Nashville, TN Business License Guide

The Ultimate Nashville, TN Business License Guide (No BS, 2025 Edition)

Last updated: September 2025

Quick help (read this first)

  • If your Nashville business will have annual gross receipts between 3,000∗∗and∗∗3,000** and **99,999.99 in a jurisdiction, you need a Minimal Activity Business License from the county (and city, if applicable). Fee is $15 per license. Source: Tennessee Department of Revenue — Business Tax: Licenses (verified Sep 2025).
  • If your gross receipts are $100,000+ in a jurisdiction, you need a Standard Business License and must file and pay Tennessee business tax each year through TNTAP. Source: Tennessee Department of Revenue — Business Tax Overview (verified Sep 2025).
  • In the Metro Government of Nashville-Davidson County, get your business license through the Davidson County Clerk after registering (when required) with the Tennessee Department of Revenue (TNTAP). Start at the clerk’s site: Davidson County Clerk — Business Taxes & Licenses (verified Sep 2025).
  • Most sellers must register for Tennessee sales and use tax before making any taxable sales. Tennessee’s state sales tax is 7%; Davidson County’s local option is 2.25% for a combined 9.25%. Source: TN DOR — Local Sales Tax Rates by County (verified Sep 2025).
  • LLC filing fee in Tennessee is 50permember∗∗witha∗∗50 per member** with a **300 minimum and $3,000 maximum. File with the TN Secretary of State online. Source: TN SOS — Filing Fees (verified Sep 2025).
  • Restaurants, food trucks, salons, childcare, alcohol sales, contractors, and many others need specialty permits. Links are below to the exact Metro and State pages.
  • Realistic timeline: basic registrations can take 1–7 business days online; on‑site permits and inspections can take 2–8+ weeks depending on scope.
  • Need help fast? Contact the Tennessee Department of Revenue at 800-342-1003 (in TN) or 615-253-0600 (Nashville) or use TN DOR — Contact Us (verified Sep 2025). For local licensing questions, use Davidson County Clerk — Contact (verified Sep 2025).

What “business license” means in Nashville (and what you actually need)

The core “business license” in Tennessee is tied to the state’s Business Tax. You must get the right license type per jurisdiction where you operate and meet tax filing rules:

  • Minimal Activity Business License (for 3,000–3,000–99,999.99 gross receipts in that city/county). Fee $15; no annual business tax return.
  • Standard Business License (for $100,000+ gross receipts in that city/county). File and pay Tennessee Business Tax each year via TNTAP before the clerk issues/renews your license.

Source and definitions: TN DOR — Business Tax Licenses (verified Sep 2025).

Metro Nashville-Davidson County is a consolidated city-county. Most Nashville addresses will license through the Davidson County Clerk. If your location is inside a separately incorporated city (for example, Berry Hill, Belle Meade, Forest Hills, Oak Hill, or the portion of Goodlettsville in Davidson County), you may also need a city license in addition to the Metro/County one. Confirm with your exact address and the city clerk. See the official roster: TN DOR — Business Tax (Local jurisdictions) and your city’s clerk site (verified Sep 2025).

Reality check:

  • The license type depends on your gross receipts per jurisdiction, not statewide total. If you sell across county lines or inside separate cities, you may need multiple licenses.
  • Specialty permits (food, alcohol, contractor, etc.) are often the slowest and most expensive steps. Budget time for inspections.
  • If you operate from home, Metro’s zoning and home occupation rules still apply. Don’t skip the zoning check or you may be cited.

What to do if this doesn’t work:


Table: Nashville business licensing at a glance

Task Who must do it Where to do it Cost (official) Key deadline
Register legal entity (LLC/Corp) If forming an LLC/Corp/LP TN Secretary of State — Online 50/member∗∗;∗∗50/member**; **300 min; $3,000 max Upon formation; annual report due by the 1st day of the 4th month after fiscal year end
Get EIN Most entities; sole props hiring employees IRS — Apply for EIN $0 Before hiring/opening bank account
Register for Sales & Use Tax Selling taxable goods/services TNTAP — e-Services $0 Before first taxable sale
Register for Business Tax Most businesses with TN receipts TNTAP — e-Services $0 Before opening (standard); before first sale (best practice)
Get Minimal Activity License Gross receipts 3,000–3,000–99,999.99 in that jurisdiction Davidson County Clerk $15 Before doing business; renew annually
Get Standard License Gross receipts $100,000+ in that jurisdiction File and pay via TNTAP, then clerk issues Filing fees vary by tax; license itself $15 in many counties Business tax return due typically Apr 15 (calendar filers)
Specialty permits (food, alcohol, etc.) Industry-specific See sections below Varies Before opening; allow 2–8+ weeks

Sources: TN SOS — Filing Fees, TN DOR — Business Tax, TN DOR — Sales & Use, Davidson County Clerk (verified Sep 2025).


Start here: Confirm your location and zoning

Why this is first: If your use isn’t allowed at your address, other licenses won’t save you. Fix zoning before spending money.

  • Check whether your address is in Metro Nashville-Davidson County or inside a smaller, incorporated city (Berry Hill, Belle Meade, Forest Hills, Oak Hill, Goodlettsville, etc.). Different licensing may apply.
  • Confirm your proposed use (restaurant, salon, office, warehouse, home business) is permitted at your address and what permits you need (use & occupancy, sign, building, fire).
  • Ask about required inspections—fire, health, building, and parking compliance.

Where to check:

  • Metro Codes & Building Safety: Metro Codes — Main Page (zoning, permits, inspections). For mapping/zoning resources, start at Metro Planning — Zoning & Land Use and request staff guidance.
  • If you’re inside a separate city (e.g., Berry Hill), contact that city hall directly for zoning/permit rules.

What to prepare:

  • Full street address and suite number.
  • Business type and a simple floor plan if applicable.
  • Expected hours, customer traffic, and parking details.

Timeline:

  • Zoning/use guidance can be same day by phone/email. Permits/inspections can take 2–8+ weeks depending on workload and whether plan review is required.

What to do if this doesn’t work:

  • Ask Metro Codes for a zoning letter or a “pre-application” meeting. If your use is not allowed, ask about variance or conditional use options. For technical help, the TSBDC can help you plan alternatives: TSBDC — Nashville (TSU) Center (verified Sep 2025).

Form your business (LLC/Corp) or register your name

Forming an LLC or corporation is optional for a sole owner, but it can protect personal assets. If you operate as a sole proprietor under a trade name, you may need to register an “assumed name” locally.

  • Form LLC/Corp with the Tennessee Secretary of State. Filing fee is 50permember∗∗,∗∗50 per member**, **300 minimum, $3,000 maximum. File online. Source: TN SOS — Filing Fees (verified Sep 2025).
  • LLC/Corp/LP “assumed names” (DBAs) are filed with the Secretary of State. Sole proprietors/general partnerships typically register trade names at the local level. Confirm with the Davidson County Clerk: Davidson County Clerk — Business Services (verified Sep 2025).
  • Annual report: Most TN LLCs and corporations must file an annual report with fees using the same 50/member∗∗schedule(again∗∗50/member** schedule (again **300 min, $3,000 max) by the first day of the fourth month after your fiscal year ends. Source: TN SOS — Annual Reports (verified Sep 2025).

Required documents:

  • Business name choices.
  • Registered agent/address.
  • Member/manager info for LLCs; directors/officers for corporations.
  • Payment method.

What to do if this doesn’t work:


Get your EIN (federal tax ID)

What to do if this doesn’t work:

  • If the online application is down, use Form SS‑4 by mail or fax (processing may take longer). Instructions at the IRS EIN page above.

Register for Tennessee taxes (Sales & Use and Business Tax)

Most Nashville businesses must do two state-level registrations through TNTAP (the Department of Revenue’s online portal):

  • Sales & Use Tax Account (if you sell taxable goods or taxable services).
  • Business Tax Account (most businesses need this; some are exempt).

Where:

Sales tax in Nashville:

  • Tennessee state rate is 7%. Davidson County local option is 2.25%. Combined rate is 9.25% on most retail sales in Nashville. Source: TN DOR — Local Sales Tax Rates by County (verified Sep 2025).
  • Certain items (e.g., single‑article tax amounts for large purchases) have special rules. See TN DOR — Sales & Use Tax (verified Sep 2025).

Business tax licensing thresholds and fees:

  • Minimal Activity Business License if gross receipts in that jurisdiction are 3,000–3,000–99,999.99. Fee $15; no annual business tax return. Renew annually with the clerk. Source: TN DOR — Licenses (verified Sep 2025).
  • Standard Business License if receipts are $100,000+. File and pay business tax annually via TNTAP; the clerk issues your license after payment. Due date is the 15th day of the 4th month after your fiscal year ends (for calendar-year businesses, that’s usually April 15). Source: TN DOR — Business Tax Filing (verified Sep 2025).
  • Business tax rates depend on classification (industry). See the official rate/classification charts: TN DOR — Business Tax Classifications (verified Sep 2025).

Required documents to register:

  • EIN (or SSN for sole proprietors with no employees).
  • Legal business name and DBA.
  • Physical and mailing addresses.
  • NAICS code and business activity description.
  • First sales date and accounting period.

What to do if this doesn’t work:

  • Call TN DOR at 800-342-1003 or 615-253-0600, or use TN DOR — Contact Us. You can also visit a DOR regional office (locations listed on the Contact page).

Get your Metro Nashville business license

For Nashville addresses in the Metro area, you work with the Davidson County Clerk for the business license.

How it works:

  • If you will have a Standard Business License (gross receipts $100,000+), you must first register for business tax with TN DOR/TNTAP. After you file and pay, the Clerk issues/renews your license.
  • If you will have a Minimal Activity License (3,000–3,000–99,999.99), you get the license from the Clerk by paying $15 (and renew it annually with the Clerk). No state business tax return is required.

Where to apply/renew:

  • Davidson County Clerk — Business Taxes & Licenses: County Clerk site (verified Sep 2025). The site lists hours, locations, and contact options.

What to bring:

  • EIN (or SSN for sole prop without employees).
  • Legal name and DBA.
  • Business address within Davidson County (and city, if applicable).
  • NAICS code.
  • Estimated gross receipts to determine license type.

Timeline:

  • In-person license issuance can be same day for Minimal Activity. Standard License follows your DOR filing/payment cycle.

What to do if this doesn’t work:

  • If you’re not sure which license you need, call TN DOR first to confirm classification and thresholds, then contact the Clerk via the website above.

Table: The core tax and license numbers you’ll use

Item Nashville / Tennessee value Source
State sales tax rate 7% TN DOR — Sales & Use Tax
Davidson County local option rate 2.25% TN DOR — Local Rates by County
Combined sales tax (most retail) 9.25% DOR pages above
Minimal Activity License threshold 3,000–3,000–99,999.99 TN DOR — Licenses
Minimal Activity License fee $15 TN DOR — Licenses
Standard License threshold $100,000+ TN DOR — Licenses
Business Tax return due date (calendar filers) April 15 TN DOR — Business Tax
TN LLC filing fee 50/member∗∗;∗∗50/member**; **300 min; $3,000 max TN SOS — Filing Fees
Professional Privilege Tax (certain professions) $400 annually, due June 1 TN DOR — Professional Privilege Tax
F&E tax (LLCs/Corps, unless exempt) Excise 6.5%; Franchise 0.25% (min $100) TN DOR — Franchise & Excise

All sources verified Sep 2025.


Industry-specific licenses and permits (Nashville + Tennessee)

Start with your highest-risk permits first (food, alcohol, childcare, health-care, building). They usually drive your opening date.

Food service (restaurants, food trucks, caterers, manufacturers)

  • Metro Health food permits: Plan review, inspections, and operating permits are required for most food businesses. Start here: Metro Public Health — Food Protection Services and follow to Food Safety/Permits (verified Sep 2025).
  • Food trucks and mobile food vendors: You will need Health Department approval plus right‑of‑way vending permissions and possibly Fire inspections. See the Metro Transportation Licensing Commission for mobile vending/vehicle-for-hire rules (verified Sep 2025).
  • State manufacturing/wholesale: If you produce packaged foods, you may need inspection by the Tennessee Department of Agriculture. See TN Dept. of Agriculture — Food Manufacturing (verified Sep 2025).
  • Cottage foods: Tennessee’s Homemade Food Act allows certain low-risk foods without a permit if labeling and direct-sale rules are followed. See TN Department of Health — Food Safety (verified Sep 2025).

What to bring:

  • Floor plan, equipment list, menu/processes.
  • Commissary agreement (for food trucks needing a base kitchen).
  • Proof of water/sewer and waste disposal plan.

Timeline:

  • Plan review + inspections can take 3–8+ weeks, depending on buildout and scheduling.

What to do if this doesn’t work:

  • Ask for a pre-opening consultation with Metro Health and Fire. TSBDC can help you stage the permit sequence to reduce delays: TSBDC Nashville (TSU).

Alcohol (beer and liquor)

  • Beer permits: Issued by the Metro Beer Board. Different permit types (on-premises, off-premises, manufacturer) have specific requirements and public hearing timelines. Start at Metro Beer Board — Permits & Rules (verified Sep 2025).
  • Liquor-by-the-drink, retail package stores, distilleries, wineries: Licensed by the Tennessee Alcoholic Beverage Commission (TABC). See application checklists and fees: TABC — Licensing (verified Sep 2025).
  • Server permits/responsible vendor: Required training/permits for servers. See TABC — Server Permits (verified Sep 2025).

Timeline:

  • Expect 4–10+ weeks including local hearings and state reviews.

What to do if this doesn’t work:

  • If your application stalls, request status updates from the Beer Board staff and TABC licensing. Consider adjusting your opening plan to soft‑open without alcohol (if your concept allows) until approvals come through.

Contractors, trades, and building work

  • State contractor license: Required for projects $25,000+; see TN Board for Licensing Contractors (verified Sep 2025).
  • Home Improvement License: Required for residential work 3,000–3,000–24,999 in select counties including Davidson. See the same Contractors Board link above.
  • Electrical/Mechanical/Plumbing: State and Metro permitting/inspections required. Start at Metro Codes (verified Sep 2025).
  • Business license still required through the county clerk and DOR business tax.

Timeline:

  • Testing, financial statements, and board review can take 4–8+ weeks. Plan ahead.

What to do if this doesn’t work:

  • Ask the Board for Licensing Contractors about interim limits or classifications. TSBDC can help you prepare applications and financials.

Personal services (salons, barbers, spas, tattoo)

  • Cosmetology/Barber shops and practitioners are licensed by the Tennessee Board of Cosmetology and Barber Examiners: TN Cosmetology & Barber Board (verified Sep 2025).
  • Tattoo/body art: Health permits from Metro Public Health are required. Start at Metro Public Health and navigate to Body Art (verified Sep 2025).
  • Building/Fire codes still apply for your space. Check Metro Codes.

Timeline:

  • Licensure plus site inspections can take 2–6+ weeks.

What to do if this doesn’t work:

  • Ask inspectors for a checklist of corrections and reinspection window. Consider delaying a grand opening in favor of a soft opening for non-licensed services (if applicable).

Childcare, health services, and other regulated fields

What to do if this doesn’t work:

  • Contact your specific licensing board via the Department of Health link above. For planning or appeals, ask for a compliance conference.

Hiring? Don’t skip these state requirements

What to do if this doesn’t work:

  • Contact the Tennessee Department of Labor via the pages above for employer account issues. Consider payroll providers familiar with Tennessee rules.

Ongoing filings and renewals you shouldn’t miss

  • Sales & Use Tax returns: Filing frequency depends on sales volume. File and pay via TNTAP: TNTAP (verified Sep 2025).
  • Business Tax return (Standard License holders): Due the 15th day of the 4th month after fiscal year end (usually April 15). File via TNTAP. Source: TN DOR — Business Tax (verified Sep 2025).
  • Minimal Activity License renewal: Pay $15 annually to the Clerk. Source: TN DOR — Licenses (verified Sep 2025).
  • Franchise & Excise (LLCs/Corporations unless exempt): Excise 6.5%; Franchise 0.25% (minimum $100). File via TNTAP: TN DOR — F&E (verified Sep 2025).
  • TN SOS Annual Report (LLCs/Corporations): Due by the 1st day of the 4th month after fiscal year end. Fees are 50/member∗∗,∗∗50/member**, **300 min, $3,000 max. Source: TN SOS — Annual Reports (verified Sep 2025).
  • Tangible Personal Property Schedule (business equipment): File with the Davidson County Assessor by March 1 each year. See Davidson County Assessor of Property (verified Sep 2025).

What to do if this doesn’t work:

  • Set calendar reminders keyed to your fiscal year. If you miss a deadline, contact the agency immediately; penalties grow fast. TSBDC can help you build a compliance calendar: TSBDC Nashville (TSU).

Table: Document checklist (keep this handy)

Situation Documents you’ll typically need
Forming LLC/Corp Business name(s), registered agent info, member/officer info, payment method
County/City License EIN/SSN, business address, NAICS, DBA, estimated gross receipts
Sales & Use Tax EIN/SSN, business activity, start date, locations, banking info for e-pay
Business Tax EIN/SSN, activity code, estimated receipts, jurisdiction list
Food Service Floor plan, equipment list, menu/process, water/sewer proof, commissary (if mobile)
Alcohol Site plan, zoning approval, ownership disclosures, server training plans, public notice requirements
Contractors Financial statements, exam results, insurance/bonding, experience affidavit
Hiring EIN, workers’ comp policy, UI account, I‑9/W‑4 onboarding packets

This list reflects Nashville/Tennessee requirements; confirm specifics with the agency links provided.


Table: Realistic application timeline (typical ranges)

Step Typical timing (online/in person) Notes
SOS business formation Same day–3 business days Online is fastest
EIN issuance Same day IRS online during business hours
TNTAP tax registrations Same day–2 business days Sales/Business Tax
Minimal Activity License issuance Same day–1 business day At the County Clerk
Standard License issuance After DOR filing/payment License issued post‑payment
Health permits (food) 3–8+ weeks Plan review + inspections
Alcohol permits 4–10+ weeks Local hearing + TABC
Buildout permits 2–6+ weeks Depends on plan review load

Timelines vary; confirm with the agency sites linked in this guide.


Sector snapshots: What it really looks like in Nashville

Example A: Food truck “Eastside Tacos”

  • Registers an LLC (2 members) online. SOS filing fee: 100∗∗(2members×∗∗100** (2 members × **50, minimum 300∗∗ruledoesn’tapplyhere—importantnote:Tennesseesetsaminimumof∗∗300** rule doesn’t apply here—important note: Tennessee sets a minimum of **300 for LLC filings; with 2 members, fee is the minimum 300∗∗,not∗∗300**, not **100). Source: TN SOS — Filing Fees (verified Sep 2025).
  • Gets an EIN ($0).
  • Registers for Sales & Use and Business Tax via TNTAP (0∗∗).PlansforaMinimalActivityLicensesincefirst−yearrevenueisprojected∗∗0**). Plans for a Minimal Activity License since first-year revenue is projected **85,000.
  • Buys a Minimal Activity License at the County Clerk ($15).
  • Secures a commissary, completes Metro Health plan review for mobile food, and passes Fire inspection. Links: Metro Health — Food, Metro Transportation Licensing Commission (verified Sep 2025).
  • Collects 9.25% sales tax on taxable sales and files monthly returns via TNTAP.

Reality check:

  • Parking and right‑of‑way permissions are tight on busy corridors and during events. Build alternate spots and private property arrangements.
  • Health and fire inspections can delay opening; book early.

What to do if this doesn’t work:

  • Consider a pop‑up partnership with an existing kitchen while permits finish. TSBDC can help structure agreements.

Example B: Hair salon in 12 South

  • Subleases a built-out suite. Verifies zoning/occupancy with Metro Codes.
  • LLC filing fee: 300∗∗minimum.EIN(∗∗300** minimum. EIN (**0).
  • Cosmetology shop license + individual licenses through state board: TN Cosmetology & Barber Board (verified Sep 2025).
  • Sales & Use Tax and Business Tax via TNTAP. First-year revenue projected $120,000, so Standard Business License applies (annual Business Tax return due April 15 if calendar-year).
  • Metro Beer Board not needed; but sign permits from Codes may be required.

Reality check:

  • Opening day slips most often for minor code items (GFCI outlets, water heater settings, fire extinguishers). Do your own pre-check.

What to do if this doesn’t work:

  • Ask Codes for a temporary certificate only if permitted by code and after corrections. Keep clients updated and do mobile/on‑location services if allowed by your license until opening.

Example C: Home-based online shop (Germantown)

  • Sells apparel online from home. Verifies home occupation rules with Metro Codes.
  • If sales are 12,000∗∗inyearone,MinimalActivityLicenseapplies(∗∗12,000** in year one, Minimal Activity License applies (**15). If sales grow to $100,000+, switch to Standard and file Business Tax annually.
  • Registers for Sales & Use Tax because they sell taxable goods. Collects 9.25% from TN buyers; ships out-of-state based on destination state rules (check other states’ laws if you pass their nexus thresholds).

Reality check:

  • Home businesses may have restrictions on signage, customer visits, and inventory storage. Get written confirmation from Metro Codes.

What to do if this doesn’t work:

  • Consider a small commercial flex space or a co‑warehousing setup that meets zoning and delivery needs.

Common mistakes to avoid

  • Assuming “Nashville” means only one license. If your address is in Berry Hill, Oak Hill, Belle Meade, Forest Hills, or Goodlettsville, city licensing can be separate. Verify your exact jurisdiction.
  • Skipping Sales & Use Tax registration before the first taxable sale. Tennessee expects you to be registered and collecting when you open.
  • Picking the wrong business tax classification. It affects your tax rate. Confirm your NAICS/activity with TN DOR.
  • Forgetting the SOS annual report (LLCs/Corps). It’s due by the first day of the fourth month after your fiscal year and carries fees and potential administrative dissolution.
  • Not planning for inspections. Health, fire, building, and TABC timelines often exceed your optimistic schedule.
  • Using a trade name without registering it (for entities at SOS; for sole props with the local clerk, where applicable).
  • Underestimating the true cost and time of buildout. Permits + contractors + inspections can take 4–12+ weeks.
  • Missing the Tangible Personal Property filing by March 1 with the Assessor.

What to do if this doesn’t work:

  • Call the agency. Most Nashville and state offices will tell you exactly how to fix it. If you’re stuck, book a free session with the TSBDC Nashville (TSU).

Inclusivity, diversity, and accessibility resources (Nashville + Tennessee)

  • Tennessee Minority, Women, Service‑Disabled Veteran certification (Go-DBE): Certification can help with state procurement. Start here: TN Go‑DBE — Official Site (verified Sep 2025).
  • Metro Nashville supplier programs (small/diverse business): See the Metro procurement portal and Business Assistance Office resources: Metro Procurement (verified Sep 2025). Ask about small business and diversity programs used in Metro contracts.
  • Veteran-owned businesses: TN Department of Veterans Services has resources for vets. See TN DVS — Business Resources (verified Sep 2025).
  • Women-owned, WOSB federal certification: SBA — Women-Owned Small Business Program (verified Sep 2025).
  • Minority-owned, 8(a), HUBZone, SDVOSB federal certifications: SBA — Federal Contracting Programs (verified Sep 2025).
  • Lending and training support in Nashville: Pathway Lending (CDE offering small business loans and training), LaunchTN (statewide startup support), SCORE Nashville (mentoring).
  • Accessibility and language support: Tennessee agencies provide translation aids on their sites; for tax help, use TN DOR — Contact Us and request language assistance. For immigration‑related business questions, consult accredited legal aid or local groups before filing.

Tips:

  • Certifications do not replace business licenses. Obtain your licenses first, then certify to pursue contracts.
  • Keep documents ready: tax returns, proof of ownership, operating agreements, and identification.

What to do if this doesn’t work:

  • If you’re denied certification, ask for a debrief and the specific documentation gaps. TSBDC and SCORE can help you prepare a stronger resubmission.

Table: Who to contact (official directories)

Need Agency Where to start
Business Tax, Sales Tax, TNTAP Tennessee Department of Revenue TN DOR — Contact Us
Business Licenses (Metro Nashville) Davidson County Clerk County Clerk — Business
Zoning, Building, Sign, Use & Occupancy Metro Codes & Building Safety Metro Codes
Food permits/inspections Metro Public Health Department Metro Health
Beer permits Metro Beer Board Beer Board
Liquor licenses Tennessee Alcoholic Beverage Commission (TABC) TABC
Contractors and trades TN Board for Licensing Contractors Contractors Board
Cosmetology/Barber TN Cosmetology & Barber Board Cosmetology & Barber
Workers’ Comp, UI (employers) TN Dept. of Labor & Workforce Dev. Workers’ Comp, UI for Employers
Tangible Property Davidson County Assessor Assessor of Property
Free advising TSBDC — Nashville (TSU) TSBDC Nashville

FAQs (Tennessee- and Nashville-specific)

  • Do I need both a city and county business license in Nashville?

    Often, your Metro Nashville-Davidson County license covers you. But if your location is inside an incorporated city (Berry Hill, Belle Meade, Forest Hills, Oak Hill, or Goodlettsville), that city may require its own license. Verify your exact address with the city and the Davidson County Clerk (verified Sep 2025).

  • What’s the difference between Minimal Activity and Standard Business Licenses?

    Minimal Activity is for 3,000–3,000–99,999.99 in gross receipts per jurisdiction; you pay 15∗∗totheclerkanddon’tfilebusinesstaxannually.Standardisfor∗∗15** to the clerk and don’t file business tax annually. Standard is for **100,000+; you must file and pay business tax via TNTAP each year. Source: TN DOR — Licenses (verified Sep 2025).

  • When are Tennessee Business Tax returns due?

    The 15th day of the 4th month after your fiscal year ends (commonly April 15 for calendar-year). Source: TN DOR — Business Tax (verified Sep 2025).

  • What is Nashville’s sales tax rate?

    State 7% + Davidson County 2.25% = 9.25% combined for most retail. Source: TN DOR — Local Rates (verified Sep 2025).

  • How much does it cost to form an LLC in Tennessee?

    50permember∗∗witha∗∗50 per member** with a **300 minimum and $3,000 maximum. Source: TN SOS — Filing Fees (verified Sep 2025).

  • Do I need a Use & Occupancy permit for my storefront?

    If you’re taking over a commercial space or changing use (e.g., office to restaurant), you’ll likely need approvals/inspections. Start with Metro Codes (verified Sep 2025).

  • I only sell online from home in Nashville. Do I need a license?

    Yes, if your gross receipts meet Tennessee thresholds. You also need to register for Sales & Use Tax if you sell taxable goods/services. Confirm home occupation rules with Metro Codes.

  • I’m a contractor. What licenses do I need?

    Projects 25,000+∗∗requireastatecontractorlicense.Residentialhomeimprovement∗∗25,000+** require a state contractor license. Residential home improvement **3,000–$24,999 in Davidson County requires a Home Improvement license. See TN Contractors Board (verified Sep 2025). You also need the local business license and state tax accounts.

  • I’m opening a bar. What permits do I need?

    Metro Beer Board (for beer) and TABC (for liquor by the drink). You’ll also need building, fire, and possibly health approvals. Start here: Beer Board, TABC Licensing (verified Sep 2025).

  • Which professions pay the Professional Privilege Tax?

    Tennessee lists covered professions (including attorneys, physicians, etc.) on the DOR site. The tax is $400 annually, due June 1. See TN DOR — Professional Privilege Tax (verified Sep 2025).


What to budget (fee highlights with sources)

  • TN LLC/Corp filing: 50/member∗∗;∗∗50/member**; **300 min; $3,000 maxSOS Fees (verified Sep 2025).
  • EIN: $0IRS EIN.
  • Sales/Business Tax registrations: $0TNTAP.
  • Minimal Activity License: $15 per jurisdiction — TN DOR — Licenses.
  • Standard License: Issued after business tax filing/payment; license fee commonly $15 with the clerk — confirm with Davidson County Clerk.
  • Professional Privilege Tax (if applicable): $400TN DOR — Professional Privilege Tax.
  • F&E minimum: Franchise minimum $100; rates detailed here — TN DOR — F&E.
  • Specialty permits (food, alcohol, etc.): Vary widely; see the agency pages linked above for current fee schedules.

“If this doesn’t work” — Plan B options by step

  • Zoning/Location

    Ask Metro Codes for a zoning letter or pre-application meeting. Consider a different address or use category. If denied, ask about variances/conditional uses.

  • SOS formation

    If your filing is rejected, use the SOS comments to fix the name/agent issues. The TSBDC can review your documents before resubmission.

  • TNTAP tax accounts

    If your account won’t validate, call DOR with your EIN/SSN and legal name exactly as IRS records show.

  • Business license (Clerk)

    If you’re stuck between Minimal vs Standard, ask DOR to confirm your classification and projected receipts. The Clerk can only issue based on DOR status.

  • Inspections/Permits

    Request a punch list from inspectors with precise corrections and code citations. Schedule reinspections as soon as fixes are done.

  • Cash flow delays due to permits

    Explore a phased opening (retail without beer/liquor; catering without dine-in) while you wait on later permits, if allowed.


Table: Quick step-by-step for Nashville

Step Action Where Cost
1 Confirm zoning/use for address Metro Codes Varies
2 Form LLC/Corp (optional) TN SOS 300–300–3,000
3 Get EIN IRS $0
4 Register Sales & Use and Business Tax TNTAP $0
5 Get Minimal or Standard License Davidson County Clerk $15
6 Apply for industry permits See relevant sections Varies
7 Set up payroll/employer accounts TN DOL Varies
8 Build your compliance calendar Agency sites above $0

Practical tips to keep you out of trouble

  • Build a one‑page compliance calendar with bolded dates: March 1 (property schedule), April 15 (Business Tax for calendar filers), June 1 (Privilege Tax), plus SOS annual report due month.
  • Label your bank account with the tax type and frequency (e.g., “Sales Tax — Monthly”); set automatic TNTAP reminders.
  • For multi‑jurisdiction sales (e.g., events in neighboring counties), confirm whether you need an additional license for that jurisdiction.
  • Keep a binder (physical or digital) with your license, inspection reports, and insurance certificates on site.
  • For home businesses, request a written email from Metro Codes confirming your home occupation status before buying inventory or equipment.

About This Guide

  • Purpose: Give Nashville business owners plain‑English, source‑driven steps to obtain the correct licenses and stay compliant.
  • Sources and verification: This guide links directly to official pages from the Tennessee Department of Revenue, TN Secretary of State, Metro Nashville-Davidson County departments, and other state agencies. All links were verified in September 2025. Where specific dollar amounts and deadlines are listed, they come from those sources. If a fee or rule isn’t shown with a source link, follow the official links to confirm the current amount.
  • Updates: Laws and fees change. Always check the linked official pages for the latest forms, fees, and deadlines.

Disclaimer

This guide is for general information only and is not legal, tax, or accounting advice. Program details, fees, and deadlines can change at any time. Always verify requirements with the relevant agency using the official links in this guide or by contacting them directly.