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How to Get a Business License in Delaware

Mar 26, 2025 | business license | 0 comments

How to Get a Business License in Delaware: A Comprehensive Guide

Starting a business in Delaware can be a smart move—this state is known for its business-friendly laws, efficient incorporation process, and favorable tax environment. However, before you can officially operate, you must obtain the necessary licenses and permits. In Delaware, most businesses are required to secure a state-issued business license through the Division of Revenue, along with any applicable local permits.

In this guide, we’ll walk you through the steps to get a business license in Delaware, provide useful links to key resources, and share tips to streamline the process.

Step 1: Choose Your Business Structure and Register Your Business

Decide on Your Business Structure

Your business structure determines your legal responsibilities, tax obligations, and licensing requirements. Common structures include:

  • Sole Proprietorship: Simplest form, typically does not require formal state registration (but may need a local permit).
  • Partnership: Involves two or more individuals sharing ownership and liability.
  • Limited Liability Company (LLC): Offers personal liability protection and is popular among small business owners.
  • Corporation: Suitable for businesses seeking to raise capital; offers limited liability but comes with more regulatory requirements.

Register Your Business Name

If you plan to operate under a name different from your personal legal name (for sole proprietors) or the registered name of your business entity (for LLCs and corporations), you need to file for a “Doing Business As” (DBA), also known as an assumed name.

Incorporate or Form Your Entity in Delaware

For LLCs, corporations, and other formal business entities, register your business with the Delaware Division of Corporations. Delaware is well known for its streamlined incorporation process and is a popular state for business registration.

Step 2: Obtain an Employer Identification Number (EIN)

Get Your Federal EIN

If your business has employees or if you operate as an LLC, corporation, or partnership, you’ll need an Employer Identification Number (EIN) from the Internal Revenue Service (IRS).

Step 3: Obtain Your Delaware Business License

In Delaware, most businesses must secure a Delaware Business License through the Division of Revenue. This license is required for nearly all companies operating in the state, regardless of their industry.

How to Apply for a Delaware Business License

  1. Visit the Delaware One Stop Portal: Delaware offers an integrated portal for business registration and licensing. Check out Delaware One Stop for a central resource on licensing and permits.
  2. Complete the Application:
  • Fill out the application with your business details, including your business name, type, and location.
  • Provide your EIN and other relevant information from your business registration.
  1. Pay the Required Fee:
  1. Receive Your Business License:
  • Once your application is processed, you will receive your Delaware Business License. Keep this license on file and display it if required by local regulations.

Step 4: Check for Additional Permits and Local Requirements

While Delaware requires a state business license, your specific industry or location might also necessitate additional permits:

  • Local Business Licenses: Some cities and counties in Delaware may require local permits or business licenses. Check with your local government’s website or chamber of commerce for details.
  • Industry-Specific Permits:
  • Food Service Businesses: May require health permits from local or state health departments.
  • Contractors and Construction: May need specialized licenses from state regulatory agencies.
  • Professional Services: Certain professions (such as real estate agents, lawyers, or healthcare providers) require additional licensing from the appropriate state board.

For more details on local requirements, visit the Delaware.gov Business Resource Center or contact your local municipality.

Step 5: Prepare and Organize Your Documentation

Before submitting your applications, gather all necessary documents:

  • Business Formation Documents: Articles of Incorporation (for corporations), Articles of Organization (for LLCs), or partnership agreements.
  • DBA/Trade Name Registration: If applicable.
  • EIN Confirmation: Your IRS-provided Employer Identification Number.
  • Proof of Identity and Address: Valid government-issued ID and your business address.
  • Tax Registration Confirmation: Documentation from the Delaware Division of Revenue if available.
  • Industry-Specific Permits: Any additional licenses or permits required for your specific business type.

Having all these documents organized can help streamline the application process and avoid delays.

Step 6: Submit Your Applications and Stay Compliant

How to Submit Your Applications

  • Online Filing: Many state applications can be completed online through the Delaware One Stop Portal.
  • Mail Submission: Some documents may require mailing. Refer to the instructions provided on the Delaware Division of Corporations or Delaware Division of Revenue websites.

Keep Track of Renewal Dates

  • Annual or Biennial Renewal: Delaware Business Licenses must be renewed regularly. Mark your calendar for renewal deadlines to avoid late fees or lapses in compliance.
  • Update Information: If there are changes in your business address, structure, or contact information, promptly update your license records.

Useful Resources and Links

Final Thoughts

Securing a business license in Delaware is a crucial step toward legally operating your business in this business-friendly state. By following these steps—choosing your business structure, registering with the state, obtaining an EIN, applying for a Delaware Business License, and checking for additional local permits—you can ensure that your business is compliant and ready to thrive.

If you have questions or need assistance with the process, consider reaching out to the Delaware Division of Revenue or consulting with a local Small Business Development Center (SBDC) or business attorney specializing in Delaware regulations.

Now is the time to turn your business vision into a reality—get your Delaware business license and start building your future!