If you’re setting up shop this year—whether that’s a piercing studio, tattoo space, home setup, or any service business where clients book time with you—there’s one piece of paperwork you can’t skip: your business license.

It’s not glamorous, and it’s definitely not why you started your craft. But it’s the thing that lets you operate legit, avoid fines, and build trust with clients. Let’s break down what it is, why it matters, and exactly how to get it done without losing weeks to government websites.

What is a business license?

Think of it like your permission slip to operate. A business license is issued by your local or state government and says, “Yes, this business can legally take bookings, sell products, and run in this location.”

Depending on where you are, it might be called a license, a permit, or a registration. Same idea, different label.

According to the U.S. Small Business Administration (SBA), every business needs at least one license or permit before it can legally operate. Bottom line: no license, no business. Or at least no business without risk.

Types of business licenses (and which ones matter for studios)

Here’s the short list most appointment-based businesses run into:

  • General business license – Your city or county’s baseline license to operate.
  • Professional license – Required for trades like piercers, tattoo artists, cosmetologists, estheticians, and barbers. Usually handled at the state level.
  • Sales tax permit (a.k.a. seller’s permit) – If you sell jewelry, aftercare, merch, or anything taxable, you need this. The IRS small business tax page explains how this works.
  • Home occupation permit – If you’re running a home studio, this confirms zoning and client traffic rules.
  • Facility or shop license – For studios that require health inspections and sterilization checks.
  • Special permits – For things like alcohol at events or vending machines.

You might not need all of these, but you’ll almost always need at least one.
If you want a broader overview, the U.S. Chamber of Commerce guide is a great national resource.

Do you really need one?

Here’s a quick gut-check:

  • Do clients visit you?
  • Do you sell taxable products?
  • Are you in a regulated industry like tattoo, piercing, or cosmetology?
  • Are you working out of your home?

If you answered yes to any of the above, then yep—you need a license. Skipping it can mean fines, shutdowns, or awkward client moments when someone asks if you’re “legit.”

Still unsure? USA.gov’s business startup page lists out the basics for new business owners and how licensing fits into the bigger picture.

What you’ll need before applying

Having this prepped saves you from going back and forth:

  • Your business structure (sole prop, LLC, corporation, etc.) – The SBA’s Learning Center has free mini-courses to help you pick the right one.
  • Legal name + brand name – Register a DBA if they’re different.
  • Business address – Studio, home, or mobile setup.
  • Tax ID (EIN) – You can apply for free on the IRS website.
  • Insurance certificate – General liability and professional coverage.
  • Zoning confirmation – Quick check with your city’s planning department.
  • Sanitation plan – Especially important for body art studios.
  • Payment method for fees – Usually $25–$200, depending on location.

If you’re not sure what business category you fall under, you can use the U.S. Census Bureau’s NAICS code lookup tool to match your service type with the correct classification.

How to get a business license in 5 steps

1. Register your business

Pick your structure and make it official with your state or local registry. Even if you’re solo, registering helps you separate business and personal life (and makes banking and taxes smoother).
You can start with the SBA’s step-by-step business launch guide for reference.

2. Get your tax ID

Apply online for free. US = EIN, Canada = BN (if you’re cross-border).
You’ll use this for licenses, taxes, banking, and even setting up booking software that processes payments.
Apply directly via the IRS EIN portal.

3. Check your industry rules

If your work involves body art, piercing, tattooing, or personal care, professional or health licenses might apply.
Resources like Forbes Advisor’s business license guide and LegalZoom’s step-by-step guide are good for understanding what applies nationally.

4. Apply locally

City or county licenses are usually online forms with a small fee. If you’re home-based, file a home occupation permit. If you’ve got a studio, expect a health or fire inspection before opening.
To double-check your permit type, the SBA business license directory helps route you to official links.

5. Keep it current

Renewals sneak up fast. Put renewal dates into your booking calendar, set a reminder, and never let it expire.
Losing your license because of a missed deadline is the most boring way to lose money.

If you plan to grow and hire, you can read up on employment laws via the U.S. Department of Labor.

Special notes for piercing & tattoo studios

  • Practitioner license – For you, the artist. Usually tied to training and BBP certification.
  • Studio or facility license – For the shop itself. Covers sanitation and inspection.
  • Health inspection – Required in many cities before opening.
  • Retail add-on – If you’re selling jewelry or aftercare, register for sales tax.

Pro tip: Keep spore test records, sterilization logs, and insurance certificates in one binder (or in your BooksOpen dashboard). Inspectors love organized studios.

How much does it cost and how long does it take?

  • Cost: Anywhere from $25–$500, depending on your city and trade.
  • Timeline: Same day if it’s just an online filing. A few weeks if inspections are involved.
  • Renewals: Usually yearly. Sometimes every 2–3 years. Put it on your calendar.

If you want to compare timelines or average costs, the NorthWest Registered Agent guide has a great national overview.

Common mistakes (avoid these)

  • Signing a lease before checking zoning.
  • Forgetting to register your DBA/trade name.
  • Selling jewelry or aftercare without a sales tax permit.
  • Letting licenses expire because you didn’t set a reminder.
  • Mixing personal and business banking.

For a simple checklist of what to do right, the SBA’s startup hub covers everything from permits to compliance.

How BooksOpen helps

This is where we step in. Licensing is paperwork, but staying compliant doesn’t end once you get approved. With BooksOpen, you can:

  • Track license renewal dates alongside your calendar
  • Collect deposits and stay compliant with tax rules
  • Store client records and consent forms
  • Keep retail and sales tax clean when selling jewelry or aftercare

We built it for service providers like you, so you spend less time on admin and more time on your craft.

Quick checklist (copy this)

✅ Register your business structure
✅ Get your tax ID
✅ Register a DBA/trade name (if needed)
✅ Confirm zoning for your address
✅ Gather insurance + sanitation docs
✅ Apply for city/county business license
✅ Apply for professional/health permits
✅ Register for sales tax (if selling goods)
✅ Schedule inspections
✅ Set renewal reminders
✅ Start booking clients with deposits

Final word

Getting a license isn’t fun, but it’s simple if you break it down. Do it once, set reminders, and you’ll never stress about it again.

Clients trust licensed studios. Inspectors appreciate organized owners. And you get to focus on what you actually love — your craft, your bookings, your clients.

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