Operating an unlicensed business can be considered fraudulent activity, and can result in arrest, fines, lawsuits, and even business closures. It is essential to understand the risks of non-compliance and obtain the proper license before doing business. Licenses are issued by government agencies and are a type of legal contract that allows holders to perform actions that would otherwise be prohibited. Depending on the type of small business you run, you may need to obtain local, county, state, or federal licenses for small businesses.
To help you classify what licenses are required to start a business, let's look at the possibilities for each level of government. With a few exceptions, these are the main types of business licenses and permits you will need to obtain with your local or municipal government to start your business. Unfortunately, to legally maintain your home business, you will need these types of business licenses to start and run your operations. In addition, online businesses are also not exempt from these regulations.
If you're wondering Do I need a business license to run an online business? the answer is yes. You can find more information by consulting the website of the city in which your business will operate. Some businesses may be exempt from local licensing requirements under state or federal law. As you review the different types of business licenses we've discussed to determine which ones you'll need, don't forget that you can always consult the SBA or your local government agency for help with the licenses needed to start a business.
Dealing with the licenses you need is probably not your favorite part of business ownership, but once you've taken care of this essential step, you can move on to other, more exciting aspects of launching and growing a successful small business. Ultimately, many home-based businesses have to go through the same process to obtain the licenses needed to start any type of business. You can find information and get help for your new or existing Pennsylvania small business by consulting with the Pennsylvania Small Business Development Centers (SBDC). Nearly every business will need one or more licenses to legally start and operate their businesses, whether at the local, state, or federal level.
