Obtaining Your Business License and Permit

There are certain federal and state licenses and permits you will need to obtain to legally operate your business. This course will help you determine which federal and or state license and permit requirements are necessary for your small business and will provide you information on how to obtain them.

Federal Licenses & Permits

If your business is involved in activities supervised and regulated by a federal agency – such as selling alcohol, firearms, commercial fishing, etc. – then you may need to obtain a federal license or permit. Here is a brief list of business activities that require these forms and information on how to apply.

TIP: In addition, you can also use SBA’s Permit Me search tool to find general business permits, licenses and registrations required by your state, county or city.

Agriculture

If you import or transport animals, animal products, biologics, biotechnology or plants across state lines, you’ll need to apply for a permit from the U.S. Department of Agriculture (USDA).

Sole Proprietor Taxes

Because you and your business are one and the same, the business itself is not taxed separately-the sole proprietorship income is your income. You report income and/or losses and expenses with a Schedule C and the standard Form 1040. The “bottom-line amount” from Schedule C transfers to your personal tax return. It’s your responsibility to withhold and pay all income taxes, including self-employmentDownload Adobe Reader to read this link content and estimated taxesDownload Adobe Reader to read this link content. You can find more information about sole proprietorship taxes and other forms at IRS.gov.

Alcoholic Beverages

If you manufacture, wholesale, import, or sell alcoholic beverages at a retail location, you will need to register your business and obtain certain federal permits (for tax purposes) with the U.S. Treasury’s Alcohol and Tobacco Tax and Trade Bureau (TTB). The website has a number of online tools that make this process straightforward. If you are just starting a business in this trade, start by reading the TTB’s New Visitors Guide which offers helpful information for small business owners.

TIP: Remember, you will also need to contact your local Alcohol Beverage Control Board for local alcohol business permit and licensing information.

Aviation

Key Questions: Does your business involve the operation of aircraft; the transportation of goods or people via air; or aircraft maintenance?

If so, you’ll need to apply for one or more of the following licenses and certificates from the Federal Aviation Administration:

• FAA Licenses and Certificates – Get licensing information for airmen, aircraft, airports, airlines and medical aviation services.
• Pilot Licenses and Training Requirements
• Aircraft Mechanic Licenses

Firearms, Ammunition and Explosives

Businesses who manufacture, deal and import firearms, ammunitions and explosives must comply with the Gun Control Act’s licensing requirements. The Act is administered by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).

TIP: Refer to the following resources from the ATF to make sure your business is properly licensed:

• Firearms Industry Guide – Includes information on obtaining and renewing a federal firearms license, importing firearms and ammunitions, and more.
• Explosives Industry Guide – Find out how to get a federal explosives license.
• How to Become a Federal Firearms Licensee (FFL)
• How to Become a Federal Explosives Licensee (FEL)

Fish and Wildlife