How to Get a Mississippi Business License

Do you need a business license in Mississippi?

Mississippi business licenses and permits are issued at the state, local, and federal levels, but determining which types you need depends on your industry or business activities and where your company operates.

Mississippi state

In Mississippi, there are no general business licenses issued simply for operating in the state. Business licenses are instead issued at the local level by cities or counties.

However, some companies may need to obtain industrial or occupational licenses through the relevant state board, commission, or agency that regulates specific industries. For example, if you’re opening a counseling practice, you’ll likely need to apply for a professional license with the Mississippi Board of Psychology, or if you’d like to start an architecture firm, you must obtain a license through the Mississippi State Board of Architecture. 

Mississippi businesses may also need to acquire permits for certain activities. Here is a sampling of the types of permits certain businesses might need: 

• Mississippi Department of Transportation requires harvest permits for hauling agricultural products
• Mississippi Department of Environmental Quality requires permits for operations like geology surface mining, groundwater withdrawal, and certain composting activities
• Mississippi Department of Revenue issues permits for retailers selling alcoholic beverages

Another type of permit required by the state is a sales tax permit. This type of permit is issued by the Mississippi Department of Revenue and applies to businesses that sell any type of tangible good or service that is subject to sales tax. The sales tax permit allows companies to begin selling these retail goods in the state and collecting sales tax from consumers. If your domestic or foreign business entity has retail sales in Mississippi, you’ll need to set up an account and apply for a sales tax permit online with the Department of Revenue.

Local

Similar to other states, local governments in Mississippi oversee the majority of licenses and permits based on the business location. Many counties and cities throughout the state require a general business license simply to be able to operate in that jurisdiction. This means that businesses operating in multiple locations may need to obtain a business license in each one.

Even if a local jurisdiction doesn’t require a business license, they may require permits for certain activities. Some businesses may need to acquire commercial or residential building permits, home occupation permits, signage permits, and more.

Federal

Businesses involved with mining and drilling, aviation, fish and wildlife, and other types of federally regulated activities may need to apply for a license with the relevant federal agency. 

How to get a business license in Mississippi in 5 steps

There are a lot of places to check for licensing requirements for your business. Take the guesswork out of getting a Mississippi business license by following the steps below.

Step 1: Form your business

Before settling on a business license, you’ll need to complete the business registration process to officially form your company. This is generally what the process will go as follows: 

1. Create a great name for your business, perhaps with inspiration from LegalZoom’s free business name generator. 
2. Conduct a Mississippi business search to make sure that your desired name is distinguishable from others registered in the state.
3. Choose your business structure, such as a limited liability company, an S corporation, a limited liability partnership, or another business entity.
4. Register your business with the Mississippi Secretary of State Business Services Division. Fill out the required forms (like a certificate of formation for a Mississippi limited liability company) on the business services portal.
5. Get any necessary business insurance. Depending on your industry or profession, you may be required to obtain business insurance—sometimes in order to get a business license. Be sure to check with the issuing agency to understand if and when business insurance is needed.

Keep in mind that sole proprietorships and general partnerships do not need to register with the Mississippi Secretary of State, but they still may be required to obtain a business license or permit depending on their business activities.

Step 2: Obtain an EIN from the Internal Revenue Service

An employer identification number (EIN) is required for all corporations, partnerships, and any companies that have employees. The Internal Revenue Service issues EINs for these types of entities to pay federal business taxes, payroll taxes, and open business bank accounts.

To apply for an EIN, either head to the IRS’s website to fill out the forms yourself or use LegalZoom’s convenient EIN service, which does all the hard work for you.

Step 3: Apply for a state license or permit

Once your business is registered with the Mississippi Secretary of State and you have an EIN (if necessary), you can apply for a state business license. As we mentioned above, these are issued by the relevant boards, commissions, or agencies. 

To determine if your business is regulated at the state level and thus requires a license, refer to this comprehensive directory of Mississippi government agencies. It may also be helpful to do an online search, typing in your business, industry, or profession and the words “Mississippi business license” or “Mississippi business permit.” If this still feels daunting, a business license lookup service like LegalZoom can do the investigative work for you.

Step 4: Get any necessary local licenses or permits

Contact your local government agency to understand what types of licenses and permits you need.—and remember that businesses operating in various cities or counties should check with each agency to understand their licensing requirements.

Step 5: Determine if your business needs a federal license or permit

Some industries are federally regulated, so depending on the type of business you do, your company may need federal business licenses or permits. Take a look at the U.S. Small Business Administration’s list of federal licenses and permits to determine which ones your company might need.

After getting your Mississippi business license

With your business licenses and permits in hand, you’re nearly ready to start operating. But there are a few things you may need to do before flipping around the “open” sign.

First, determine if your business license or permit must be displayed for clients or customers. For example, alcoholic beverage permits typically need to be displayed in a conspicuous place at the agency-approved place where these types of beverages are being sold.

Then, take note of your license’s expiration date. Each issuing agency may have different renewal timelines, but generally speaking, licenses and permits need to be renewed annually. 

Finally, make sure to update or renew your Mississippi business license if any of your business information changes. Perhaps you’re changing its operating location or maybe you’ve filed a DBA in Mississippi. Both of these instances would likely require updating your license, permit, business formation paperwork, and other government documents.

Getting an MS business license the easy way

Still unsure of where to start? Trust LegalZoom to get you where you need to go. 

Our business license service provides all the information you need—all wrapped up into one customized report. Just add your business details, and we’ll do your Mississippi business license search for you, sharing a summary of federal, state, and local license or permit requirements and direct access to the necessary applications so that you can begin operating quickly. Plus, we’ll 

FAQs

What should I do before getting a business license?

Before getting a business license, Mississippi requires companies to register with the Secretary of State. (However, sole proprietors and those starting general partnerships do not need to register with the state.) 

In order to register as a legal business entity, you’ll need to choose a unique business name, do a quick Mississippi business search to make sure your name is available, file your formation documents with the Mississippi Secretary of State, and pay the associated filing fee.

How much is a business license in Mississippi?

The business license cost in Mississippi varies depending on the license type and the issuing agency. For example, an alcoholic beverage permit for on-premises retailers is $925, and the business license cost of an application fee for the Mississippi Board of Psychology is $400. 

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

Generally speaking, the license issuing time frame can be anywhere from a few days to a few weeks. But the time it takes to get a business license in Mississippi depends on the type of license, issuing agency, and if all the application information is provided; incomplete applications or paperwork will delay approval. 

Does a sole proprietor need a business license in Mississippi?

Even though a sole proprietor does not need to register as a business with the Mississippi Secretary of State, they may need to apply for business licenses either federally or at the state or local levels. The need for a license or permit depends on where the sole proprietor does business and their industry or specific business activities.