254 PART 3 I MOVING FROM AN IDEATO AN ENTREFRENEURIAL FIRM
LEARNING OB]'ECTrv'E
B. Provide an overview of
the business licenses and
business permits that a
start-up must obtain
before it starts
conducting business.
OBTAINING BUSINESS LIVCENSES
AND PEn|v|rrs
Before a business is launched, a number of licenses and permits are typically
needed. What is actually needed varies by city, county, and state, as well as by
type of business, so it’s important for the entrepreneur to study local regulations
carefully. Some licenses are difficult to get-such as liquor licenses. For example,
in some states, the only way to get a liquor license is to buy a preexisting license.
This stipulation often results in a bidding war when a business is willing to give
up its liquor license. which increases the price.
254 PART 3 I MOVING FROM AN IDEATO AN ENTREFRENEURIAL FIRMLEARNING OB]'ECTrv'EB. Provide an overview ofthe business licenses andbusiness permits that astart-up must obtainbefore it startsconducting business.OBTAINING BUSINESS LIVCENSESAND PEn|v|rrsBefore a business is launched, a number of licenses and permits are typicallyneeded. What is actually needed varies by city, county, and state, as well as bytype of business, so it’s important for the entrepreneur to study local regulationscarefully. Some licenses are difficult to get-such as liquor licenses. For example,in some states, the only way to get a liquor license is to buy a preexisting license.This stipulation often results in a bidding war when a business is willing to giveup its liquor license. which increases the price.
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