Sunbiz Guide to Starting a Business in Florida

If you are starting a business in Florida, Sunbiz is the place where you register your LLC or corporation with the Florida Department of State, Division of Corporations. Most founders also need a federal EIN, Florida tax registration if they sell taxable goods or hire employees, local business tax receipts, and any industry permits before opening.

Florida is founder-friendly in many ways. There is no state personal income tax, no general statewide business license, and online filing is fairly straightforward. The catch is that Florida has several agency-specific and local requirements, so your exact checklist depends on your city, county, industry, hiring plans, and whether customers visit your location.

Registration

Your first Florida formation decision is the legal structure. Most first-time founders choose one of these:

• Sole proprietorship: Easiest to start, but you and the business are legally the same. You may need a fictitious name registration if you operate under a brand name.
• LLC: Common for small businesses because it separates personal and business liability and is flexible for taxes and ownership.
• Corporation: Often used by startups planning to issue shares, raise institutional funding, or use a more formal ownership structure.
• Partnership: Used when two or more people operate together. A written partnership agreement is strongly recommended.

Florida business entities are filed with the Florida Department of State, Division of Corporations, commonly known through its online system, Sunbiz.

For a Florida LLC, the formation document is called the Articles of Organization. For a Florida for-profit corporation, it is called the Articles of Incorporation. You can usually file online through Sunbiz or by mail.

Typical Florida registration costs and timing:

Business name rules. Before filing, search Sunbiz to see whether your desired name is already in use. Florida requires entity names to be distinguishable on the Division of Corporations’ records. An LLC name must include an LLC designator such as “Limited Liability Company,” “LLC,” or “L.L.C.” A corporation must include a corporate designator such as “Corporation,” “Incorporated,” “Company,” “Corp.,” or “Inc.”

Florida generally does not let you lock a name far in advance through a standard name reservation the way some states do. A name is not yours until the state accepts your filing. If the name matters, do your Sunbiz search right before you file.

Registered agent. Every Florida LLC and corporation must have a Florida registered agent with a physical street address in Florida. This can be you, another Florida resident, or a registered agent company. The agent must accept legal and state documents during normal business hours and must sign or accept the appointment.

Annual report. Florida LLCs and corporations must file an annual report with the Division of Corporations each year to keep the entity active. It is usually due by May 1. The fee is typically around $138.75 for an LLC and $150 for a corporation. Florida also charges a large late fee, commonly around $400, if you miss the deadline. This report updates your address, registered agent, officers or managers, and related information; it is not an income tax return.

Taxes

Florida taxes are handled mainly by the Florida Department of Revenue. Federal taxes are handled by the IRS.

Federal EIN. Most businesses should get an Employer Identification Number from the IRS, even if they have no employees. You will usually need an EIN to open a business bank account, hire workers, file payroll returns, and complete many license applications. The EIN is free when requested directly from the IRS.

Florida income tax. Florida does not have a state personal income tax. That means sole proprietors, many LLC owners, and partners generally do not file a Florida personal income tax return for business profits. Federal income tax still applies.

Florida does have a corporate income/franchise tax, generally applying to C corporations and LLCs taxed as corporations. The common Florida corporate income tax rate is 5.5%, though exemptions, credits, and federal conformity rules can affect the actual amount due. Corporate income tax returns are typically filed annually with the Florida Department of Revenue.

Sales and use tax. Florida’s state sales tax rate is generally 6%, with county discretionary sales surtaxes added in many counties. The combined rate depends on where the sale is sourced. If you sell taxable goods, certain digital products, admissions, rentals, or taxable services, you may need to register with the Florida Department of Revenue before collecting tax.

Registration is usually done through the Department of Revenue using the Florida business tax registration process. After approval, you collect sales tax from customers and file returns on the schedule assigned by the state. Many new sellers file monthly at first, but the state may assign monthly, quarterly, semiannual, or annual filing depending on tax volume.

Employer taxes. If you hire employees in Florida, you usually need to register for reemployment tax, Florida’s unemployment tax, with the Florida Department of Revenue. New employer rates and wage bases can change, but Florida commonly uses a wage base around the first several thousand dollars of each employee’s wages. You will also handle federal payroll taxes through the IRS.

Florida does not have state wage withholding tax because there is no personal income tax. That simplifies payroll, but you still need federal withholding, Social Security, Medicare, federal unemployment, worker eligibility verification, new hire reporting, and workers’ compensation if you meet the threshold.

Other Florida taxes. Depending on your business, you may encounter communications services tax, fuel tax, documentary stamp tax, tourist development tax, or local taxes. Vacation rentals, hotels, alcohol, tobacco, fuel, and communications businesses should check carefully before launch.

Licenses

Florida does not have one general statewide business license for every company. Instead, licensing is based on your industry, profession, and local jurisdiction.

Common state licensing agencies include:

• Florida Department of Business and Professional Regulation (DBPR): Regulates many professions and industries, including construction contractors, real estate professionals, cosmetology, barbers, community association managers, certified public accountants, restaurants, lodging, alcohol, and tobacco.
• Florida Department of Health: Regulates many health care professions and certain health-related facilities and services.
• Florida Department of Agriculture and Consumer Services (FDACS): Handles many consumer services and agriculture-related registrations, including certain food businesses, sellers of travel, telemarketing, security services, and charitable solicitations.
• Florida Office of Financial Regulation: Regulates certain financial services, securities, money services businesses, and related activities.
• Florida Department of Children and Families: Important for childcare, adult care, and certain social service providers.

If you are opening a restaurant, salon, construction company, real estate brokerage, health practice, childcare center, food brand, cleaning company, or transportation business, do not assume Sunbiz registration is enough. Sunbiz creates or registers the legal entity. It does not give you permission to operate in a regulated field.

You may also need a fictitious name registration if you operate under a name that is different from your legal name or registered entity name. Florida calls this a fictitious name, though many founders know it as a DBA. Registering a fictitious name does not create a separate legal entity or trademark protection.

Permits

Most Florida founders need at least one local permit, receipt, approval, or inspection before opening.

The most common local requirement is a local business tax receipt, sometimes still called an occupational license. These are issued by a city, county, or county tax collector. You may need both a city and county receipt if your business is inside city limits.

Before signing a lease or opening from home, check zoning. Florida cities and counties commonly require zoning approval to confirm that your business activity is allowed at that address. This matters for retail shops, restaurants, salons, gyms, warehouses, childcare, auto businesses, short-term rentals, and home-based businesses.

Common Florida local permits include:

• Zoning approval or certificate of use before operating at a location.
• Home occupation permit for home-based businesses, especially if clients visit, employees work there, inventory is stored, or signs are posted.
• Certificate of occupancy after buildout, change of use, or new construction.
• Building permits for renovations, electrical, plumbing, HVAC, signage, grease traps, and accessibility work.
• Fire inspection for restaurants, assembly spaces, childcare, lodging, and businesses with public access.
• Sign permits for exterior signs, window signs, monument signs, and illuminated signs.
• Health or food permits for restaurants, mobile food units, catering, packaged foods, and certain retail food operations.
• Environmental permits from the Florida Department of Environmental Protection, local environmental offices, or water management districts for businesses affecting air, water, wetlands, waste, or stormwater.

A practical Florida tip: call the city or county business tax office before you sign a lease. Ask whether your exact business activity is allowed at the address, what inspections are required, and whether there are parking, sign, fire, or buildout issues. This one call can prevent expensive delays.

Insurance

Florida has a few insurance requirements that matter early.

Workers’ compensation. Florida workers’ compensation coverage is generally required for non-construction businesses with four or more employees, including many full-time and part-time workers. Construction businesses usually need coverage with one or more employees, and rules for owners, officers, and exemptions are stricter. Agricultural employers have separate thresholds. Because classifications and exemptions are technical, confirm your situation with the Florida Division of Workers’ Compensation or a licensed Florida insurance professional before hiring.

Commercial auto. If your business owns vehicles or employees drive for business, look at commercial auto coverage. Florida has minimum auto insurance requirements, and commercial vehicles, delivery, rideshare, hauling, or transporting clients can require more than a personal policy provides.

Common policies Florida small businesses carry include:

• General liability insurance for customer injury, property damage, and basic third-party claims.
• Professional liability or errors and omissions insurance for consultants, designers, accountants, health providers, and other service professionals.
• Commercial property insurance for equipment, inventory, furniture, and buildout.
• Business interruption coverage for covered shutdowns or property losses.
• Cyber liability insurance if you store customer data, take online payments, or operate digitally.
• Product liability insurance if you make, sell, import, or distribute physical products.
• Liquor liability if you serve or sell alcohol.

Florida property insurance can be location-sensitive, especially in coastal or storm-prone areas. If you lease space, your landlord may require specific limits before you receive keys.

Banking

Open a separate business bank account before you take customer payments. It protects your records, keeps tax reporting cleaner, and helps preserve the liability separation of an LLC or corporation.

A Florida bank or credit union will commonly ask for:

• Your approved Sunbiz filing or filed Articles of Organization/Incorporation.
• Your EIN confirmation letter from the IRS.
• Operating agreement for an LLC or bylaws/resolution for a corporation.
• Fictitious name registration, if using a DBA.
• Government ID for owners or authorized signers.
• Business address and contact information.
• Ownership information for beneficial ownership compliance.

Look for a bank or credit union that matches how you will operate. If you accept cards, ask about merchant services and deposit timing. If you handle cash, ask about cash deposit limits and branch access. If you sell online, ask about integrations with accounting software, payment processors, and bookkeeping tools. If you are local-service based, a Florida community bank or credit union may be more flexible when you later need a line of credit, vehicle loan, or equipment financing.

Avoid mixing personal and business spending. Pay yourself through a clear owner draw, payroll, or distribution method based on your tax structure. Keep receipts from day one.

State Resources

Here are the Florida offices and programs most founders use:

• Florida Department of State, Division of Corporations / Sunbiz: Forms LLCs and corporations, registers fictitious names, maintains business records, processes annual reports, and provides name searches.
• Florida Department of Revenue: Handles sales and use tax, reemployment tax, corporate income tax, and many other Florida tax registrations and filings.
• Florida Department of Business and Professional Regulation: Licenses and regulates many Florida professions and industries, including construction, real estate, cosmetology, restaurants, lodging, alcohol, and tobacco.
• Florida Department of Agriculture and Consumer Services: Helps with certain food, agriculture, consumer services, charitable solicitation, seller of travel, security, and telemarketing registrations.
• Florida Department of Health: Regulates health professions, health-related businesses, and certain public health permits.
• Florida Division of Workers’ Compensation: Provides information on workers’ compensation requirements, exemptions, and employer compliance.
• FloridaCommerce: Supports economic development, workforce programs, community development, and business assistance efforts in Florida.
• Florida SBDC Network: Offers no-cost or low-cost business consulting, training, market research help, and startup guidance through regional centers across the state.
• SCORE Florida chapters: Provide volunteer mentors, workshops, and practical small business advice in many Florida communities.
• County tax collectors and city business tax offices: Issue local business tax receipts and often route you to zoning, inspections, and local permits.

FAQs

Is Sunbiz the same as an LLC?
No. Sunbiz is Florida’s online business filing system run by the Division of Corporations. You use Sunbiz to form an LLC, corporation, register a fictitious name, file annual reports, and search Florida business records.

Do I need a business license in Florida after registering on Sunbiz?
Maybe. Florida does not require one general statewide business license for every business, but many professions need state licenses and most businesses need local business tax receipts. Your city, county, and industry determine what else is required.

How much does it cost to start an LLC in Florida?
The Sunbiz filing cost for a Florida LLC is typically around $125. You may also pay for a registered agent service, local business tax receipt, fictitious name registration, insurance, professional licenses, or permits depending on your business.

How long does Sunbiz take to approve a business filing?
Online filings are often processed within a few business days, but timing changes with filing volume and errors. Mailed filings usually take longer. Check your filing carefully before submitting because corrections can slow approval.

Does Florida have an annual LLC fee?
Yes. Florida LLCs must file an annual report, usually by May 1, and the fee is typically around $138.75. Missing the deadline can trigger a large late fee, commonly around $400.

Business Launch Steps

• Choose your business idea and structure — same day to a few days. Decide whether you are starting as a sole proprietor, LLC, corporation, or partnership.
• Search your business name on Sunbiz — same day. Confirm your name appears distinguishable and check whether you need a fictitious name.
• Choose a Florida registered agent — same day. Make sure the agent has a physical Florida street address and can accept legal documents.
• File your LLC or corporation on Sunbiz — typically a few business days online. File Articles of Organization for an LLC or Articles of Incorporation for a corporation.
• Save your approved state records — same day after approval. Download your filed document and note your annual report deadline.
• Create internal documents — 1 to 3 days. Prepare an LLC operating agreement, corporate bylaws, founder agreement, or ownership records.
• Get your free EIN from the IRS — often same day. Use it for banking, tax registration, payroll, and vendor forms.
• Register with the Florida Department of Revenue if needed — a few days to a few weeks. Do this before collecting sales tax or hiring employees.
• Check state licenses — timing varies. Search DBPR, FDACS, Department of Health, Office of Financial Regulation, or other agencies based on your industry.
• Call your city and county about local requirements — same day to a week. Ask about local business tax receipts, zoning, home occupation rules, certificates of use, and inspections.
• Secure your location approvals — a few days to several weeks. Get zoning clearance before signing a lease or opening from home.
• Buy required insurance — a few days. Confirm workers’ compensation, commercial auto, liability, and landlord-required coverage.
• Open your business bank account — same day to a week. Bring your Sunbiz records, EIN, ownership documents, IDs, and operating agreement or bylaws.
• Set up bookkeeping and sales tax tracking — 1 to 3 days. Separate income, expenses, owner payments, and tax collections from the start.
• Prepare contracts, invoices, policies, and payment tools — a few days. Use clear terms before taking money.
• Complete final inspections or license approvals — timing varies widely. Restaurants, salons, childcare, construction, health, and food businesses often need extra time.
• Launch to your first paying customer — usually 1 to 6 weeks for simple businesses; longer for regulated or location-based businesses. Keep copies of all registrations, receipts, permits, and tax accounts.

Starting in Florida is manageable when you break it into the right sequence: Sunbiz first, taxes and licenses next, local approvals before opening. If you want a personalized checklist for your exact business, Stratify can turn this into a step-by-step Florida roadmap.

What is the correct order to start a business in Florida with Sunbiz?

To start a business in Florida with Sunbiz, choose your business idea, check your name, pick a structure, and file formation documents if needed. Then handle your EIN, bank account, taxes, licenses, permits, insurance, bookkeeping, and sales setup before you fully launch.

• Choose your business idea, owners, name, and legal structure.
• Search the name and file your LLC or corporation on Sunbiz if needed.
• Get an EIN and open a separate business bank account.
• Register for Florida taxes if you sell taxable goods or hire employees.
• Check city, county, industry licenses, permits, insurance, and bookkeeping.