What should I know about business licenses in Colorado?
Colorado's economy is expected to add thousands of jobs in coming years, according to a recent Colorado Business Economic Outlook report. Businesses throughout Colorado will no doubt enjoy increased growth driven by high-tech and manufacturing industries, especially in the Colorado Springs and the Western Slope regions.
If you want to start a business in Colorado, you will need to obtain a general business license, which is referred to as a "use and sales tax license." The location where you plan to open your business determines whether you should apply for a county or city-level business license.
How many business licenses do you need?
The number of business licenses you need in Colorado depends on a number of unique factors.
These factors include...
- Within which city/county will you operate your business?
- What business activities will you be conducting?
- How heavily regulated is your industry? Etc.
To put it in perspective, we ran the following queries through our own business license research tool. Here are some authentic results:
This may include a state-specific Colorado telecommunication license. Our proprietary database of business license information indicates that an Application to Lease a Certificate of Public Convenience is necessary to obtain this license.
This may include a local Aspen sales tax permit. Business owners may need to submit a Combined Sales Tax and Business License Application to get this permit.
This may include a state-specific Colorado meat license. Not surprisingly, Colorado requires business owners in this industry to submit a Meat Processor License Application.
See where you might owe sales tax
Need to know where and when you owe sales tax? Get a free Economic Sales Tax Risk Assessment for your nexus analysis today.
Common Colorado business license questions
We put together a few of the most common Colorado business license questions to help you discover how you can get licensed in the Centennial State.
When it comes to Colorado, the state itself does not issue or require a generic business license. Instead, state agencies and cities issue licenses depending on your industry and business activities.
Check with your city to learn which licenses your business needs.
How much a Colorado business license costs can vary depending on where you’re located and what kind of business you’re running.
The application fee for a restaurant business license in Boulder, Colorado can range from $330 to $680, plus a Colorado retail licensing fee that could be between $195 and $465. In Aspen, the fee currently ranges between $150 and $750 depending on the number of employees. Make sure you check with your city to learn more.
The first part of getting a business license in Colorado is determining which licenses you need. After you’ve identified which licenses are required, you must contact the city where you plan to do business.
In some cases, you can apply for your business license online. Avalara can help simplify the process by identifying and preparing applications for the necessary licenses.