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A Hawaii business license gives your Limited Liability Company (LLC) permission to operate in a certain location or within a specific industry.
While we can’t walk you through any applicable license applications step-by-step, we do provide helpful resources like:
- information about state licensing rules
- instructions for researching municipal licenses
And if you want to just hire a company to do the research for you, we have a recommendation below.
Hawaii Business License Requirements
After you form a Hawaii LLC, you may need to obtain a business license or permit.
Your requirements are determined by the industry you are in and where your Hawaii Limited Liability Company is located.
Because of the large number of industries and all of the municipalities in Hawaii, it’s not possible for us to explain them all. However, you can use the search tools below, call your local municipality, or hire a company for help.
Need to save time? We recommend hiring MyCompanyWorks (for $99) to handle the business license research for you.
How to get a Business License in Hawaii
You can obtain a business license in Hawaii by applying with the relevant licensing or regulatory agency. The agency you apply with will depend on where your business is located and what business activities it engages in.
The business license application typically requires basic information, such as your LLC name, EIN Number, business address, and contact information. Many also include a questionnaire that asks about your business activity.
There are three main licensing jurisdictions:
- State licensing
- Local licensing, such as county, city, township, etc.
- Federal licensing
Does Hawaii Require a Business License?
That depends on where your business is located, and what it does.
There are two types of state-level business licenses:
- a general business license
- and an occupational license
Hawaii General Business License
Some states have a general license requirement, which means all businesses operating in those states must have the license, regardless of what they do.
Although Hawaii doesn’t have a general business license requirement, you do have to register with the Department of Taxation and get a Hawaii Tax Identification Number.
This state tax ID is required to do business in the state, and is different from your LLC’s federal EIN number. You can read more about the Hawaii Tax ID Number requirement in the Department of Taxation’s Tax Services.
Hawaii Tax ID Number
Every business operating in Hawaii must have a State Tax Identification Number.
The form to file is called Form BB-1 Basic Business Application, and the registration fee is $20. You can file online through Hawaii Business Express, or you can file the form by mail.
Hawaii Occupational License
Most states have occupational business license requirements. This means a license or permit may be required depending on what your business does or what your occupation is. For example, if you sell used cars, or run a hair salon, you may need an occupational business license. But a license may not be required for other types of businesses.
The Hawaii Department of Commerce and Consumer Affairs’ Business Action Center has links to industries and professions that need other licenses: Apply for Other Permits and Licenses.
Reading through the department pages will help you determine if your Hawaii business needs an occupational license or permit, and which agency to contact about applying for the license.
You can also contact the Department of Commerce and Consumer Affairs’ Business Action Center with questions.
Note: Hawaii business licenses are not issued by the Secretary of State. The Secretary of State is responsible for business entity administration, for example Limited Liability Company formation.
How much is a Hawaii Business License?
Hawaii doesn’t have a general business license at the state level, so there are no fees there. But your required Hawaii Tax ID Number registration with the Department of Taxation has a $20 filing fee.
And your business may need a state-level occupational license or municipal-level license or permit to operate. The filing fee for these licenses will vary depending on where you’re doing business and what industry you’re in. To be honest, we can’t predict your specific Hawaii business license cost.
For example, licenses issued by a county that contains a large city are usually more expensive than licenses in less populated, rural counties. And licenses for regulated industries, like child care facilities, are usually more expensive than generic business licenses.
But your LLC might not need a license or permit at all. So your Hawaii business license cost could be $0 (other than the $20 fee to register for your Hawaii Tax ID Number).
See LLC Cost in Hawaii to learn about all the possible LLC fees.
Municipal Business License
Municipal business licenses can be issued by the city, town, county, parish, township, borough, etc. We refer to all of these as a “municipality” to keep things simple.
There are two types of municipal business licenses:
- general business license
- industry-specific license
For example, if a municipality has a general business license requirement, all businesses operating in that municipality must have the license, regardless of what they do.
And if a municipality has industry-specific business licenses, a license or permit may be required depending on what your business does. For example, if you operate a food truck, or run a daycare, you may need an industry-specific municipal business license. Or if you’re purchasing or leasing real estate, you may need a zoning permit.
But a license may not be required for other types of businesses, like making wedding invitation templates or offering marketing consulting.
You can contact your municipality to check on their local licensing requirements. Scroll to the bottom of the Hawaii Department of Commerce and Consumer Affairs’ Business Action Center Apply for other Permits and Licenses page to find your county’s website.
Hawaii General Excise Tax License
Hawaii doesn’t have sales tax like most other states. Instead, Hawaii has a “General Excise Tax” that’s imposed on businesses (also called the General Excise and Use Tax).
As part of the Form BB-1 application to get your Hawaii Tax ID Number, you’ll also apply for a General Excise Tax License. And then you can pay your General Excise Tax online.
For additional information about the General Excise Tax, check out these resources from the Hawaii Department of Taxation:
Tip: Save time by hiring an expert. We recommend using TaxJar. They'll help you register for, collect, and pay sales tax.
Do I need any federal business licenses?
Most businesses in Hawaii don’t need a federal business license. However, certain industries do need federal licenses:
| If your business… | Contact this agency about business licenses |
|---|---|
| Transports animals, plants or biotechnology over state lines | Department of Agriculture |
| Imports or exports animal products, wildlife, or products derived from wildlife (including fish) | Fish and Wildlife Service |
| Fishes commercially | Fish and Wildlife Service |
| Broadcasts on radio or TV | Federal Communications Commission |
| Makes alcohol and sells it at a retail store | Tobacco Tax and Trade Bureau |
| Makes or sells firearms, ammunition or explosives | Bureau of Alcohol Tobacco Firearms and Explosives |
| Transports cargo by sea | Federal Maritime Commission |
| Transports goods or people by air | Federal Aviation Administration |
Check out the Small Business Administration’s Licenses and Permits page for a full list of industries with federal license requirements.
If your business isn’t one of these special cases, then the only federal requirements are that your LLC get an Hawaii EIN Number (aka Federal Employer Identification Number) and that you file taxes.
Hawaii Business License FAQs
Hawaii doesn’t have a general business license for LLCs, so there are no fees there. However, your LLC must register with the Department of Taxation to get a Hawaii Tax ID Number and General Excise Tax license. The fee for this application is $20.
If your business has to get an occupational license or municipal (city or county) permit, the fees are hard to predict. Depending on your LLC’s location, and what type of business or industry you’re in, the fee varies.
And you might not need a business license at all, besides the tax registrations.
Unfortunately, we can’t say what your LLC’s business license costs would be, because it depends on several factors and the cost of Hawaii licenses varies.
No, an LLC is not a business license. They are two completely different things.
An LLC is a type of business structure created by filing a document with the state government.
And a business license is a document that gives a person, or a company, the right to transact business. It doesn’t create an LLC.
Sometimes a new business owner chooses to operate as a Sole Proprietorship in Hawaii instead of an LLC.
Even if you’re just trying out a business idea as a Sole Proprietorship, you may still be subject to license requirements at the state and municipal levels. It just depends on what you will be doing, and where you will be operating your business.
No, the Hawaii Secretary of State doesn’t handle licensing requirements. Instead, they manage business entity formation and registration. For example, depending on business entity type, business owners file different paperwork with the Secretary of State to create their business entity.
For more information, or to determine if there is a Hawaii business license cost for your business, we recommend contacting the Hawaii Department of Commerce and Consumer Affairs, the Hawaii Department of Taxation, and/or your local government agency. For example, your local county or city government will have information about any local licenses.
Here are the steps to starting an LLC in Hawaii:
- Select a business name for your Hawaii LLC
- Choose your Registered Agent
- File the LLC Articles of Organization with the state
- Complete and sign an LLC Operating Agreement
- Get a Tax ID Number (EIN) from the Internal Taxation Service (IRS)
- Open an LLC bank account
- Check whether you need a business license or tax permits in Hawaii
References
Hawaii Online Tax Services
Hawaii Department of Taxation: Tax Facts Publications
Hawaii Dept. of Commerce and Consumer Affairs: Starting a Business
Hawaii Dept. of Commerce and Consumer Affairs: Apply for Other Permits and Licenses
Matt holds a Bachelor's Degree in business from Drexel University with a concentration in business law. He performs extensive research and analysis to convert state laws into simple instructions anyone can follow to form their LLC - all for free! Read more about Matt Horwitz and LLC University.
