Starting a home business is an extremely exciting amount of time in your life, and no question will fill up you with panic as well. One question that many home based business owners ask is: “Do I have to get yourself a business license for my home business?” It really is a great question. The answer is dependent upon a few factors: which kind of home based business you are working, what area do you reside in and what product(s) or service(s) do you offer.

Many people mistakenly believe that because they run their business from home they don’t need a small business license. This isn’t the situation necessarily, although it is true that lots of types of home businesses do not require a business license. The first thing to do is contact your local municipal affairs office. They will inform you whether or not your city regulations require a business permit for your home business. If you discover that you do need one, you will be asked to fill out a remedy and application questions about the nature of your business. Of course, be prepared to pay a licensing fee. Next, find out whether you need a constant state business license.

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Sometimes a home based business may be asked to obtain a city business permit, but not circumstances one. Other home businesses may need a continuing state license, but not a city one. It is because municipal and state governments to set their own rules predicated on their own needs. Never assume that because you do not require a local business permit that you do not need a state license.

Whether or not you will be required to get yourself a state business license is largely based upon the type of service or product that you offer. For instance, if you are a hair stylist running a business out of your basement, you will be required to get yourself a state license likely.

That industry is regulated by most state governments. If the nature of your business is not state-regulated, you may be in a position to neglect this step. The Internet as well as your local library are good resources of information on what types of home businesses need a state license and exactly how to apply.

If you sell products out of your home, you might be required to get yourself sales taxes permit. This is commonly a gray area of the statutory law and often home businesses that make and sell products, like hand-made craft items, do not get yourself a sales tax license. The selling of something; whether manufactured, or hand-made, sold from your home or a shop, usually requires taxes are paid.