What is a Business License?
A business license, sometimes referred to as an occupational license, is a permit issued by government agencies that allow individuals or companies to conduct business within a specific jurisdiction. It's your official go-ahead to operate legally in your local area or beyond.
Is a Business License the Same as Forming an LLC?
No, they're not the same. While forming an LLC (Limited Liability Company) establishes your business as a legal entity, a business license gives you the permission to conduct specific types of business activities under that entity. This applies to all business structures, not just LLCs.
How Do I Obtain a Business License?
After forming your business, the next step is obtaining any necessary business licenses. During your onboarding with Collective, you'll see steps on your dashboard guiding you through this process. While Collective doesn't directly handle business license applications, we've partnered with CSC to offer you expert assistance.
CSC provides a comprehensive service package for $95, helping you identify and apply for the right licenses for your business.
If you choose to work with CSC, you'll start by filling out a questionnaire that helps them understand your specific needs.
Note: Although Collective has connected you with our partner CSC, all email correspondence, requests, and invoices for CSC services are between you and CSC. You may contact CSC at [email protected].
Working with CSC
After you submit your request, CSC will reach out to you with an email confirmation and introduce you to a specialist who will guide you through the next steps. They'll handle the research to determine what licenses your business requires, which can take a couple of weeks.
What Are the Next Steps?
Complete the CSC questionnaire: This information helps CSC tailor their research to your specific business needs.
Receive Your Business License Research Package: CSC will send you a detailed report on required licenses at federal, state, county, and local levels. It can take a couple of weeks to complete the research.
You will receive an invoice of $95 for this service.
Application Process: If licenses are required, the package will include application forms and instructions. You can choose to apply on your own or have CSC file on your behalf for an additional fee of $90 per filing.
Managing your business license with Collective
On your Collective Dashboard, you'll find options to manage your business licenses. You can upload existing licenses or opt to connect with CSC for help in obtaining new ones.
Frequently Asked Questions
Does filling out the CSC questionnaire initiate a fee?
Yes, it is assumed that you are now utilizing CSC for business license(s) research and ongoing renewal filings.
Why was I sent blank business tax applications from CSC?
It is part of the research package. When a license is found to be needed for your business, CSC will send along all of the material that accompanies it. CSC can assist you with filling out all necessary forms.
Is CSC just researching if I need a business license via the blank forms, or requesting that I fill out and send them back so CSC can file them on my behalf?
The CSC questionnaire is the only form that will be required to be filled out by you so CSC can begin the business license research. CSC will provide you with the research results that may include forms that need to be completed to apply for a business license along with instructions on how to apply. You can use the instructions and forms to apply for the license yourself, or you can email CSC to apply for the licenses on your behalf. There is an additional fee of $90 per filing for CSC to apply for the license for you.
When does the CSC payment kick in, and how much does it cost at each step?
CSC invoices directly to you for each portion separately. CSC offers a special deal exclusively to Collective members. $95 for conducting the business license research, and a $90 filing fee per license if you choose CSC to help apply for the license for you.
Will I have to file anything or does CSC take care of the whole process?
CSC will take care of conducting the research and will provide you with the results to show if a business license is required. The research results will also include the application and instructions to apply for the business license. They will not automatically apply for the business license for you. You can apply for the license on your own using the forms & instructions CSC provided, or you can choose to have CSC apply for the license for you for an additional fee ($90/license).
Disclaimer: The information contained in this document is provided for informational purposes only and should not be construed as financial or tax advice. It is not intended to be a substitute for obtaining accounting or other financial advice from an appropriate financial adviser or for the purpose of avoiding U.S. Federal, state or local tax payments and penalties.