Idaho Business License Requirements for an LLC

An Idaho 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.

Idaho Business License Requirements

After you form an Idaho LLC, you may need to obtain a business license or permit.

Your requirements are determined by the industry you are in and where your Idaho Limited Liability Company is located.

Because of the large number of industries and all of the municipalities in Idaho, 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.

How to get a Business License in Idaho

You can obtain a business license in Idaho 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 Idaho 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

Idaho 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.

But good news: Idaho doesn’t require a general license to do business in the state.

Meaning, your Idaho LLC doesn’t need a general state business license. But depending on what type of business you run, your LLC might need an occupational license.

Idaho 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 Idaho state government Licenses, Permits, and Regulations page can help you determine if your Idaho business needs an occupational license or permit, and which agency to contact about applying for the license.

Idaho Business Wizard

The best resource for information about Idaho business licenses is the Business Wizard. This tool from the Idaho state government will ask you a series of questions to figure out whether your business needs special licenses.

The Business Wizard creates a checklist of the different licenses and registrations you will need. The checklist tells you what kind of permit or inspection you need, and gives the contact information for the relevant agency or licensing board.

Idaho Licensing Boards

Another way to find the licensing board responsible for licenses that apply to your industry or occupation, is by going to the Division of Occupational and Professional Licenses website. Select your business’s industry from the Professions & Occupations menu.

You can also contact the relevant licensing board directly with questions. Use the information in your Business Wizard checklist, or the Division of Occupational and Professional Licenses has a list of Licensing Board Contact Information.

Note: Idaho 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 an Idaho Business License?

Idaho doesn’t have a general business license at the state level, so there are no fees there.

However, 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 Idaho 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 Idaho business license cost could be $0.

See LLC Cost in Idaho 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:

• List of Idaho Counties
• List of Idaho City Websites
• List of Idaho City Clerks

Idaho Sales and Use Tax Permit

If you sell products to consumers in Idaho, you may need to collect sales tax and file a Sales and Use Tax Return.

If your business activities are subject to sales and use tax, your LLC must register with the State Tax Commission for a Sales Tax Permit (aka Sales/Use Tax Permit).

Note: This requirement will apply whether you sell products online or in a physical location in Idaho.

The Business Wizard tool we talked about in the licensing section above will also help you figure out what taxes and registrations your LLC needs. The Business Wizard asks you a series of questions to figure out whether your business needs to register for sales tax and other requirements, and will generate a checklist for you.

For additional information about the Sales Tax License:

• Idaho Dept. of Labor: Business Registration
• Idaho Division of Taxation: Sales and Use Tax

And be sure to check the Idaho Division of Taxation: Business Taxes page for information on other taxes your LLC may need to register for or other “tax licenses”.

Do I need any federal business licenses?

Most businesses in Idaho don’t need a federal business license. However, certain industries do need federal licenses:

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 Idaho EIN Number (aka Federal Employer Identification Number) and that you file taxes.

Idaho Business License FAQs

Matt Horwitz

Founder & Educator, LLC University®

Matt Horwitz has been the leading expert on LLC education for the past decade. He founded LLC University in 2010 after realizing people needed simple and actionable instructions to start an LLC that other companies weren't offering. He's cited by Entrepreneur Magazine, Yahoo Finance, and the US Chamber of Commerce, and was featured by CNBC and InventRight.
 
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.