Starting a business means getting tons of paperwork done. One of the most important documents that you have to deal with is the city license. Some business owners choose to skip getting one they see their business take off. However, you should know that without it, your business cannot legally operate.
Why Getting a City License is Important for Your Business
A city license serves as your permit to legally operate your business. It is a requirement that all companies, regardless of type, must have. Failure to secure a city license comes with penalties and charges, and getting one comes with the following benefits:
Providing Legal Protection
To receive a business license, an owner must provide proof to the state and city government that the business has the necessary infrastructures, plans, and policies that are in line with Las Vegas regulations. When you have the permit, you can rest easy that your business won’t be sanctioned or shut down for non-compliance.
Establishing Consumer Trust and Business Credibility
When your consumers know that you have a license to operate, they will choose you over your competitors. Your license is your proof that you are a legal entity. A city license shows that you are compliant with the city and state laws. Credibility is vital in business, particularly for a business owner who is new in the industry.
Securing Additional Funding
Some new Las Vegas businesses often require additional funding, and you would quickly get this if you have legal proof, such as the business license. For instance, the State of Nevada offers financing for start-up businesses provided that you can qualify with the requirements, and one of them is the city business license.
Adhering to Tax Requirements
The Nevada Secretary issuing a license for all types of businesses serves to keep track of proper tax records. Complying with the tax requirements helps to ensure continuity of business operations and avoid any legal or financial issues. Moreover, paying federal and state taxes on a quarterly basis keeps the license up to date and notify businesses to pay taxes that are due.
Acquiring Wholesale License Benefits
Business owners can get a cheaper cost for their merchandise with a wholesale license. This license allows entrepreneurs to buy items at a wholesale price, equivalent to the price of manufacturing an item compared to the amount sold at retail stores. More than that, business operators buying items for resale do not pay taxes as the customers are the ones paying taxes on resold items. Holding a wholesale license guarantee that your business is legit.
What Are the Required Documents for Getting a City License in Las Vegas
Now that you know how important it is to get a city license for your Las Vegas business, it is high time to prepare the documents needed to secure one. Here’s the list of all the things that you need in processing your application for a business license:
- Employer Identification Number (EIN) or Social Security Number (SSN)
- Business Entity Type: Sole Proprietor, Partnership, LLC, Corporation
- Opening Date of the business and hours of operation
- Name, home address, phone number, birthdate, title, percentage of ownership, and valid driver’s license number of the business owners or principals
- A brief description of business-related activities you intend to carry out
- Number of qualified individuals involved in business operations
- Type of business, whether it includes regulated activities in particular, including adult entertainment, gambling, alcohol, sales, vending machines, pawnshops, real estate rentals, etc.
Depending on the nature of your business, additional licenses or permits may apply for specific business types. Some of these other requirements based on the type of business may include:
- Adult daycare facility permits from the Nevada Department of Health and Human Services for Assisted Living Facilities
- Health permit for a restaurant or bakery business
- A contractor’s license for a construction company
- A state insurance license for an insurance business
- Wastewater profile for a manufacturing business
In addition, you also have to make sure that the location of your business is in compliance with the zoning laws and regulations in your area by consulting with the City of Las Vegas Development Services Center.
Types of City Licenses in Las Vegas
The type of city license depends on the nature of your business. In Las Vegas, some companies must present additional permits before they can secure their city licenses. For instance, a special care facility must first get a modified medical detoxification facility license from the Nevada Bureau of Licensure and Certification before they can obtain a city license. For food businesses, owners must first secure a health permit from the Southern Nevada Health District before the issuance of a Las Vegas business license.
Final Thoughts
For new entrepreneurs, their city license serves as a badge of achievement. Most use their business license as a motivation to grow their business into a profitable one. So, get one and use it to your advantage.
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