How to Get a Business License in Leesburg, Virginia
Leesburg Business License Basics
Getting a business license in Leesburg requires understanding one structural fact that trips up most first-time applicants: Leesburg is a Town, not a county. Its BPOL licensing system is entirely separate from Loudoun County’s.
Loudoun County’s Commissioner of the Revenue licenses businesses in unincorporated Loudoun County — farms, strip malls, subdivisions outside incorporated town limits. If your business is inside Leesburg’s town limits, you go to the Town of Leesburg Finance Department, not the county. These are two different offices, two different systems, and two different licenses.
But here is the critical trap: even after getting your Town BPOL license, you also need to register separately with Loudoun County for Business Tangible Personal Property tax. Most businesses in Leesburg need both. More on that below.
Most businesses operating within Leesburg town limits need a Town BPOL license. This includes home-based businesses. Licenses are valid January 1 through December 31 each calendar year.
Step 1: Get Zoning Approval
Before the Finance Department will issue your BPOL license, the Department of Community Development must approve your business location.
For commercial locations: All commercial business license applications — including in-Town contractors — must be approved by Community Development. Contact Planning and Zoning to confirm your location is zoned for your intended use and to determine if any additional regulatory permits are required. Sign a lease only after confirming zoning compliance.
For home-based businesses: You need a Home Occupation Permit (or Non-Residential Use Permit) from Community Development. The permit must be approved before the Finance Department issues your license. Home occupation requirements include:
- No external evidence of commercial activity
- No advertising signage at the residence
- No outside employees working on-site
- No commercial vehicle or client traffic that changes the residential character of the neighborhood
Confirm your specific situation with Community Development at leesburgva.gov before applying.
Step 2: Apply for Your BPOL License
Finance Department — Business License Office 1st Floor of Town Hall 25 West Market Street, Leesburg, VA 20176 Phone: (703) 771-2723 Email: [email protected] Hours: Monday – Friday, 8:30 AM – 5:00 PM
Leesburg offers three submission methods:
- In person at Town Hall, 1st Floor
- By email to [email protected] — attach completed form and supporting documents. Responses within 48 hours.
- By mail — download form from leesburgva.gov, complete, and mail with payment.
The email option is unusual for a Virginia municipality and is genuinely convenient. For straightforward applications, many businesses complete the entire process without visiting Town Hall.
Required Information on the Application
Your application must include:
- Owner’s legal name and contact information
- Trade name (if different from owner’s legal name) — if using a trade name, you must first file a fictitious name registration with the Virginia SCC
- Physical business address within Leesburg town limits
- Detailed description of your business activity (this determines your BPOL classification and tax rate)
- Business start date
- Estimated gross receipts through December 31 of the current year
- Entity type (sole proprietor, LLC, partnership, corporation) — use the correct form for your entity type
Supporting Documents
- SCC formation documents: Certificate of Organization (LLC), Articles of Incorporation (corporation), or partnership agreement
- Virginia SCC fictitious name registration (if using a trade name)
- Zoning approval documentation from Community Development
- Any required state or professional licenses for your business type
Home-Based Business Details
The Home Occupation Permit fee is $50 — one time, not annual. You pay it once when you first apply, or when you move your home-based business to a new residential address. If you remain at the same address, you do not pay it again at renewal.
This is a meaningful distinction. Many business owners assume the $50 is an annual charge. It is not. Budget for it once, then it is done.
In-Town contractors who operate from home also need the Home Occupation Permit.
Costs and BPOL Tax Rates
Leesburg’s BPOL tax is based on your gross receipts and your business classification. For new businesses, you pay estimated tax based on projected gross receipts through December 31 of the current year.
BPOL rates vary by classification. Your classification is determined by the Finance Department based on your business description. Common categories include:
- Retail merchants: Rate based on gross receipts
- Service businesses: Rate based on gross receipts (professional services typically carry higher rates than personal services)
- Contractors: Rate based on gross receipts; out-of-state contractors may face different rates than Virginia-based contractors
- Wholesale merchants: Rate based on gross purchases
Contact the Finance Department at (703) 771-2723 or [email protected] for current rate tables for your specific classification.
First Renewal: Reconciliation
At your first renewal (due March 1 of the following year), the Finance Department reconciles your estimated first-year payment against your actual gross receipts:
- If your actual receipts were lower than estimated: excess taxes paid can be refunded or applied to the next year’s bill.
- If actual receipts were higher: you owe additional tax on the difference.
All subsequent renewals are based on prior-year actual gross receipts.
The 10% Late Penalty
Annual renewal is due March 1. Filing after March 1 triggers a 10% penalty on the tax owed. On a $2,000 BPOL tax bill, that is a $200 penalty for missing a calendar deadline.
If you need additional time, Virginia Code §58.1-3703.1 A 2 c provides for a filing extension for reasonable cause — but you must request the extension before March 1. There is no retroactive extension. If you anticipate difficulty meeting the deadline, contact the Finance Department in advance.
Out-of-Town Contractors
Contractors based outside Leesburg who perform work within the town limits have separate licensing requirements. Fees vary depending on whether the contractor is Virginia-based or out-of-state.
Required documentation includes a copy of your Virginia State Contractor License. After your first year, keep the Instructions for Contractor form on file — it will guide your renewal process.
Step 3: Register with Loudoun County for Tangible Personal Property
After obtaining your Town BPOL license, complete the county registration. This is the step most businesses miss.
ALL businesses in Leesburg town limits must file a Business Tangible Personal Property Registration Form with the Loudoun County Commissioner of the Revenue. This is a county-level requirement that exists independently of your Town license.
Loudoun County Commissioner of the Revenue P.O. Box 8000, Leesburg, VA 20177 Phone: (703) 777-0260
The Business Tangible Personal Property Return covers all equipment, computers, furniture, machinery, tools, and other tangible personal property used in your business. You file this annually.
Billing structure: Property taxes — both county and town — are now billed through a centralized system administered by Loudoun County. You receive one combined property tax bill from the county. You do not receive separate bills from the Town and the county for property taxes.
Missing the county registration does not mean you avoid the tax. It means you get assessed penalties when the county discovers the gap — which they will.
Meals Tax and Consumer Taxes
Leesburg meals tax: 3.5% on prepared food and beverages sold for immediate consumption. If your business sells prepared food — restaurant, café, food truck, caterer, bakery with eat-in service — you are a meals tax collector.
Register for meals tax with a Business License Officer at (703) 771-2723 before your first sale. File registration forms with the Town. Collect 3.5% from customers on qualifying transactions and remit to the Town on the required schedule.
Transient occupancy tax: Hotels, bed-and-breakfasts, and short-term rentals (Airbnb, VRBO) pay 6% local tax plus 3% regional tax on lodging revenue. Register with the Finance Department before your first booking.
These are consumer taxes — you add them to the customer’s bill, collect them, and remit them. They are not deducted from your revenue.
Renewal Process
Annual renewal deadline: March 1.
The renewal process changes based on how long your business has been operating in Leesburg:
Businesses in Town less than 3 years: The Town mails a renewal application to your address on file. Complete and return it with payment by March 1.
Businesses in Town 3 or more years: File through the Town’s customer portal at leesburgva.gov/customerportal. This is an online filing option that replaces the paper renewal form for established businesses.
Your existing license remains valid until March 1 of the following renewal year. If you are still operating when March 1 arrives, you must renew regardless of whether you received a mailed notice.
Closing Your Business
When you close or cease operations, notify the Town of Leesburg in writing. Until you formally declare your business closed, the Town considers you to be in business and will continue to assess license fees and taxes.
Do not simply stop filing. Contact the Finance Department at (703) 771-2723 or [email protected] to formally close your account.
You should also notify the Loudoun County Commissioner of the Revenue to close your tangible personal property account.
Solicitors and Peddlers
Door-to-door solicitors and canvassers operating in Leesburg face a dual permit requirement:
- A Loudoun County solicitor permit
- A Town of Leesburg solicitor permit
Both are required. The Town permit is obtained through the Finance Department. This is another example of the Town-County dual structure in action.
Contact Summary
Town of Leesburg Finance Department — Business License Office 25 West Market Street, 1st Floor, Leesburg, VA 20176 Phone: (703) 771-2723 Email: [email protected] Hours: Monday – Friday, 8:30 AM – 5:00 PM
Department of Community Development — Planning and Zoning Town of Leesburg — leesburgva.gov Required for commercial and home-based business zoning approvals.
Loudoun County Commissioner of the Revenue P.O. Box 8000, Leesburg, VA 20177 Phone: (703) 777-0260 Required for Business Tangible Personal Property registration.
Leesburg Economic Development chooseleesburg.com — market data, site selection, business advocacy.
Loudoun SBDC and SCORE Northern Virginia Free consulting and mentoring.
Practical Summary
Three things to internalize before you start:
First: Your Town BPOL license and your Loudoun County tangible personal property registration are separate requirements. Both are mandatory for businesses inside Leesburg town limits. Do not treat the Town license as sufficient — file the county registration as well.
Second: The March 1 renewal deadline is hard. The 10% late penalty applies automatically. If you need an extension, request it before March 1, not after.
Third: The email application option at [email protected] is real, functional, and convenient. For many businesses, you can complete the entire initial application and most renewals without visiting Town Hall — attach your documents, send the email, and wait for the 48-hour response.
For any questions about your specific classification, rate, or required documentation, call the Finance Department at (703) 771-2723 before submitting your application.