A Legal Checklist for New Business Owners
Starting a business is an exciting milestone, but figuring out what paperwork you need to file can feel confusing, especially if it’s your first time. One of the most common questions we hear from new business owners in San Antonio is: “Do I need a business license to get started?”
The short answer? Not exactly. Unlike many cities, San Antonio does not require a general business license. However, that doesn’t mean you can skip the paperwork altogether. Depending on your business type, location, and industry, you’ll likely need a combination of permits, registrations, and licenses at the local, state, or federal level.
This guide walks you through the process step by step, so you can launch with confidence, legally and fully prepared.
Start by Registering Your Business Name
Before you can open your doors (or launch your website), you’ll need to register your business name. If you’re a sole proprietor or partnership operating under anything other than your legal name, you’ll need to file a “Doing Business As” (DBA) name with Bexar County. For LLCs or corporations, you’ll register your entity name with the Texas Secretary of State.
Before filing, take a moment to check whether your desired name is available at both the county and state levels. This small step can save you time, and potential legal issues, down the road.
Choose the Right Business Structure
Your business structure will impact how you’re taxed, your level of personal liability, and the kind of documentation you’ll need. Common options include:
- Sole proprietorships, which are the easiest to set up but leave you personally responsible for business debts.
- Partnerships, which allow two or more people to share ownership and liability.
- LLCs (Limited Liability Companies), which offer liability protection and flexible tax options.
- Corporations, which are more complex but offer advantages if you plan to raise capital or issue stock.
Choosing the right structure is a foundational step. If you’re unsure what makes the most sense for your business goals, it’s worth consulting with a business attorney.
Apply for an EIN from the IRS
Next, you’ll want to apply for an Employer Identification Number (EIN) through the IRS. This is essentially your business’s Social Security number and is required if you plan to hire employees, open a business bank account, or operate as an LLC or corporation. The application is free and can be completed online at irs.gov.
Understand What Licenses and Permits You’ll Need
Here’s where it gets a bit more nuanced. While San Antonio doesn’t issue a general business license, most businesses still need one or more specific licenses or permits to operate legally.
For example, if you’re planning to operate a food truck, you’ll need a mobile food vending license from the city. Restaurants and other food-based businesses must also obtain health permits. If you’re installing a security system, you may need an alarm permit, and home-based businesses may require a home occupation permit.
On a broader scale, some professions, such as contractors, barbers, massage therapists, and others, require state-issued licenses. And if you sell tangible goods or taxable services in Texas, you’ll need to apply for a Sales Tax Permit through the Texas Comptroller’s Office, regardless of whether you’re a sole proprietor or incorporated.
Certain industries also require federal licensing. If your business involves firearms, alcohol, transportation, or agriculture, for example, you’ll want to research the applicable federal regulations before moving forward.
Don’t Overlook Zoning and Occupancy Rules
Before signing a lease or investing in a physical space, it’s essential to confirm that your business is permitted to operate in that location. San Antonio’s zoning regulations vary by area and business type. You can use the city’s zoning map or contact the Development Services Department for guidance.
If you’re changing how a commercial space will be used, you may also need to obtain a Certificate of Occupancy. Skipping this step could lead to delays or fines, so it’s best to be proactive.
Stay Compliant After You Launch
Once your business is up and running, you’ll need to stay on top of renewals and ongoing compliance requirements. This includes:
- Renewing any local or state permits and licenses as needed
- Filing annual reports if you operate as an LLC or corporation
- Keeping your EIN and tax filings current
Staying organized early on makes it easier to scale your business without running into legal or regulatory roadblocks.
In Summary
While you won’t need a general business license to start a business in San Antonio, most businesses will need some combination of:
- A registered business name (DBA or entity registration)
- A Texas Sales Tax Permit (if selling taxable goods or services)
- Local zoning and occupancy approvals
- Industry-specific licenses or permits
- State or federal licensing, depending on your profession
Need Legal Guidance from a Local Expert?
We help San Antonio entrepreneurs turn great ideas into legally sound businesses. Whether you need help choosing the right structure, reviewing contracts, or ensuring you’ve checked every compliance box, our team is here to make the legal process clear, efficient, and approachable.
Ready to take the next step?
Let’s talk about how we can support your business from day one.
