The Sunshine State is a great place to start a business because it doesn’t charge individuals or separate entities (like LLCs or sole proprietorships) income tax, corporation tax is only 5.5%, and sales tax is a reasonable 6.6%.
But before you start a business in Florida, you must know what business licenses you need and the associated Florida LLC fees.
So, how much does a business license cost in Florida?
Let’s find out.
What is a business license?
A business license is a general term for any licenses, permits, or certifications your state, county, or city requires before you can sell goods or provide services.
The business licenses you’ll need, and the associated Florida LLC costs, depend on your location and the services or products you’ll provide.
Let’s look at which business licenses you might need and their costs next:
What is the cost of a business license in Florida?
The business license cost in Florida varies by location, business nature, and size, and some counties/cities require annual renewal.
Here are some business license examples to give you an idea of what you might need to start your business in Florida:
- Florida business tax receipt: Florida doesn’t require or issue a state business tax receipt (also known as a business license). However, most start-ups need a county or city business tax receipt (BTR). The cost of a BTR depends on your Florida location and can vary from $40 to $1500, depending on your business type.
- Home occupation permit: Entrepreneurs starting a home-run business must apply for a home occupation permit from their local zoning board or county clerk’s office. Fees vary, but most Florida counties/cities charge $50.
- Professional occupational licenses: Certain occupations, like attorneys, healthcare facilitators, realtors, and accountants, need a professional occupation license. Fees vary throughout Florida, ranging from $50 to $100, but can rise to several hundred dollars for more specialized occupations.
- Agriculture and consumer licenses: Any business buying and reselling agricultural products within Florida must apply for this license from the Florida Department of Agriculture and Consumer Services (DACS) to ensure their businesses meet health and legal requirements. The license cost depends on the surety bond amount; for example, a $5,000 to $9,999 bond = $170 license fee, and a $10,000 to $14,999 bond amount = $230 license fee.
- Seller’s permit: Any business that sells certain taxable products or services to Sunshine State residents must get a sales tax permit from the Florida Department of Revenue. You can get one online for free or pay $5 when applying by mail.
- Federal licenses and permits: Besides state and local licenses, some businesses must get a federal license, including those that prepare meat products, work in agriculture, or sell firearms, tobacco, or alcohol. Visit the U.S. Small Business Administration (SBA) website for fees and requirements. License costs vary by profession, ranging from $200 to several hundred.
What are some unique elements of Florida when it comes to business licenses
Florida has 67 counties, each with unique elements and requirements for applying for a business license.
However, one consistency is every Sunshine State business needs a Florida Business Tax Form to pay its taxes. As proof of payment, once received, you must display it in your place of business as it’s subject to inspection by a municipal or county official.
Operating an unlicensed Florida business is a misdemeanor offense with a fine of up to $1000 and one year jail time.
Besides a Florida State Business Tax Form, you might also need a specific city or county BTR, as some cities (like Miami) require both.
Top tip:
You can find the relevant resources and requirements for your business and locality on the Florida Department of Business and Professional Regulation website. And links to each Florida county website on Open My Florida Business.
The types of businesses that require a license in Florida
Your license requirements depend on your business type and where you’ll operate. Although Florida doesn’t require a state business license, certain professions must apply for one. Understanding Florida business license rules is key, as all businesses must apply for a license at local and county levels.
Occupations needing a business license include those requiring extensive training, selling certain products (like firearms or agricultural materials), working in the food industry, or exposing customers to potential hazards.
Some occupations that need a business license include:
- Lawyers
- Accountants
- Architects
- Interior Designers
- Medical professionals
- Barbers and cosmetologists
- Construction-related occupations and building contractors
- Engineers
- Private investigators and security services
- Real estate brokers
- Salespersons
Note:
Any business with employees, corporations, partnerships, nonprofit organizations, and LLCs must have a federal employer identification number (FEIN) from the Internal Revenue Service (IRS).
Top tip:
Use the Sunbiz website for more information about your business’s license requirements.
Conclusion
So, we now know the answer to our question, “How much does a business license cost in Florida?” Is…
It depends on the type of business you’re starting and where you’ll operate because Florida doesn’t require a state business license, and each county and city has its specific requirements.
If you’re just getting started, learning how to open an LLC in Florida can help ensure you’re meeting the right legal requirements from the beginning. Fortunately, you can find each county’s licensing department on the Florida Department of State website.
Happy hunting.
FAQ
To get a business license in Florida, apply through your city or county tax collector’s office and provide details like your EIN, business name, address, start date, and expected sales. You may also need to show proof of professional certifications and pay the required fee.
You’ll usually receive your business license within 2 to 3 weeks after your application date.
Yes, you need a business license and specific permits to run a Florida home-based business in most counties; some also require an additional city-specific tax receipt.
To start a business in Florida, choose a legal structure, register your business name, obtain the necessary licenses, and ensure compliance with zoning and insurance requirements.