If you plan to sell a product online, odds are you must obtain an online business license that lets you do so legally. Otherwise, you and your company could be subject to legal issues and penalties. However, in some instances, having the proper licenses in place could mean that your online business would have to shut down immediately. This is especially true if you don’t have any contact with the general public or if your product or service has some type of appeal to the general public. As such, it is very important to know the right things to do and not to do when it comes to licensing your online business.
First, before you even begin looking for a business license online, you should have a clear understanding of the legalities involved. In fact, there are many aspects to this process that are not always clear to the inexperienced or those without much experience. You need to understand which state your product or service is legal for consumption in as well as where you can distribute it. There are also some taxes and sales fees which must be paid on each transaction. Knowing what is required and knowing how these things work can help you avoid making common mistakes.
While it is important to understand the legal ramifications of obtaining an online business license, it is equally important to understand which types of licenses are necessary for online business licenses in order to avoid problems. In many cases, individuals and companies fail to obtain necessary licenses because they assume they are not required. In truth, all 50 states require some type of business filing or registration, and most of them require a business license if you expect to be successful. In addition, most tax issues hinge on whether the products or services being sold are legal in the jurisdiction in which they are being sold.
If you are considering taking on new business licenses, it is important to research your options thoroughly. You may need to hire a lawyer or accountant, or dedicate significant time and effort researching the various requirements. One great resource for researching these matters is your local Small Business Administration office. The SBA not only has resources for you to learn about the types of licenses and permits that are required in your state, but they also have professionals who can assist you with your specific needs. While your local SBA office may not have the information you need, they should be able to direct you to other sources.
Other documents that you will want to have handy include a copy of your business license and any additional licenses that are necessary to operate from the location. If you are shipping goods from one location to another, a copy of your license is essential. For example, if you are shipping alcoholic beverages from a residence in Illinois to a residence in Florida, you will likely need a CBE (Commercial Beverage Inspection) certification, which is required in each state.
Some permits which are necessary to operate legally may also require a signature. For instance, some sales tax licenses require the business owner to personally sign a sales tax permit. In this case, he/she must also present valid identification. A seller’s permit is different; however, he/she does not need a signature. He/She simply presents valid ID. There is no way for the seller to obtain a sales tax license without signing an application.
If you are looking to purchase a business license online, you are first going to need a valid ID, sales tax number and a business address. Next, you will need the names and addresses of the three licensing boards that are located in your city. You may also need the names and addresses of the cities in which the licenses are needed. You may want to check with the City Clerk’s Office in your area to confirm this information.
After obtaining all the necessary information, you can purchase and print your individual business licenses and business sales permits. Now that you have your permits, you are ready to start applying. When applying for a sales tax license online, you will need a completed application and payment. Keep in mind that most companies charge a fee for processing credit card applications. However, you can pay this fee through PayPal or money order.