Business License FAQs
Call Us at 864-467-4505
The information included in this section may never have all of the information that you need or answer every question that you may have. The City Staff is available to assist you with any questions or information you need concerning business license. Our number is 864-467-4505.
What is a Business License?
What gives the City the right to require a Business License?
Who is required to have a Business License?
What is the difference between a Residenet Business and a Non-resident Business?
How do I apply for a business license?
How much does a business license cost?
How long is a business license good?
What if I refuse to purchase a license?
What are the penalties for businesses operating prior to getting a business license?
What are the penalties for businesses that are late renewing their business license?
Can business license penalties be waived?
Will the business license fee always be the same?
What do I do if I have a change in FIN/EIN/SSN due to business restructuring or purchase of the business?
Can I operate two types of businesses under one license?
Can other people operate under my license?
Are there any other requirements to get a business license?
Who establishes the amount of the business license fee?
How is gross revenue defined?
What do I get for the Business License fees that I pay?
What is a Business License?
A business license is an
excise tax levied on the privilege of doing business in the city of Greenville and the value of that privilege is measured by a business’ gross income. Even though it is measured by gross income, a business license is
not a sales, property or income tax.
What gives the City the right to require a Business License?
South Carolina Code, Section 5.7.30, authorizes municipalities to levy a business license tax based on a business’ gross income.
Who is required to have a Business License?
Any business physically located within the city of Greenville
(resident business) is required to have a business license. Additionally, any business that is located outside of the city of Greenville
(non-resident business) but comes into the city to do business is also required to have a business license.
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What is the difference between a Resident Business and a Non-resident Business?
Resident businesses are businesses that are physically located inside the city of Greenville and their business license fee is based on 100% of the gross income generated at their location.
Non-Resident businesses are businesses that are located outside the city of Greenville but come into the city to do business. Their business license fees are based on gross income generated within the city, but at double the rate of a resident business.
How do I apply for a Business License?
If you are renewing your license and know your correct classification, you can download the application and rate sheet from the City’s web site. You can also request an application and rate sheet by mail or fax, or pick one up in the Business License office on the 4th floor of City Hall at 206 South Main Street.
If you are a new business, please contact our office at 864-467-4505 so that we can assist you in selecting the correct classification and rate sheet.
You may learn learn more about your classification and estimate your fees using
our online
Business License Calculator.
How much does a business license cost?
The business license fee is calculated based on gross income and the type of business. Our staff will be glad to assist you in determining your specific classification and resulting fee.
You may receive an application and rate sheet by mail, fax or at our office on the 4th floor of City Hall at 206 S. Main Street. If you are renewing your license and know your correct classification, you may obtain a
Business License Application
or a
Contractor Business License
Application, and use our
Business License Calculator to
estimate your rate.
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How long is a business license good?
Business licenses are valid from January 1 to December 31 each year. Businesses are required to renew their licenses at the beginning of every year. The City offers a grace period until the last day of February for businesses to renew without incurring a penalty.
* The grace period does not apply to Non-resident Contractors, which are required to pay as they go on a current year basis.
What if I refuse to purchase a license?
In cases where an individual refuses to purchase a license, a Uniform Summons to appear in Municipal Court is issued and the case is heard before the municipal judge. Failure to purchase a business license can result in court costs and fines of up to $1,092.50 and/or 30 days in jail. The court fine is in addition to all business license fees and penalties.
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What are the penalties for businesses operating prior to getting a business license?
To avoid penalties, a business must obtain a business license prior to opening to the public. If a business has been in operation without a business license, it could be subject to fees and penalties for a period of up to 3 prior years in addition to the current year. The penalty for the first month is 10% of their gross income and increases 10% each month up to a 50% maximum yearly penalty.
What are the penalties for businesses that are late renewing their business license?
Business license renewals postmarked March 1 or later by the U.S. Postal Service will be assessed a 5% penalty. This penalty will increase 10% each month up to a 50% maximum penalty.
Can business license penalties be waived?
Per City ordinance, and in compliance with the equal protection clauses of the South Carolina and United States constitutions, business license officials are not permitted to waive penalties under any circumstance.
Will the business license fee always be the same?
No. By state law, business licenses are based on a business’ gross income. A business’ first business license fee will be based on a reasonable estimate of gross income from the start of operation to December 31 of that year. The base business license fee covers $2,000 of gross income. After a business’ initial business license, subsequent licenses will be based on actual gross income from the previous year.
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What do I do if I have a change in FIN/EIN/SSN due to business restructuring or purchase of the business?
If a business restructuring occurs, the ownership structure of an existing resident business changes from/to sole proprietor, LLC, corporation, LLP, partnership or any other form of ownership, and there is no purchasing of the assets of the existing licensed business, a new business license is not necessary. However, we do require that you notify the Business License Auditor, in writing, of the change so that we may update the information in our system.
Please use the change form below for business restructuring only:
Download a Change Form
If an ownership change occurs or a new business purchases the assets of an existing business resulting in a FIN/EIN/SSN change, a new business license is required. If the original business has a current year business license, the new owner has 45 days from the date of the change of ownership to be eligible for a $50 license transfer fee. No penalties are due if you transfer within the 45 days. After the 45 days you will be required to purchase a current business license and pay for any prior year licenses owed, as well as any appropriate penalties.
If you have any questions regarding business restructuring and ownership changes please contact the Business License Auditor at (864) 467-4502.
Can I operate two types of businesses under one license?
If a business conducts more that one type of business from a single location, each business is classified separately. It is not unusual for one business to have more than one license. Examples include wholesale and retail within the same business operation or a hotel with a restaurant at the same location. In both cases, the revenue is separated into each type of business and a separate business license is required.
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Can other people operate under my license?
Any W-2 employee can operate under your business license. Any 1099 or subcontractor must have their own separate business license. This would include subcontractors working for a general contractor, janitorial services, caters, etc., that are hired by you to perform work on your behalf or for you. Just remember that if the person or company is not on your payroll with all State and Federal taxes taken out, they need their own license.
Are there any other requirements to get a business license?
You need to make sure you have all proper state licenses (contractor, specialty, ABC, retail licenses, etc.) prior to applying for a City of Greenville business license. Contractors wishing to operate within the city of Greenville will be required to provide a copy of their S.C. State Contractors or Home Builders license before obtaining a City business license. Providing a copy of the state license with the business license application will also help to avoid any delays with the permitting process. All resident businesses must also apply for either a Home Occupancy Approval or Certificate of Occupancy at the time they apply for a business license.
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Who establishes the amount of the business license fee?
City Council
How is gross revenue defined?
All revenue received from a business operation without any deductions for cost of goods sold, salaries, or cost of sales. It should conform to the gross income reported for state and federal income tax purposes.
What do I get from the business licenses fees that I pay?
A business license fee enables essential services such as fire protection, street and sidewalk maintenance, parks and recreation programs, code enforcement activities and building inspections. Funding from this fee ensures quality service to the residents and business owners located in the city, as well as to business owners coming into the city to conduct business. These revenues help ensure a high quality of life, which in turn helps create a desirable and prosperous business environment in the
City of Greenville.
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