How to Get a South Carolina Business License

Do you need a business license in South Carolina?

Whether you need a business license in South Carolina will depend on various factors, such as your business activity and location. You may also need multiple licenses to comply with local, state, and federal regulations.

South Carolina state

Does South Carolina require a business license? No, South Carolina does not require a statewide business license that applies to all businesses.

That said, this doesn't necessarily mean your business is off the hook when it comes to state-level licenses. There are several South Carolina business regulations that involve certain industries and operations.

For instance, South Carolina's Division of Professional and Occupational Licensing Boards (POL) requires certain professions to earn occupational licenses before they can do business within the state. Massage therapists, architects, accountants, and healthcare professionals are a few examples of professionals who need licenses at the state level.

The South Carolina Department of Revenue also oversees licensing, but they require tax licenses, which are different from standard business licenses. These tax licenses are required for businesses that sell taxable goods or services. 

Local

Businesses located in certain jurisdictions may also need local licenses or permits. In some cases, you may need multiple licenses if you operate in multiple areas of the state. For instance, if you have a business located in Charleston that serves customers in Greenville, you will likely need to obtain a license from both cities.

The official website of the State of South Carolina features an interactive map and a full list of contact information for each county so you can explore and contact the ones that apply to your business locations.

Federal

Some industries are also federally regulated, meaning they must comply with federal licensing requirements.

Federal agencies oversee business operations related to aviation, transportation and logistics, radio and television broadcasting, agriculture, and firearm industries, among others. Each federal agency has its own rules, application processes, and fees.

How to get a business license in South Carolina in 5 steps

As you can see, you'll need to do a little digging to determine which licenses you need. Follow these five steps to help ensure your South Carolina business is compliant with local, state, and federal licensing regulations.

Step 1: Form your South Carolina business

Before researching and applying for business licenses, you must first form your new business. You may want to start by writing a business plan. A business plan is useful for defining your goals, identifying issues early on, and getting all stakeholders on the same page. This is also a good time to determine your North American Industry Classification System (NAICS) code. Your NAICS code is used to classify your business; you'll need it when filing your state Business Tax Application. To find yours, conduct a search using the NAICS Code Identification Tool.

Choose your business structure, such as a corporation, limited liability company, partnership, or sole proprietorship, and select an appropriate name that aligns with government naming guidelines. Then, register your business with the Secretary of State to formally establish your business.

LegalZoom offers handy business formation services that will oversee the entire process for you.

Step 2: Obtain an EIN

Next, you must acquire an employee identification number (EIN) so that you can file your taxes, hire employees, and open a business account.

You can request an EIN through the Internal Revenue Service (IRS) or hire LegalZoom to submit your EIN application.

Step 3: Determine if you need a South Carolina business license

As discussed, there is no blanket South Carolina business license, but your business may still need to obtain licenses from the state.

Navigate to the SC POL webpage to determine if your profession needs an occupational license. If you see your occupation or industry listed, click on the respective licensing board and follow the business license application instructions. Depending on the license, you may also need to pay a business license fee.

Next, visit the South Carolina Department of Revenue website to learn more about retail licenses and whether they pertain to your business operations. You can apply for one using the Business Tax Application via the MyDORWAY portal.

Step 4: Figure out if you need local licenses

Now, it's time to learn about local county and city business license regulations.

Create an account with the Municipal Association of South Carolina, and then you enter your physical location to determine which jurisdictions to contact for additional information. 

Once you know the requirements, fill out the application and pay the business license fee through your local office.

Remember, a business operating in more than one county, city, or town may need to obtain multiple licenses to comply with each jurisdiction. If you're applying for licenses in various towns and cities, you can avoid filing a different application for each area by completing one Standardized Business License Application and simply submitting a copy to each jurisdiction.

Step 5: Discover whether you need federal licenses

The last step involves researching whether your business activity falls under federal regulations.

For example, the Alcohol and Tobacco Tax and Trade Bureau (TTB) requires all businesses that sell alcohol to obtain liquor licenses, while the U.S. Fish and Wildlife Service (USFWS) requires an Import/Export (I/E) License for businesses that commercially import or export wildlife.

Visit the U.S. Small Business Administration (SBA) website for more information on federal license and permit requirements. Remember that each federal agency has its own business license application process and fees, so you'll need to contact the specific issuing agency for more details.

After getting your South Carolina business license

Once you've received your business licenses, it's important to post them in a visible place at your physical business location.

Also, some business licenses expire, so make a note of when you need to renew them. This may involve paying an annual business license fee and submitting a renewal form. It's important to realize that you may face fines or penalties if you miss the renewal due date. Visit the Business License Renewal Center for more information.

Getting an SC business license the easy way

As you can see, there's a lot that goes into acquiring a business license, from researching what applies to your business to filing all the paperwork. Skip the stress of navigating all the ins and outs on your own, and allow LegalZoom to take care of it for you. We offer convenient and affordable business license services that help you save time and energy.

FAQs

What should I do before getting a business license?

It's important to formally establish your new business in South Carolina before applying for business licenses and permits. These steps involve selecting your business structure, choosing a viable name, obtaining an EIN, and registering your business with the Secretary of State.

How much is a business license in South Carolina?

The cost of a business license in South Carolina depends on the specific license and how many you need. For example, South Carolina city and county business license rates are based on each applicant's gross receipts and business activities. Meanwhile, each issuing agency determines its state or federal licenses and permits costs.

How long does it take to get a business license in South Carolina?

It depends on what business licenses you've applied for and the manner in which you applied. For instance, the in-person application process in Myrtle Beach typically takes seven to 10 business days, while the mail-in process in that city may take up to two weeks. Contact the specific licensing agency for more information on when you can expect to receive your business license. 

Do I need more than one business license if my business operates in various cities?

Yes. If your business is operating in multiple towns or cities, you will need a business license from each jurisdiction. Contact your local county clerk or city office for more information.