Do I Need a Business License to Sell Online in Iowa? Starting a Business in Iowa

Licensing and Costs

Iowa does not have a “general business license.” Licensing requirements are based on the business type.

The cost to start an Iowa LLC is $50.

To apply for a business license and permit in Iowa, complete an application and submit it to the Iowa Department of Economic Development. You will need to provide the business name, address, type, and owner contact information. It takes 4-6 weeks to get a license and permit. There are fees associated.

Licensing requirements vary by location. Check with your city or county.

Online Business and E-Commerce

You do not need a physical storefront to sell online in Iowa. Popular e-commerce products include clothing, jewelry, crafts, and locally-made foods. There is demand for niche e-commerce like sustainable goods and artisanal foods.

Some businesses need licenses depending on activities and industry. Common licenses include sales tax permits to collect and pay the 6% sales tax.

To accept payments, use Stripe, PayPal, Authorize.Net or other gateways.

Instead of a DBA, set up an Iowa LLC. To get a seller’s permit, submit the online form and we’ll file it and mail it to you.

Professional contractors need a contractor license and technicians need a license to operate under contractors. The Iowa Division of Labor oversees professional licenses.

You can get a business license online or by mail by applying with the correct agency. Requirements depend on your business activity and location.

Additional Information

Search the Iowa Secretary of State website to find information on who owns a business in Iowa.

Does the state of Iowa require a business license? No, but licensing requirements depend on the business type.

Leave a Comment