What business licenses are commonly required?

Common Business Licenses Required in Utah

Starting a business in Utah requires obtaining the appropriate licenses to operate legally and efficiently. The specific licenses depend on your business type, location, and industry.

State-Level Business Licensing

• General Business License: Utah does not require a general state business license, but many cities and counties do. Check local requirements where your business operates.
• Sales Tax License: If your business sells tangible goods or taxable services, register for a sales tax license with the Utah State Tax Commission. This enables proper collection and remittance of sales tax.
• Professional and Occupational Licenses: Certain professions such as contractors, cosmetologists, and real estate agents require state-issued licenses. Verify your industry’s licensing board for specific requirements.

Local Business Licensing

Most Utah cities and counties require a business license or registration to operate within their jurisdiction. This includes:

• City or county business licenses
• Home occupation permits if operating from a residence
• Health permits for food-related businesses

Contact your local city or county clerk’s office to confirm required licenses and fees.

Additional Operational Considerations

• Employer Identification Number (EIN): Obtain from the IRS if hiring employees or forming a corporation or LLC.
• Recordkeeping: Maintain copies of all licenses and renew them as required to stay compliant.
• Insurance: Depending on your business type, workers’ compensation and liability insurance may be mandatory.
• Compliance: Stay updated on license renewals and any regulatory changes to avoid penalties.

As of 2026, always verify licensing requirements with state and local agencies before starting your business to ensure full compliance.