Receive Retail Licensing, Permit and Tax Registration Applications Instantly

Businesses in the Retail, Online, Second-hand and Temporary/Traveling vendor industries are regulated by countless state and local authorities often requiring additional licensing if selling pets, handling food or selling regulated goods such as tobacco. Most establishments, from clothing stores to home businesses and e-commerce websites need to be properly licensed before they can start operating. Our Retail & Online License Wizard performs this research in real-time and takes you straight to the ones you need instantly.

How the Wizard Works

You provide basic information about your business, and we do the rest:

• Research all licensing and permit requirements at every level (including general, specialty and regulated businesses) as well as tax registrations (sales tax, use tax, withholding tax, etc.)
• Provide a free preview listing the number of licenses, permits and tax registrations might be relevant to your business - you'll have the option to purchase the full report delivered via email
• Send you an email with links, instructions and applicable documentation for every application, along with contact information for each respective licensing authority

Industry Background

Most retail and online businesses require some type of general license before allowed to operate legally. All businesses will need some sort of license to comply with mandates for the business activity, safety and (unless exempt) taxation. Businesses such as food establishments, pawn shops and pet shops may require additional licensing. Requirements may also vary by the way in which business is transacted such as obtaining a Certificate of Authority (also called Foreign Qualification) if you are doing business in another state. Failure to obtain proper licensing could leave you with penalties such as a lack of legal protection as well as criminal penalties, ranging from fines to jail time.

NOTE: You cannot incorporate your business through this tool, but we offer that service too!
A common misconception is that the obtainment of licensing turns your company into an LLC, corporation, or other official entity with the state. If you'd like to incorporate, visit our Incorporation Options page.

NOTE: Certain industries are highly regulated by government agencies, and often incur greater licensing requirements.
Examples of highly regulated industries are agriculture, animal related, hazardous materials, education, explosives & firearms, etc. In such cases, we recommend using our Business License Application Package.

Need help understanding your business license requirements?

The following are some specific licenses, permits, requirements, and tax registrations that are common for retail and online establishments:

Sales and Use Tax Registration: Generally imposed on retail sales, leases, rentals of most goods and on some services, a Sales Tax ID is obtained by the state’s Department of Revenue. A Sales Tax ID enables the business to collect taxes, receive a sales tax exemption, and/or obtain resale certificates. New and existing businesses must understand whether and where they should apply for a Sales Tax ID –- the state will issue penalties if your company does not comply with these laws. Only a few states do not collect a sales tax (AK, DE, MT, NH, OR). Other names for the Sales Tax ID include:

• Reseller Permit
• Sales Tax Exemption Certificate
• Sales Tax Vendor ID Number
• Sales Tax Registration
• State Tax ID Number
• Reseller Tax ID
• Reseller Certificate

Payroll Taxes: State and federal taxes that a business is required to withhold and/or pay on behalf of employees. Every state has specific regulations regarding payroll taxes. Employers are also required to withhold Social Security and Medicare from employee wages as well as pay Social Security and Medicare taxes. A business must have payroll taxes established in every state where the business has employees.

Withholding Tax Account: Money withheld from an employee’s paycheck. When hiring employees that will receive a wage an important first step is for the employer to set up a proper tax withholding account. The account is set up with the state department of taxation which will be collecting the funds. Typically, the employer must establish a withholding tax account in each state they have an employee working for the business and in each state that the employee resides.

State Unemployment Tax: Paid by an employer to be added into a fund that an employee can use if they become unemployed. When hiring employees that will receive a wage an important first step is setting up a proper state unemployment tax account (also known as SUTA, unemployment tax or unemployment insurance). This involves registering for an unemployment tax identification in any state that a business has employees and any state where employees reside. Applying for unemployment tax varies by state and may be administered by the state department of labor or state department of taxation.

Food Handling and Safety Licenses: Most Jurisdictions require a food service establishment permit. In addition a food handling permit is typically required for owners and managers which often requires completing a mandatory food handling and sanitation training.

Building Licenses: Retail businesses with a physical location(s) must verify the location meets safety and operational requirements such as fire code, emergency exists, occupancy licensing, etc. Other permit requirements depend on the location. These may include a tax permit, sign permit, alarm or zoning permit and other building permits.

Liquor Licensing: Varies by state and is required if the business intends to serve alcohol. Depending on the city or county, multiple liquor licenses might be needed to satisfy each level of government. Furthermore it may be impossible for a business to obtain a license if the local governments has a cap on the number of liquor licenses available in a neighborhood or block.

Music License: Required by federal law if a business intends on playing live or recorded music. Licensing must be obtained from a music licensing organization such as BMI, ASCAP and SESAC. Obtaining licenses from all three will keep you fully covered and avoid costly penalties. These organizations represent songwriters, composers and music publishers, protecting their performance rights. A cabaret license may be required if you intend on allowing dancing.

Transient (Temporary/Pop-up) Merchant Licensing: Operating a retail business in a temporary location and/or period of time may require a variety of licenses at the state and local levels. Licensing requirements may apply regardless of the length of time a business will be operating, even if it’s for one day. Common types of licensing and tax registrations for transient merchants include:

• Transient Vendor License
• Itinerant Merchant License
• Temporary Sales Tax Permit (Sales and Use Tax registration)
• Privelage Tax License
• Zoning Permits
• Police department registration

Licenses and permits may be issued for one year, sometimes for shorter periods of time to cover limited temporary activities.

Pawn Shop/Second Hand Dealer License: Heavily regulated at the federal, state and local level, a license is almost always required before the business can begin to operate. Furthermore certain jurisdictions require pawn shop/second hand dealer licensing for employees. A vast amount of documentation is required to apply for the license and it requires periodic renewal. Federal laws that regulate pawn shop and second hand dealer businesses include:

• Patriot Act
• Truth in Lending Act
• Credit Opportunity Act

Pet Shop License: Applies to businesses engaging in retailing pets, pet food and pet supplies. More than half of the US have laws regulating the sale of animals and pet supplies at pet shops. Pet shop businesses may be regulated at various levels (state, county and local) as well as restrict the number of pets or types of animals a business can sell. The various license requirements ensure that animals are treated humanely and shown the proper care.