Importance of Licenses and Permits for Business

Conformity and acquiescence is a major factor when it comes to starting a new business.  No matter in which country, state or town you live, you have to conform to some norms and regulations and obtain some licenses and permits before you can actually set up your venture and open door to customers.

When planning to start a new business, it is essential to keep in mind the importance of licenses and permits from your local governing body that give you the permission to operate in your area. No doubt, going for a new licenses or a permit is as good as visiting a dentist but failing to do so right from the beginning can prove to be one of the most deadly any common mistakes most new entrepreneurs make as along with shutting the business down it can lead to great humiliation and loss too.

Before starting out your new venture, either it’s in form of a shop, restaurant or a home based business, it is necessary to find out which licenses and permits you need to set up. This article will guide you in going t the right places for your permits to start a business.

Business License
You will have to contact your city's business license department to find out about getting a license that gives you the permit to operate a business in that city in exchange for a fee. When you will file for a license application, the planning or zoning department will make sure your area is zoned for the purpose you want to use it for and that there are enough parking spaces to meet the necessary codes.

In case you want to operate in an area that is not zoned for your type of business you will have to first get a variance or conditional-use permit by presenting your case before the city's planning commission. Variances are quite easy to get if you can show that your business won't disrupt the character of the neighborhood where you plan to locate.

There are various zoning ordinances for starting a home based business and you will have to check them out before going for a variance or conditional-use permit.

Fire Department Permit
You might need to get a permit from local fire department if you use any flammable materials in your business or if your premises will be open to the public. While in some cities, you will have to get this permit before opening, in other areas you will just have to schedule periodic inspections to ensure fire safety regulations.

If you fail to do so, it can result in issuance of a citation and can be even shut down by the authorities. Businesses such as restaurants, retirement homes and day-care centers specially need a permit from fire department.

Air and Water Pollution Control Permit
You will need an air and water pollution control permit if you burn any materials, discharge anything into the sewers or waterways, or use products that produce gas. Environmental protection regulations also require that you to get approval before doing any construction or beginning such operation. You will have to check out with your state environmental protection agency regarding nay such permit.

County, State and Federal Licenses
In most of the cases, county governments require the same types of permits and licenses as cities and anyone living in those counties is restricted to follow them. The good thing is that county licenses are not as strict as those of big cities.

As for state licenses, each state has its own set of licenses and permits and often entrepreneurs have to pass state examinations before they can get these permits for business. States usually require licensing for auto mechanics, plumbers, electricians, building contractors, collection agents, insurance agents, real estate brokers, re-possessors and anyone else who provides personal services.

Federal licenses are require least worry as very few types of businesses do require federal licensing, including meat processors, radio and TV stations, and investment advisory services. You can check out with the local federal government office to see if you need a permit for your business.

Health Department Permit
You will have to obtain a health department permit if you plan to sell food, either directly to customers as in a restaurant or as a wholesaler to other retailers. This permit depends on the size of business and amount and type of equipment you have and in some cases, health department will even visit your facility before issuing a permit.

It is very necessary that you keep the importance of licenses and permits in your mind before actually planning the venture and starting it. Equipped with the necessary licenses and permits, you will be at an advantage to start your business and will be able to even market it on the basis of meeting all the government stipulations and work hard at making it a success.

Even your customers will trust you better if you stick to all the regulations and ensure that you have all the licenses and permits to start a business.


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