What should I know about business licenses in Virginia?
It's hard to know where you're going to stand when you seek a Virginia business license. There's little rhyme or reason as to why some municipalities require a business license in VA and others don't.
The capricious nature of business licenses in Virginia (VA) is especially true on the local level when a business is operating without a physical location. We once assisted a customer operating a Mobile Auto Repair business that needed to provide services in 11 geographically close municipalities. 6 of those municipalities required him to obtain a business license while five waived the obligation (without explanation).
Another complication in Virginia is that the state requires every business to obtain a state tax registration. Unlike most states that require this business license only in the event that a business employs a specific number of people or collects sales tax, Virginia requires it of every business. So it goes in The Old Dominion.
Common Virginia business license questions
You’re in luck! You want to start a business in the Old Dominion State, Virginia? Here is what you need to know to take those first steps to start your business in Virginia.
No, Virginia does not have a statewide business license requirement. However, no matter the size of your business or if you run your business out of your home, each city and county has its own licensing requirements and procedures that must be met.
There are filing and charter fees based on the entity type that can be as low as $15 for the yearly application fee. They can go as high as a few hundred dollars.
Once you reserve a name (be sure to check for name availability first), there are entity forms and registration documents based on the type of business you are starting. There is also a breakdown between foreign (non-Virginia) corporations and limited liability/liability corporations to consider.
If you would like help, Avalara is here to streamline your business license process.