of regulation applied to it. For example, the construction, law, insurance, mortgage, and real estate professions are heavily regulated and generally require you to be licensed. However, other less popular industries like nail salons, health clubs, and others also require an occupational license in some cases. We’ll describe why many cities, counties, states, and the federal government require them below.
What License Types are Needed by Local Governments?
Almost all local governments require a business license. They generally ask for what we call business tax licenses. These licenses are a revenue source for many cities and counties. They’re needed prior to opening a place of business within the city or county. You can be fined for not obtaining your local license prior to opening your business. The other popular local licenses are similar to business tax licenses. They’re often called permit licenses. For example: Some municipalities in Florida require registered contractors to obtain a local license prior to working there. This is usually to ensure the contractor follows local building codes which may differ from standard building codes.
Are you unsure if you need a local business license? Let us do the research for you! Learn more about our license research services.
What License Types are Needed by State Governments?
This answer depends on your state. All states are different when it comes to licensing. Some of them are very regulated such as California and Florida but others are not. A great example is the travel agency industry. Both California and Florida require travel agents to register with them prior to doing business in the state. However, most other states don’t regulate travel sales and allow travel agents to operate without registering.
Outside of the example above, most traditional industries like construction, banking, insurance, real estate, etc. are regulated. They generally require a state license from you or your business. Every state typically requires that you obtain a license in their state prior to doing business.
What License Types are Required by the Federal Government?
Almost all businesses regulated by the Federal Government are required to get a federal license. These businesses include but aren’t limited to craft breweries, aviators, and those involved in the agriculture industry. These license types often revolve around the payment of federal taxes and approval of certain products.
How do I apply for a license?
Applying for a license can be difficult and time consuming. That’s why The License Company offers our license application, researching, and verification services. Start your license application by using our online application or contacting us today!