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Florida Business License Basics

By: Startup 101
Last Updated: November 15, 2024

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You have a brilliant idea and the drive to succeed, but reality hits. Which forms do you need? Where do you file them? What if you miss a step? It’s easy for your excitement to turn into frustration as you face a mountain of paperwork and confusing government websites.

The clock is ticking, and every day spent figuring out registration is a day your competition gains ground. Your business idea is ready to take flight, but red tape keeps it grounded.

From choosing your business structure to obtaining the right licenses, we’ll walk you through the process of registering your business in Florida. By the end, you’ll have the knowledge and confidence to navigate the registration process and have your business up and running in no time.

Related: Starting A Business In Florida Checklist

Step 1: Choose a Business Structure

A business structure (also called a business entity) is the form of ownership used to conduct business operations. The four main types of entities that can be created in Florida include the sole proprietorship, partnership, corporation, and Limited Liability Company (LLC).

Related: Comparison of Business Structures

Sole Proprietorship

A sole proprietorship is an individually owned business in which the owner is personally responsible for all actions and liabilities. This type of business structure is easier and less expensive to start than the other entities, as there is little to no paperwork to start one.

Related: How to start a sole proprietorship in Florida

General Partnership

A general partnership is a structure that allows two or more persons to operate an unincorporated business and share in the profits. While easy to start, it also comes with downsides similar to a sole proprietorship, as each partner’s personal assets are potentially at risk. This means that if the business were to incur any debts or be involved in legal proceedings, each of the partners would be held liable for it, and all of their personal possessions could be at risk.

Related: What is a partnership?

Corporation

A corporation is a separate legal entity that is owned by shareholders. It offers the benefits of limited liability, which means that shareholders are generally only responsible for the amount they have invested in the company, even if things don’t go as planned. While corporations offer the benefit of personal liability protection, they are the most complex and expensive to start.

Related: How to form a Florida corporation

Limited Liability Company

An LLC, or Limited Liability Company, is a popular business structure that combines the benefits of a corporation with the ease of operation as a partnership or sole proprietorship. The popularity comes from the LLC’s flexibility in management and taxation options while providing limited liability protection to its owners (known as members).

Related: How to form a Florida LLC

Step 2: Select a Business Name

The process of registering your business name in Florida varies depending on your business structure. Let’s break it down:

Sole Proprietorships and Partnerships: If you’re operating a sole proprietorship or partnership and want to use a business name that’s different from your legal name(s), you’ll need to register for a Florida Fictitious Name. This is also commonly known as a “Doing Business As” (DBA) name or trade name.

Corporations and LLCs: Corporations and Limited Liability Companies (LLCs) select their business names during formation. However, there are important considerations:

  1. Your chosen name must be unique and not already used by another registered Florida business entity.
  2. Before finalizing your name choice, check for availability by conducting a Florida business name search on the Florida Department of State’s website.
  3. Florida law requires that the name include an appropriate designator (e.g., “Inc.”, “LLC.”, “Corp.”).
  4. If the exact name you want is unavailable, you may need to modify it or choose an alternative.

Step 3: Federal Employer Identification Number (FEIN)

The Federal Employer Identification Number (FEIN) is a unique nine-digit number assigned by the Internal Revenue Service (IRS) to businesses operating in Florida. It is used for tax filing and reporting purposes, similar to how an individual uses a Social Security number. Companies can apply for an EIN through the IRS website or by submitting a paper form.

Learn How To Register for an EIN

Step 4: Occupational Licensing

Florida maintains strict oversight of numerous professions and will require specific licenses, certifications, or registrations before legally operating in the state.

Key Regulatory Bodies

Florida Department of Business & Professional Regulation (DBPR):

  • If you aren’t sure, this is the best place to start, as the DBPR oversees a wide range of professions, including contractors, real estate agents, cosmetologists, and many others.
  • Manages over 1 million licenses across more than 200 license types.

Department of Agriculture and Consumer Services (DACS):

  • Regulates professions related to agriculture, consumer protection, and certain security services.
  • Oversees licenses for pest control operators, private investigators, and security guards among others.

Florida Department of Health (DOH):

  • Regulates healthcare professions, including doctors, nurses, dentists, and many more.

Examples of Regulated Professions

Here’s a non-exhaustive list of professions that require licensing in Florida:

  • Construction and Related Fields:
    • General Contractors
    • Electricians
    • Plumbers
    • Home Inspectors
    • Architects
    • Landscape Architects
  • Business and Finance:
    • Accountants (CPAs)
    • Real Estate Agents and Brokers
    • Insurance Agents
    • Mortgage Brokers
  • Personal Services:
    • Cosmetologists
    • Barbers
    • Massage Therapists
    • Interior Designers
  • Healthcare:
    • Physicians
    • Nurses
    • Dentists
    • Pharmacists
    • Physical Therapists
  • Legal Services:
    • Attorneys (regulated by the Florida Bar)
  • Other Professions:
    • Teachers (regulated by the Florida Department of Education)
    • Engineers
    • Surveyors
    • Veterinarians

Step 5: Florida Seller’s Permit

A Florida Seller’s Permit, officially called a Sales and Use Tax Certificate of Registration, is a document issued by the Florida Department of Revenue (DOR) that allows businesses to collect sales tax on taxable transactions and remit it to the state.

Who Needs a Seller’s Permit?

  1. Retailers selling tangible personal property
  2. Service providers offering certain taxable services
  3. Wholesalers (for documentation purposes, even though they don’t collect sales tax)
  4. Out-of-state sellers with economic nexus in Florida
  5. Marketplace providers facilitating sales for third-party sellers

Taxable Goods and Services

Florida imposes sales tax on most tangible goods and some services, including:

  • Retail sales of physical products
  • Rental or lease of tangible personal property
  • Sales of alcoholic beverages and tobacco products
  • Admissions to entertainment venues
  • Parking lot services
  • Detective and burglar protection services
  • Nonresidential cleaning services

Learn How To Register for a Florida Seller’s Permit

Step 6: Resale Certificate

A Florida Resale Certificate, officially known as an Annual Resale Certificate for Sales Tax (Form DR-13), is a document issued by the Florida Department of Revenue (DOR) to registered businesses. This certificate allows businesses to purchase goods tax-free when those goods are intended for resale to customers.

The primary purpose of the resale certificate is to avoid paying sales tax on inventory items that will be resold, preventing double taxation, but by not paying sales tax upfront on inventory, businesses can better manage their cash flow.

Who Can Use a Resale Certificate?

  • Retailers
  • Wholesalers
  • Manufacturers
  • Service providers who resell tangible goods as part of their service

How to Obtain a Resale Certificate

  1. Register for a Sales and Use Tax Certificate of Registration (Seller’s Permit) with the Florida DOR.
  2. Once registered, the DOR automatically issues an Annual Resale Certificate each year to active, registered businesses.

Step 7: Local Business Licenses

While Florida doesn’t require a state-wide business license, many local jurisdictions impose their own licensing requirements. These local licenses, often called Business Tax Receipts or Occupational Licenses, are typically required for businesses operating within city or county limits.

  • Jacksonville / Duval County: The City of Jacksonville requires all businesses operating in Jacksonville and/or Duval County to obtain a City Business Tax Receipt from the municipality where the business is located.
  • Miami-Dade County: Not all businesses in the Miami area are required to get a license, however, contractors, towing businesses, locksmiths, moving businesses, swimming pool cleaners, and a few others are required to get a business license through Miami-Date County. 
  • Tampa: The City of Tampa requires businesses operating within city limits to obtain a Local Business Tax Receipt.
  • Orlando: Businesses that operate within Orlando’s city limits must obtain a City and Couty Business Tax Receipt. The City Business Tax Receipt is available through the Orlando Permitting Services Division, and the County Business Tax Application is available from the Orange County Tax Collector.
  • St. Petersburg: A business operating within the St. Petersburg City limits will need to obtain a Business Tax Certificate Receipt.

Step 8: Local Building & Zoning Permits

Navigating building and zoning regulations is a step for many businesses working out of a fixed location to ensure that your business operations comply with local laws, maintain community standards, and operate safely. While requirements can vary significantly across different Florida municipalities, understanding the basics of zoning, building permits, and signage regulations will help you avoid potential legal issues and delays.

Zoning: Before selecting a location for your business, consult your local planning and zoning department to understand zoning laws and whether your business can operate legally from your preferred location.

A home occupation permit is often required. The local zoning department typically issues these permits. In Miami-Dade County, for example, home-based businesses are permitted in residential zones but with specific restrictions. These include:

  • Limited to 25% of the home’s floor area
  • No more than two non-resident employees
  • No outdoor storage or display of goods
  • Business activities must not be visible from the street

Building Permits: If you plan to construct, alter, or significantly repair a building for your business in Florida, you’ll need a building permit from your local building department. In Orlando, the Permitting Services Division handles building permits. Their process includes:

  • Online application submission through the Fast Track system
  • Plan review by multiple city departments
  • Permit issuance once plans are approved and fees are paid
  • Required inspections at various stages of construction

Signage Permits: Before installing any business signage, you typically must obtain a sign permit from your local government. Regulations can vary significantly between jurisdictions. For instance, in St. Petersburg, the Construction Services & Permitting Division manages sign permits. Their process involves:

  • Submission of a sign permit application
  • Detailed plans, including sign dimensions, materials, and mounting details
  • Review for compliance with the city’s sign code
  • Additional review for properties in special districts (e.g., downtown or historic areas)
Take the guesswork out of figuring out what licenses and permits are required to start your business with license research packages from Bizee and LegalZoom.

For only $99, you can save a lot of time and know your business complies with local, state, and federal requirements.


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