IA Business License Basics
If you have a business in Iowa then you need a license to operate. There are various types of Iowa business licenses and permits that are required by various government entities at federal, state and local levels. An operating license is the basic type of business license that most all businesses will be required to have.
Each level of government has specific regulations and requirements that has to be met before a business can get a license. If you don’t know the licensing rules in Iowa and follow them it could lead to expensive fines and putting your business in jeopardy.
Types of Business Licenses in Iowa
Federal Business Licenses – The U.S. government has a number of agencies that regulate and supervise business activities. If your business takes part in one of these federally regulated activities you will have to get a federal business license.
Activities that will be required to get a federal business license include:
- Alcohol manufacturing, importing and sales
- Agriculture
- Firearm dealing, importing and manufacturing
- Ammunition and Explosives dealing, importing and manufacturing
- Aviation
- Wildlife related activities
- Mining
- Drilling
- Commercial fishing
- TV and radio broadcasting
- Trucking
State Business Licenses – The majority of Iowa businesses will have to obtain some sort of state business license to be able to legally operate. At the minimum a business will have to get a professional or occupational license. Iowa business licenses are typically used for tax purposes.
Local Business Licenses – Local Iowa governments and municipalities also grant business licenses. All businesses will be required to get some good kind of local business license in order to operate in Iowa.
Permits – Permits are more specific to a certain type of business within an industry. Permits have a wide array of purposes from parking to product sales.
How to Get a Iowa Business License
The steps you have got to take to obtain a business license in Iowa will vary depending on what sort of business license you have to get. No matter what type of license you are hoping to get you will have to fill out application form(s) and supply details about your business.
If you are starting a business or expanding your business you'll have numerous forms to fill out. Be ready to supply your Employer Identification Number (EIN).
The SBA (Small Business Administration) has great online tools for helping business owners figure out exactly what type of Iowa business licenses they need to get, links to websites, applications and instructions. If you’re just starting a business and need guidance on licensing, the SBA is the perfect place to learn more.
Maintaining Your Iowa Business License
Once you get your Iowa business licenses and permits you must still maintain them yearly to keep them up to date. The guidelines below are recommended if you want to ensure your business license is in good standing.
- Make copies of your business licenses and permits.
- Track when licenses and permits have to be renewed.
- Follow the regulations for displaying your business license.
- If you want to change or expand your business make sure you verify whether you need additional permits or business licenses.