How to Get a Business License in Virginia

What Is a Business License?

A business license is a legal document that’s issued by the federal government, state governments, and local governments. They’re permits that allow a business to sell a specific product, provide a specific service, or even pay taxes. For this reason, there are many types of business licenses, and getting one is an important part of remaining compliant with state or local laws.

In Virginia, the state doesn’t require you to have a business license, but most counties will want some type of documentation. This also applies to freelancers and businesses that aren’t LLCs, so make sure you consider what type of license you need before you get started.

Where Do You Get a Business License in Virginia?

There are a few places where you can get a business license in Virginia. In fact, most of the information is available online and easily accessible with a quick search. The only problem is that you have to go through a different organization for each county that you plan on operating in. To speed up the process, look for websites that pertain to the state licensing bureau.

Applying for a business license online is a great idea, but we still recommend contacting your local city or state agency responsible for issuing licenses. While it might take longer to apply, it’s worth it to make sure everything is done properly.

Who Needs a Business License in Virginia?

If you plan on doing any type of business in Virginia, you should have a license. You’ll need one to conduct most types of business, even online sales on platforms like Etsy or Facebook marketplace (if you’re moving enough merchandise). Therefore, anyone who wants to open a business in Virginia should apply for a license once the company is formed.

Other specific fields require licenses in order for you to provide a service. For example, real estate brokers need licenses to sell properties, and handyman services need licenses to work on projects in people’s homes. In fact, lawyers, doctors, and many other professionals need a license to operate in any of Virginia’s counties.

It’s also important to note that business licenses are required in most of Virginia’s jurisdictions. Most local governments require a business to have a license before its doors open – every county has different rules and regulations, so make sure you look up the specific rules in your area. There are also business license taxes you might have to pay, and the cost will vary based on the county and what your company earns in revenue.

We highly recommend contacting your local government office to learn more about the specific process for getting a license in your area. Plus, they can give you specific information about the process and what you need.

How Much Does a Business License in Virginia Cost?

The cost of a business license varies based on the county you operate in, the type of license, and several other factors. On average, you can expect to pay around $15 to $50 on a business license, but if your business has a revenue that’s over $100,000, the rate will increase. For example, some counties in Virginia will charge 30 cents for every $100 of revenue for companies that make more than $10,000.

On the other hand, there are also some exceptions for companies that make less than $10,000. For example, some counties won’t charge anything for a license if the company isn’t projected to make more than $10,000. Other exceptions and fees may vary, so it’s important to learn more about how much a business license costs in your specific jurisdiction.

The last thing to note is that some business licenses require many years of education or training. For example, you have to pay for an extensive education if you plan on becoming a doctor. Therefore, you need to factor in this cost before starting your business or choosing a path for your company.

Do Business Licenses Need To Be Renewed in Virginia?

Yes, you’ll need to renew your licenses if you want to remain compliant. The length of time between renewals varies based on the license and the county. That said, you usually only have to renew the license once per year. Some counties will have specific requirements, like Chesapeake, which requires the license to be renewed in March. Otherwise, look into your local jurisdiction’s rules to learn more about the requirements.

What Information Is Required for a Business License in Virginia?

Business licenses have several requirements that you need to meet to qualify. It’s important to make sure all of your information is in order when you apply for the license. If you’re missing any information, there’s a chance that your license won’t get approved, so it’s a good idea to check that everything is accurate before applying.

Learn more about what the requirements are for a business license in Virginia below.

The name of your business
An employer identification number (EIN) or social security number
The type of company that you formed – whether it’s an LLC, sole proprietorship, or partnership
The address and contact information for your business
Your projected revenue, income, and expenses
A certificate of insurance for your business

Once you have this information, you can obtain your license from the jurisdiction in which you plan on operating.

What Are the Types of Business Licenses in Virginia?

There are several types of business licenses that you need to be familiar with if you plan on starting a business. You’ll need to have the appropriate licenses for your specific company, so the answer won’t be the same for everyone. The types of licenses that you’ll need vary but may include local permits, zoning permits, federal permits, and other types of licenses.

Learn more about some of the most common types of licenses below.

General Business Licenses

The most common licenses that you’ll need in Virginia are general business licenses. These are general licenses that allow you to provide a good or service in Virginia. You’ll need one of these licenses for selling things that don’t require other specific licenses. For example, someone who sells products online might need a general license that’s just for tax purposes. This may also apply to freelancers and other professionals in less regulated fields.

Some other general licenses include seller’s permits, tax certifications, and some other common permits. Not every business needs these, but make sure you look into your jurisdiction’s rules to avoid problems. Overall, if it’s not super specific, there’s a good chance that all you need is a general license.

Doing Business As License or Permits

In Virginia, you’ll need a DBA license or permit if you plan on doing business under a different name than your own (if sole proprietorship) or the company you created. These permits are there to show the county or state that your business is operating under your selected name.

Without one of these permits, you can be subjected to fees and other extra expenses. Therefore, it’s important to avoid operating without filing. In fact, even if you plan on having a website domain or registered business name, you need to operate with that name unless you file for the permit.

That said, the requirements for getting a DBA vary based on the location. Some counties in Virginia will make it easier to obtain the permit, while others might want to know why you’re operating under a different name. Regardless, always make sure you look into doing the process properly to avoid any trademark infringement or other issues.

Professional Business Licenses

Professionals require specialized training to get the job done, so before they interact with customers, they have to get a license. Professions that require a license vary, but some common examples include:

Insurance brokers
Real estate agents
Lawyers
Doctors
Dentists
Mechanics
Electricians
Plumbers

If you can think of other professions that require education, experience, or passing exams, there’s a good chance that they require a professional license.

Zoning and Building Permits

Another type of business license in Virginia is a building and zoning permit. Building and zoning permits are for companies that plan on building on land in a town or moving their operations into an existing location. If you want to do this properly, you need to have the right zoning permit and plan to build in areas that are designed for commercial use.

On the other hand, if you operate from home, you’ll need a specific permit informing the local government of what you’re doing. For example, you can sell on Etsy from your home, but there’s a good chance the government will be opposed to you selling nuclear waste out of your garage.

Additionally, you may need specific permits if you want to build a warehouse or another large building in a town or city. Always make sure you provide the local government with your plans to avoid any problems.

Fire Department Permits

Most counties in Virginia will require a business to have a fire inspection and safety permit. These permits are granted by the local fire department, and they ensure that a building is up to code. The code will vary based on the region, but it usually has to do with the maximum occupancy for guests, having enough space, and having the proper safety equipment to manage fires and other dangers. Fire extinguishers and some other safety features must also be available, but the specific items will vary based on the jurisdiction.

It’s also important to note that there are different requirements for how often you need to get these permits. Some counties in Virginia require you to go through annual inspections, but some others may only require you to have the initial inspection. Always check with the rules in your area to be sure that your business is up to code.

Health Licenses and Permits

The next license to focus on is a health license. These licenses are important because they ensure that your business is safe for customers and employees. The most common license or permit that you need is one from the Occupational Safety and Health Administration (OSHA). One of these licenses will ensure that your business is safe for everyone in the building and these inspections may need to be done annually.

OSHA licenses aside, certain businesses, like bars or restaurants, have to be assessed to verify that the business is up to food and drink safety standards. Every municipality’s rules are different, so it’s important to check the rules for each county you plan on operating in.

Sign Permits

This one might sound strange, but most businesses need a sign permit before placing signage. In fact, you might need a permit if you want to put certain signs up on your property. If you don’t have the necessary permit, you can run into hefty fines. While it’s one of the least common penalties to get, it’s not worth the risk of having someone notice that you don’t have the permit when it’s only a few extra bucks in Virginia.

Additionally, you need to make sure the sign is up to code in your area, and this may vary based on each town in Virginia. Therefore, check with your town’s information center to determine if the sign you want to use is up to code.

Environment Licenses

When you’re opening a business that’s operating near the ocean or if you have to remove hazardous waste, most counties in Virginia require you to get an environmental license. These licenses will give you specific instructions for how to manage waste, transport waste, and much more.

In order to operate legally, you’ll need an inspection and one of these licenses. Depending on the type of business, you might need to get other environmental licenses or obtain a few of them.

Federal Licenses and Permits

Numerous federal agencies have been put in place to regulate businesses and their operations. If your business falls into the federal government’s jurisdiction, you need the appropriate license, or you can face fines and other problems. You’ll also have to renew permits and pay any fees to remain compliant.

Typically, federal licenses and permits are intended for industries like farming, mining, and the sale of alcohol and tobacco. Firearms and some other specific products will also require some type of federal permit. To understand what you need, we recommend reaching out to the specific agency.

There are a handful of steps you need to follow if you want to get a business license in Virginia. We provide you with simple breakdowns of each step below.

Step 1: Form Your Company

Before you can get a business license in Virginia, you have to create a company. There are many ways you can go about this, but the most popular option is forming an LLC. Forming an LLC is a great idea because it shields you from liability, helps you keep your finances separate, and improves organization. Plus, LLCs don’t have to be large companies, and you can start an LLC as a small business in Virginia if you know what information you need.

Still, you can also form a sole proprietorship or function as a partnership if you want to go that route instead; freelancers and people using a DBA (doing business as) can also form a business.

When it’s time to start a business in Virginia, follow the steps below:

Write a business plan and come up with a name and brand for your business. The county will want to know this information when you apply for your license and other documents.
Register your business name and purchase any necessary domains.
Choose a structure for your business; this is where you choose between LLC, sole proprietorship, DBA, or partnership.
Appoint a registered agent if you have an LLC, and make sure you list their name and organization on the Articles of Organization.
File your Articles of Organization. This can be done online or at the State Corporation Commission in Richmond. If you’re not starting an LLC, you might have to notify your local government instead.
Get an EIN from the IRS that you will use for taxes.
Obtain the necessary permits and apply for a business license.
Come up with an operating agreement. This will help with any legal problems because it indicates how your company is intended to work.
Get business insurance to protect your assets and customers.
Open a business bank account, acquire funding, and get a business credit card if you need one.

Once you follow these steps, you’ll have a properly set up business in the state of Virginia, and from there, you can follow the rest of our steps to get licensed.

Step 2: Apply for a Local Business License

The next step in the process is to apply for a local business license. When you want to do business in any of Virginia’s counties, you must have a license to do so. This is because the county uses the license to collect taxes, determine zoning, and much more.

If you don’t have a business license, some counties may allow you to use a business tax certificate instead. That said, we recommend getting the business license because it usually only costs around $15-$50, depending on the size of your company.

It’s also important to note that if you plan on doing business in multiple counties, you’ll need multiple licenses. In fact, you’ll need to apply for one in each county you plan on doing business in.

Step 3: Evaluate Professional Licenses

The next part of the process is evaluating any other professional licenses that you might need. Professional licenses are for people who work in occupations that require specific licensing from the state or local government. For example, many insurance agents will need a license for the insurance they sell – a car insurance salesman must be licensed to sell that type of insurance.

Additionally, professionals like plumbers, electricians, and carpenters need a license to operate in many of Virginia’s counties. Doctors, dentists, lawyers, and other professionals may also need licenses relevant to their fields.

While applying for all of these licenses may seem complicated, you can use Virginia’s database to help you find any relevant licenses for your business. This can help you save time and money, especially if you are applying for a license you may not actually need.

Step 4: Apply for Sales Tax Permits or Tax Accounts

Once you’re a licensed professional or business in Virginia, you need to pay your taxes. Failing to pay your taxes will result in fees, penalties, interest, and even garnished wages. What’s more, failing to establish these accounts can result in legal problems.

The two things you need to start a business in Virginia are usually a seller’s permit or sales tax permit and a state tax account. You’ll need to provide your company’s EIN to create these accounts, but you can use your social security number if you’re a freelancer or small business owner.

Step 5: Apply for Federal Licenses

The state of Virginia doesn’t require licenses at the state level, but that doesn’t mean the federal government doesn’t. Therefore, it’s important to check to see if the government requires any specific license for your industry, or you can get into trouble or end up not being allowed to sell some types of products.

Federal licenses are usually for specific industries. Some examples include:

Firearm sales
Tobacco sales
Mining
Alcohol sales
Military-grade weapons sales
Transporting specific types of waste
Nuclear waste

Depending on your industry, it’s a good idea to consider the licenses that you need. You also need to follow the appropriate renewal protocols to remain compliant.

Virginia Business License FAQ

Have questions about getting a business license in Virginia? Find answers to some of the most common questions below.

How Do I Get a Copy of My Business License?

Virginia used to mail copies of business licenses, but this has since changed. Today, you have to print your license online. You can do so by visiting the State Corporation Commission’s (SCC) website. From there, you can print anything you need, including a copy of your business license.

Collecting any of your records from the County Clerk’s Office is also possible. They may charge you a $6 fee to collect your documents, and that can vary based on images and other things that you request.

We always recommend the online route because it’s cheaper and more efficient. If you don’t have a printer, visit your local library for low-cost printing services.

Do I Need a Business License to Freelance in Virginia?

No, you don’t typically need a business license to freelance in Virginia. However, there are a few exceptions. For example, if you plan on freelancing as a handyman or consultant for a regulated industry, you might need to apply for a business license. You may also need a license if you’re projected to make over a certain revenue and end up creating an agency.

That said, many freelancers can get by without a license in Virginia, but we recommend applying for one regardless, just in case – when it comes to taxes and the law, it’s better to be prepared.

How Long Does it Take to Get a Business License in Virginia?

From start to finish, it takes about 3 to 12 days to get a business license in Virginia. It takes a few minutes to fill out the paperwork you need, and then you need to submit it to the proper agency online or through the mail. Once they have your application, it can take 3 to 12 days to review and approve the license. If anything is incorrect, the process might take more than 12 days.

It’s also important to note that some business licenses aren’t something you can get right away. For example, you might need specific education to become a plumber, dentist, or lawyer, so you have to factor that in if you plan on starting a business. What’s more, some licenses don’t get approved quickly and may take 6 months to 1 year – this is usually with specific jobs like transporting waste.

Do I Need a Business License to Sell Online in Virginia?

Yes, you need a business license to sell online in Virginia. You’ll need a seller’s permit if you plan on selling any goods, even if you plan on selling on platforms like Etsy. The only time you won’t need a license to sell online is if you only plan on doing it a handful of times and not for a lot of profit (like selling an old dresser on Facebook Marketplace).

Therefore, you need to consider if what you’re selling online is more of a hobby or a business – each county will have its own rules for when something becomes a business, so learn as much as you can before you get started.

Get Your Business License Today

Applying for a business license isn’t hard when you know how and where to apply. More often than not, the application only takes a few minutes to complete and costs less than $50. In most Virginia counties, expect your license to get approved in about three to twelve days, and make sure you get any licenses that are specifically required for your industry.

Overall, getting a business license in Virginia is a breeze as long as you follow the appropriate process, form your business properly, and come up with a solid business plan.