Norfolk is a beautiful city in Virginia, and it's a great place to set up shop if you want to start a business. While business licenses in Virginia aren't a state requirement, Norfolk's county requires them, so you'll need one if you want to get started. The good news is that there is usually a flat fee to apply, and it won't usually cost you more than $50 unless you're in a specialized trade.
When it comes to the application process, all of the information you need is easy to access online, so it comes down to filling in the required information. This usually includes your business name, the type of company you have, and any tax ID you're using.
If this sounds like a lot, don't panic because we're here to help. Read on to learn more about how to get a business license in Norfolk.
How To Get a Business License in Norfolk
Step 1: Open a Business
Step 2: Approval for Zoning
Step 3: Fill Out Business License Forms
Step 4: Get Your Permits and Federal or State Licenses
Step 5: Renew Your Norfolk Business License
Contents
What Is a Norfolk Business License?
Norfolk is a city in Virginia, and it has its own rules and regulations for businesses that operate in its jurisdiction. While you’re not required to have a business license by state law, you’ll run into trouble if you don’t get licensed in Norfolk because the city requires every business to have one.
The city requires a license because it lets the public know that your company is reputable and able to pay taxes on transactions. Overall, a business license is a document that allows you to do business in Norfolk. Without one, you’ll have to pay fees and deal with penalties if you file late.
Who Needs a Business License in Norfolk?
Anyone who wants to start a business needs a license if they want to operate in Norfolk. According to Norfolk City Code §24-25.3, companies have to buy a license before commencing operations. It’s important to note that this applies to all types of businesses in Norfolk and even includes home businesses and special events.
If you work in a specific industry, you may also need an industry-specific license. For example, lawyers, doctors, carpenters, and other tradesmen need a specific license to get started in Norfolk. Furthermore, you’ll need a federal license if you want to sell liquor, firearms, or other federally regulated products.
If you’re wondering if you should get a business license in Norfolk, it’s worth it to apply and be prepared instead of getting hit with fees and penalties after the fact.
How Much Does a Business License in Norfolk Cost?
Licenses in Norfolk vary in price based on incentives, location, business type, and how much money your company makes. In fact, there are tons of factors that influence the cost of a business license in Virginia. That said, the biggest factor is the estimation of total gross receipts. If that number is under $100,000, the minimum tax is $50, so you have a flat fee.
On the other hand, if your gross receipts are estimated to be more than $100,000, the price will vary based on your industry. For example, retail companies pay 20 cents for every $100 of revenue, and real estate is .58 cents for every $100 of revenue.
It’s also important to note that some businesses can also have a flat fee and an additional tax. For example, wholesalers have a $50 flat fee and pay .15 cents for every $100 of revenue, and the gross receipt estimate isn’t a factor. Therefore, even if the company makes less than $100,000, the additional .15 cents per $100 of revenue applies. Before starting a business, make sure you take these costs into account.
How To Get a Business License in Norfolk
Norfolk makes it easy to register and start your business. However, you still need to complete a few steps before you can get started. It’s important to come up with a business plan, form a legal entity for your company, and make sure you have all of your zoning information.
Learn more about the steps to get a business license in Norfolk below.
Step 1: Open a Business
The first step is to open a business. To open a business, you need to register the name of your business, provide personal information about yourself, and form a legal entity. A legal entity can be a sole proprietorship, DBA (doing business as), or an LLC. You’ll also need to create an account with the Department of Taxation and create a state tax account to pay taxes on your revenue.
You’ll also need to complete the following if you plan on starting a business:
- Open business checking, savings, or credit accounts
- Secure funding via loans, personal funding, or investors
- Write and submit a business plan
- Get an EIN or use your social security number for tax purposes
- Determine the structure of your business
Some businesses may submit some or all of this information to the appropriate department in Virginia to start a business.
Step 2: Approval for Zoning
The next step is to focus on approval for zoning. Before you can apply for your license in Norfolk, you need to have zoning approval from the city. This can be done by filling out the necessary Business License Zoning Review Application, which grants your business permission to operate at a specific location. It’s also important to fill out the necessary information about what your company does because that also plays into the zoning application.
Zoning is also important if you want to operate your business from home, and there are several rules you need to consider. To summarize, you’ll need to meet the following requirements:
- The business must be less than 25% of the total space of the dwelling
- People who don’t live at the residence can’t work in the business
- Only delivery services that deliver to residential areas, like FedEx or UPS, are allowed to transport goods to the home
- The home can’t cause more traffic in the neighborhood
- Sales can’t happen on-site and must be done online or via shipping
- Commercial vehicles can’t remain in a residential area when they’re not in use
The last thing to note is that you can’t disrupt the neighborhood with your business as well. You can’t cause too much noise, odor, vibrations, or any electrical interference.
Step 3: Fill Out Business License Forms
The next step is to complete your Norfolk business license application. The application is straightforward and requires you to submit information about your business. You’ll have to provide some information about yourself, your company, and your estimated gross receipts for the first year and every year you plan on doing business. Gross estimated receipts are the totals for all of the revenue that flows from a company through all income sources. Therefore, this can include anything from investment gains to property sales.
Once you have the information you need, you can send the forms to the city of Norfolk or fill out the application online. In fact, it’s possible to get your Norfolk business license online by filling out the online application. The online application shouldn’t take you too long, and it can be approved within 3-12 days (on average).
Step 4: Get Your Permits and Federal or State Licenses
Permits are also important if you want to do business in Norfolk. There are dozens of permits you’ll need if you plan on selling specific goods or offering unique services. You can view the types of permits that you need here. Consider some of the permits you might need along with additional federal or state licenses. These licenses are usually for regulated products like alcohol, tobacco, and firearms.
Step 5: Renew Your Norfolk Business License
Once you receive your business license, you still have some work to do. While you don’t have to worry about going through many of the earlier steps again, you have to renew your license each year. The city of Norfolk states that business licenses are only valid from January 1st to December 31st each year. Once the year ends, the license needs to be renewed, or you can end up with penalties or fines.
The good news is that you can renew your Norfolk business license online. There is an application on the city’s website, which makes the process a breeze. You can also mail your renewal forms to the following address:
Norfolk Commissioner of the Revenue
PO Box 2260
Norfolk, VA 23501
We recommend going the online route because it’s faster and more convenient.
How To Look Up Information About a Business License in Norfolk
There are several ways to look up information about a business license because it’s a public record. That said, some methods are better than others. The best way to get current and accurate information about businesses and their licensing is to use the State Corporation Commission Clerk’s website.
The State Corporation Commission Clerk’s database allows you to search for information about a company using its name or other details that you have. On this website, you can learn about licensing and even check to see if your business is licensed.
How To Get a Copy of Your Business License in Norfolk
Getting a copy of your Norfolk business license is simple. Once approved, you can download a copy online using the city of Norfolk’s website. It’s also possible to have a copy mailed to you if you get in touch with the City of Norfolk. If you go this route, you’ll have to wait a few days or weeks. Therefore, it’s better to download a copy online unless you want to display your license in your place of work.
Get Your Norfolk Business License Today
If you want to start a business in Norfolk, Virginia, be prepared to apply for a business license. You’ll need to form a legal entity for your company first, but once you have one, you can begin the application process. As long as you follow the steps we covered in this article, you’ll have no issues getting your Norfolk business license. To avoid any issues, make sure you pay all of the necessary fees and get specialized licenses if your profession requires one.