Are you ready to register your business in Nevada? While the idea of navigating state regulations and filling out forms may not excite you, it’s a necessary step toward realizing your business goals.
Many new business owners struggle with understanding the registration requirements, which can lead to delays and frustration. Our detailed walkthrough simplifies the Nevada business registration process, breaking it down into easy-to-follow steps. We’ll cover everything from selecting your business entity to securing the right licenses, helping you transform your entrepreneurial vision into a legitimate Nevada business.
Related: Starting A Business In Nevada Checklist
Step 1: Choose a Business Structure
The first step to starting a business in Nevada is selecting a business structure (also called a business entity). A business structure is basically how a business is legally organized to conduct business. New business owners need to understand the different types of business structures and choose the one that best suits their needs.
In Nevada, the four most common types of business entities are the sole proprietorship, general partnership, corporation, and Limited Liability Company (LLC). Below is a brief description of each.
Related: Comparison of Business Structures
Sole proprietorship: This is an unincorporated business owned by one individual. This type of entity offers simplicity and flexibility but also carries unlimited personal liability for all debts and obligations incurred by the business. This is suitable for low-risk businesses or individuals testing their business ideas.
Related: How to Start a Sole Proprietorship in Nevada
General partnership: In a general partnership, two or more individuals own and manage the business together. The partners share profits, losses, and liabilities equally, and each partner is responsible for the other’s actions. This structure is relatively easy to set up, but personal liability can be a concern, just like the sole proprietorship.
Corporation: A corporation is a separate legal entity from its owners (shareholders). This structure provides personal liability protection for its owners and can issue shares to raise capital. However, corporations are more complex to establish and maintain, and they can face double taxation (taxed at the corporate level and again when profits are distributed to shareholders as dividends), but they can elect to be taxed as an S corporation, which avoids double taxation by passing income, deductions, and credits through to shareholders.
Related: How to Form a Nevada Corporation
Limited Liability Company (LLC): An LLC is a hybrid structure that combines the limited liability protection of a corporation with the pass-through taxation of a sole proprietorship or partnership. LLCs are flexible in terms of management and ownership and relatively easy to set up and maintain.
Related: How to Form a Nevada LLC
Step 2: Select a Business Name
After selecting your business structure, the next important step is choosing a business name. Here’s an overview of the naming process for different business types in Nevada:
Sole proprietors and general partnerships can use the owner’s personal name or choose a distinct business name. If opting for a name different from the owner’s, they must file a Nevada Fictitious Firm Name (FFM) form, also known as a “doing business as” (DBA) registration. For instance, if a plumber named Jim Jones wants to operate under “Nevada Plumbing Solutions,” he would need to file a DBA.
Corporations and Limited Liability Companies (LLCs) register their names during the formation process. However, if they wish to operate under a name different from their registered name, they too can file for a Fictitious Firm Name.
All businesses, regardless of structure, must ensure their chosen name is unique within the county where the business is located. Before filing any paperwork, performing a county records search is necessary. Many counties in Nevada offer online name search databases to facilitate this process.
Step 3: Federal Employer Identification Number
For many businesses, the next step is obtaining a Federal Employer Identification Number (FEIN), also known as an Employer Identification Number (EIN). This unique nine-digit number, issued by the Internal Revenue Service (IRS), serves as a federal tax ID for your business.
You need an EIN if:
- Your business has employees
- Your business is structured as a corporation, partnership, or multi-member LLC
While sole proprietorships and single-member LLCs without employees can use the owner’s Social Security number for tax purposes, they may still opt to obtain an EIN.
Acquiring an EIN is a straightforward and cost-free process. The most efficient method is to apply online through the IRS website, which typically takes just a few minutes. Alternatively, you can submit your application by mail or fax using Form SS-4, though these methods require more time for processing.
Step 4: Professional Licensing
Some professions in Nevada require state-issued licenses before offering services. The Nevada State Board of Professional Licensure oversees most regulated professions. Some common professions requiring licenses include:
- Contractors (Nevada State Contractors Board)
- Cosmetologists (Nevada State Board of Cosmetology)
- Real estate agents (Nevada Real Estate Division)
- Accountants (Nevada State Board of Accountancy)
- Nurses (Nevada State Board of Nursing)
Visit the Nevada Department of Business and Industry website to determine if your profession requires a license and to find application procedures.
Step 5: Nevada Business Identification Number
In Nevada, many businesses are required to obtain a State of Nevada Business Identification Number from the Nevada Department of Taxation. This registration process is managed through SilverFlume, the state’s official business registration portal.
Who needs to register:
- Businesses selling physical products (Nevada Seller’s Permit)
- Certain service providers
- Businesses with employees in Nevada
This streamlined process allows businesses to fulfill multiple registration requirements simultaneously, simplifying the initial setup phase. For more information, visit the Nevada Department of Taxation.
Step 6: Resale Certificate
After obtaining a Business Identification Number (and their Seller’s Permit Number), businesses in Nevada can acquire a Nevada Resale Certificate. With a valid Resale Certificate, these businesses can buy inventory without paying sales tax at the time of purchase. Instead, they collect sales tax from the end consumer when the product is sold.
Who needs a Resale Certificate:
- Retailers buying products to sell to customers
- Wholesalers purchasing goods to sell to other businesses
- Manufacturers acquiring materials to create products for sale
Step 7: Local Business Licenses
While there isn’t a general state business license In Nevada, many cities and counties require local business licenses. Here are five examples of common local licenses:
- General Business License: Most cities require this license for businesses operating within their jurisdiction. For example, the City of Reno requires all businesses to obtain a general business license from their Business License Division.
- Home-Based Business License: Some municipalities have specific licenses for businesses operated from residential properties. These are usually issued by the city’s planning or zoning department. The City of Henderson, for instance, requires home-based businesses to obtain a Home-Based Business License from their Community Development and Services Department.
- Contractor’s License: Local jurisdictions often require contractors to obtain a city or county license in addition to their state license, which is typically issued by the building department. For example, Clark County requires contractors to obtain a license from its Building and Fire Prevention Department.
- Food Service License: Restaurants, food trucks, and other food-related businesses often need local health permits, usually issued by the county health department. For instance, the Southern Nevada Health District issues food establishment permits for businesses in Las Vegas and surrounding areas.
- Liquor License: Businesses selling alcohol typically need a local liquor license, often issued by the city clerk’s office or a dedicated liquor control board. The City of Sparks, for example, requires businesses selling alcohol to obtain a liquor license from their City Clerk’s Office.
It’s important to note that licensing requirements vary significantly between different cities and counties in Nevada. Always check with your local government offices to ensure compliance with all necessary licensing requirements.
Step 8: Local Building & Zoning Permits
Before finalizing the purchase or lease of a property for your business, it’s important to understand and comply with local building and zoning regulations. These requirements ensure that your business location meets safety standards and operates in an area designated for your type of business activity.
There are several types of permits and approvals you may need to consider:
Zoning Permits: These verify that your intended business use is allowed in the specific location you’ve chosen. Local planning or zoning departments typically handle these permits. Some areas have special considerations for home-based businesses, so check with your local authorities if you plan to operate from home.
Building Permits: If you’re planning to construct a new building or make significant modifications to an existing structure, you’ll likely need a building permit. These ensure that construction meets local building codes and safety standards. Building departments or development services offices usually issue these permits.
Certificate of Occupancy: Many municipalities require businesses to obtain a Certificate of Occupancy before they can begin operations in a building. This document certifies that the building is safe for occupancy and complies with all building codes and zoning laws.
Sign Permits: If you plan to install business signage, you may need a separate permit. These regulate the size, placement, and sometimes the design of business signs to maintain community aesthetics.
Requirements can vary significantly between different cities and counties in Nevada. It’s advisable to consult with your local planning and building departments early in your business setup process to understand all necessary permits and approvals for your specific location and type of business.
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