Stephen Kaplan, P.C.

Lack of proper licensure can create a legal mess

New business owners have many legal actions and decisions to make. Unfortunately, during the early days of running a company, many business owners forget the importance of licensure.

Most owners know about the general business license, but the government also regulates a variety of industries. As such, the government uses licensure to make sure that businesses practice legitimately. License and permit requirements also protect consumers from harm.

Who needs a license?

Texas requires numerous types of licenses depending on the service you offer. Many professional services require at least one special license before you can legally practice. Even at-home freelancers may require licensure before helping clients.

Common federal and state business licenses include:

  • Liquor license to sell or serve alcohol
  • Occupational license, such as for massage, insurance sales or mold inspection
  • Building and zoning permits
  • Health department permit for sanitation, especially in food service

To apply for a license in Texas, you can visit the state government’s website and search for instructions regarding the specific license you need. The licensing entity will check your credentials before issuing authorization.

License renewal

Once you secure a professional license, the task is not quite finished. In fact, licensure should be an ongoing concern. Many permits and licenses expire after a while, so you should pay attention to the duration of each one for your company. You may have to renew them before they expire so that your business is not vulnerable to legal issues. Without a valid license, you could face fines, a total shut-down and even criminal charges.

State and local licensure requirements can be complex. You may need a combination of several commercial licenses. In order to spare your business from liability, you may wish to ask for legal guidance, which can pinpoint the exact permits and licenses you will need.

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