Obtaining a business licence for online entrepreneurs


No matter where your business is situated, you need a license to use it. A business license is really a sheet of paper granting the to do business inside a city, county, or state. Licenses are usually valid for any one- or twoyear period and therefore are nontransferable.

You need to pay a fee whenever you make an application for your license. The total amount is usually based on the kind of business you operate and may vary from USD 25 to many thousand dollars.

You (and never a town clerk) should specify which business category you come under whenever you make an application for your license, just because a category especially for an Internet-based, or e-commerce, business may not exist. Instead, you need to pick a broad category based on the specific activity conducted through your site.

Some categories can require steep licensing fees and can not, in fact, affect you. Scour the whole list and also the accompanying fees. Then pick the one most associated with your business along with the lowest fee.

In addition to receiving a city-issued license, you may be necessary to possess a license for that county in which you're operating your business. This license is comparable to a town license but is usually less restrictive and less costly.

Bear in mind that some occupations (building contractors, realtors, along with other professional providers, for instance) might further require that you get a situation license. Even though you probably don't need a situation license to use your online business, you can double-check by going to your state's Web site.

To help you discover what to do for your city licenses, the SBA provides an online list for those 51 states. Each state is split into counties, and also the list provides you with the locations and make contact with amounts of what to do to try to get a license.

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Note: This article was sent to us by: Christopher G. Young at 07042011

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