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Alabama · How-To Guide

How do I get a business license?

County Probate Judge or License Commissioner (county level) + City/Municipal Clerk (if operating within city limits)
Step by Step

How to do it

  1. Determine your business activity and exact location (city limits vs. unincorporated county area - this affects which licenses you need)
  2. If forming an LLC or corporation: register your business entity with the Alabama Secretary of State first at sos.alabama.gov
  3. Obtain an EIN (Employer Identification Number) from the IRS at irs.gov if needed
  4. Apply for the Alabama Business Privilege License at the County Probate Judge or License Commissioner's office in the county where your business is located (required for businesses listed under Title 40, Chapter 12, Code of Alabama)
  5. If operating within city limits: contact the city or town clerk for any required municipal business license (most Alabama cities require a separate city license)
  6. Check for industry-specific permits: restaurants need county health permits; contractors need Alabama Licensing Board certification; alcohol sales require ABCA license; cosmetologists need state board licensing, etc.
  7. Renew annually - the business privilege license must be renewed each year at the county level
Details

What you need to know

Required Docs
  • Business name and type of business activity
  • Business address and location details
  • Entity documents if LLC or corporation (certificate of formation from Secretary of State)
  • EIN or Social Security number
  • Industry-specific certifications or permits if applicable
Fee
Varies by county, business type, and gross receipts - contact your county Probate Judge or License Commissioner for current fee schedule RENEWAL: Annual - licenses expire and must be renewed each year ONLINE OPTION: Some counties offer online renewal (e.g., Jefferson County at srt.jccal.org); check your county's Revenue or License Commissioner website WHERE TO GO: County Probate Judge or License Commissioner (county privilege license); City or Town Clerk (municipal license if in city limits)
Online Option
Some counties offer online renewal (e.g., Jefferson County at srt.jccal.org); check your county's Revenue or License Commissioner website
Where to Go
County Probate Judge or License Commissioner (county privilege license); City or Town Clerk (municipal license if in city limits)
County-specific variations apply

The office that issues the county business license varies - may be Probate Judge, License Commissioner, or Revenue Commissioner depending on the county. Fee schedules vary significantly by county and business type. Some counties have online portals for new applications and renewals; others require in-person visits only. Verify with your specific county.

Alabama Notes

Important state-specific details

  • Alabama does not have a single statewide general business license - licensing is handled at the county level.
  • Most businesses need both a county privilege license AND a city license if located within city limits.
  • The business privilege license is issued by the county and registered annually with the Alabama Department of Revenue.
  • Professional and occupational licenses (contractors, electricians, cosmetologists, CPAs, etc.) are issued by state regulatory boards separately from the local business license.
  • Starting October 2025: some counties offer online renewal at the state's SRT portal.
  • Contact your county office early - requirements and fees vary significantly.
Official Source

State office contact

State Office
Alabama Department of Revenue, Business License - revenue.alabama.gov/business-license | (334) 242-1200 SECRETARY OF STATE (entity registration): sos.alabama.gov | (334) 242-5324