Do I Need a Business License for my House Cleaning Business?Most people are very confused about this. House Cleaning does not usually require a "trade business license", but most states/countries will require you to register your business with your local government office.
For the US: To find out what your state licensing agency requires, click here. Just enter your state, zip code or city and choose general licensing. This will take you right to the link to register your business. If you are still unsure, search for your state's business agency online and find a phone number to call. Someone there will be able to help you. You may also be required to collect sales tax. To find out if your state requires you to collect sales tax, click here.
In Canada: You will need to contact your local municipality to determine what sort of business license you need. Most municipalities will require you to register your business with the providence before you can apply for a business license. You will also be required to collect GST.
In the UK: Go to http://www.hmrc.gov.uk/ to register your business and pay your taxes. This site also has a lot of useful information on forming your business. You can set your business as a sole trader (self-employed), partnership, or limited company. You may be required to collect VAT if you provided taxable services of £67,000 or more in the past 12 months.
In Australia: If you choose to operate your business as a sole trader, a partnership or a trust, then you are required to register your business in the state or territory in which you will operate. But you don’t need to register a business if you plan to name your business under you or your partner’s first name and surname or initials and surname. You will be required to register for GST if you have a GST turnover of $75,000 or more.
In the US, when you register for your house cleaning business license, they will ask you what sort of business entity you will want to register under. There are a few options: Sole Proprietor, Partnership, Limited Liability Company and C or S Corporation.
In the next installment, we will talk about what each of these mean and which is the best for you.