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Minnesota Business License

Once you have registered your new business in Minnesota, what is the next step? You have to make the business operational. This can be achieved through applying for a proper business license or permit. It is important to know that Minnesota does not have a single comprehensive license or permit for businesses. At the same time, all types of businesses don’t require a license to operate in the state.

There are several types of businesses that require a permit or business license in Minnesota and the licensing information is available with Minnesota Bureau of Business Licenses (BBL). BBL also publishes a directory that contains detailed information and is known as State of Minnesota Directory of Licenses and Permits.

Minnesota Business License Requirements

How do you obtain a business license in Minnesota? More importantly, does your business require a license or a permit or both? Who is responsible for issuing these licenses? These are some of the important questions that you might be confronted with and hence, we have created a guide that will help answer some of these questions.

Here is a step-by-step approach towards acquiring a business license in the state of Minnesota.

Step#1: The Industry or Business Type

The state of Minnesota issues more than 680 licenses that are administered by 46 state agencies. The type of industry or the activities a business is engaged in helps in identifying the type of business license required. It is also important to know that if your business activities are being regulated and supervised by a federal agency then you will be required to obtain a federal business permit or license. A business that imports animal products, biotechnology, or biologics across state lines will require a federal license.

The requirement for a permit or Minnesota company license is dependent on the type of industry or services. Some of the main categories of services or industry for which a license or permit is required are as under:

  • Adult Care
  • Agriculture
  • Alcoholic Beverages
  • Aviation
  • Buildings and Construction
  • Financial Services
  • Hospitality Industry
  • Technology
  • Corporations and Organizations including Charitable Organizations

Step#2: Licenses issued by City/County

If your business type doesn’t fall under a statewide license then you will have to check with the local city or county office. A general business license in Minnesota is normally issued in some cases and in other cases a specific business entity might be required to maintain compliance with the local ordinances.

Let’s take a look at an example to understand this better.

If you are planning to establish your business in Minneapolis and if your business belongs to the entertainment industry then you will require a business license depending on the type of entertainment establishment being set up. The license and fee will vary according to the following:

  • Amusement: Mechanical Device
  • Place of Amusement
  • Place of Entertainment
  • Pool and Billiard Halls
  • Theater
  • Shooting Galleries
  • Children’s Rides
  • Carnival
  • Charitable Gambling
  • Circus

Step#3: Issuing of Business License

How is a business license in Minnesota issued? Who issues the license? The license is issued by different state agencies and counties depending on the type of business, industry, location, and services or products offered. If you are planning to establish a Satellite Systems Contractor (SSC) business then the license will be issued by Minnesota Department of Labor and Industry (DLI). On the other hand, if you are planning to establish a Debt Collection Agency then the license will be issued by the Minnesota Department of Commerce. The business licenses are normally valid for a year.

Once you have identified the type of business and the permit or license required, you can simply go ahead and apply to the specific licensing board or state agencies or county for that particular business type.

If you have any questions regarding registration of your business or require information regarding business license in Minnesota, feel free to call us on 702-871-8678.

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