The simplest legal structure for a one-owner business. No separate entity is formed, but most jurisdictions still require a local business license, a DBA if operating under a trade name, and tax registrations.
Updated as of June 2026A sole proprietorship registration typically costs between $25 and $250. Fees scale with city size: major metros like New York and Los Angeles charge roughly 30–40% more than the national average, while smaller cities and towns often charge 15–20% less. See the state-by-state cost breakdown above for adjusted ranges.
The simplest legal structure for a one-owner business. No separate entity is formed, but most jurisdictions still require a local business license, a DBA if operating under a trade name, and tax registrations. If you're operating a business that falls under this category — even part-time or out of a home — most US jurisdictions require this license before you can legally serve customers.
Processing time is typically Same day to 2 weeks once a complete application is submitted. Larger cities and certain states (CA, NY, MA) trend toward the upper end of that range due to higher application volumes. Submitting an incomplete application is the single most common reason for delays.
A sole proprietorship registration renews on a annual (varies by locality) cycle. Renewal fees are typically 60–70% of the initial fee. Most cities send renewal notices 30–60 days before expiration — but missing the window often means re-applying from scratch, not paying a late fee.
In most US cities, yes — the majority of municipalities now accept sole proprietorship registration applications through their online business-licensing portals. Check the specific city page for your jurisdiction to see whether city => 'the city' has a fully online flow or still requires in-person submission of certain documents.
Select a city below for local requirements, costs, and application steps.