Note: Business license requirements are determined by your location, industry, and business activities, not by how you file your taxes. Whether you file as a single-member LLC on Schedule C or you have an LLC that elected S Corp status, the licenses and permits your business needs remain the same and vary by state or county.
What is a business license?
A business license is issued by a government agency that allows a company to conduct certain business activity and/or such activity in a specific jurisdiction. Certain professions may be required to obtain a business license in the state, city, or county where they operate. It’s a good idea to check with any applicable licensing board in the state you are registered in to confirm if a business license may be required.
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, on the state level, a business license gives you the permission to conduct specific types of business activities under that entity. This could apply to all business structures, not just LLCs.
How do I obtain a business license?
After forming your business, you may want to consider researching to determine if a business license may be necessary. While Collective doesn't directly handle business license applications, we've partnered with CSC to provide assistance. Please send us a message in the Messaging Center if you’d like to be connected to CSC.
*You may also seek assistance or guidance from other third party services or state resources.
CSC provides a comprehensive service package for $95, helping you identify and apply for the right licenses for your business. This fee is specifically to conduct the research for potential business license requirements. This does not include business license registration fees.
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 partnerservice@cscglobal.com.
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?
- Notify Collective that you would like to initiate the business license research through CSC and approve the $95 fee that will be invoiced by CSC after completing the research.
- 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 after the research is completed
- 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?
Before you decide to move forward with CSC Business License research, please reach out to Collective to initiate the intro to CSC. Collective will clarify the cost that CSC will bill you, after completing the research. Once confirmed, Collective will provide the questionnaire for you to sign and will initiate the introduction to CSC. CSC will begin conducting the research as soon as the questionnaire is received and will bill you, separately, upon completing the research .
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 legal, financial, or tax advice. It is not intended to be a substitute for obtaining legal, accounting, or other financial advice from an appropriate and/or licensed adviser, or for the purpose of avoiding U.S. Federal, state or local tax payments and penalties.