City business license guide
Last updated: April 30, 2026
Opening a business in Ann Arbor is not one single filing. Most owners need to check several layers: the City of Ann Arbor, Washtenaw County, the State of Michigan, and sometimes the federal government. The right path depends on your address, business activity, legal structure, and whether customers, workers, food, signs, vehicles, or building changes are involved.
Bottom line
The City of Ann Arbor does not publish one all-purpose business license that every business must get before opening. Instead, Ann Arbor uses activity-specific licenses, permits, zoning reviews, building permits, sign permits, fire checks, and certificates when they apply. The City Clerk says its office issues many permits and licenses, and most can be applied for online through the city’s Licenses and Permits page or the city’s STREAM system.
Your first local question is usually not “Where do I buy a business license?” It is “Is this location and activity allowed, and which city, county, state, or federal permits apply?” For a home business, change of use, temporary outdoor sale, tent, or mobile food service, start with Ann Arbor’s Zoning Compliance Permits page. For a storefront build-out or occupancy question, start with Ann Arbor Building Permits.
Quick start: what to check first
- Check the address. Use Ann Arbor zoning and property tools before you sign a lease or start work. Some uses need a zoning compliance permit or a building permit even if the space already looks ready.
- Check the city permit layer. Look for City Clerk licenses, zoning compliance permits, building and trade permits, sign permits, fire permits, and right-of-way permits that match your activity.
- Check the county layer. Sole proprietors and general partnerships using a business name may need a Washtenaw County assumed name filing. Food businesses usually need the Washtenaw County Health Department.
- Check the state layer. LLCs, corporations, and foreign entities file with Michigan LARA. Sales tax, use tax, and withholding are handled through Michigan Treasury. Employers may also need Michigan UIA.
- Check the federal layer. Many businesses need an EIN. Some activities, such as alcohol manufacturing, aviation, firearms, or broadcasting, can also have federal license rules.
For broader background before you work through local offices, see Do I Need a Business License? and City License vs County License vs State Registration.
Ann Arbor business license facts box
| Question | Plain-English answer |
|---|---|
| Is there one citywide license for every Ann Arbor business? | No official city page found one universal business license. Ann Arbor lists specific licenses and permits instead. |
| Main city system for many permits | STREAM, the city’s online land and permit management system. |
| City office to check for activity licenses | Ann Arbor City Clerk for many city licenses and permits. |
| City office to check for zoning, signs, change of use, and permits | Planning, Building, Rental and Inspection Services, and related city departments. |
| County | Washtenaw County. |
| State agencies you may use | Michigan LARA, Michigan Department of Treasury, Michigan UIA, and industry boards or commissions. |
| Best first local question | “Is my planned use allowed at this address, and which city permits apply before I open?” |
If an official fee, deadline, or renewal term is not shown on the official page for your exact permit, do not guess. Ask the office before you apply.
City, county, state, and federal layers
City of Ann Arbor requirements
The City of Ann Arbor’s own license pages point to specific permits and licenses. The City Clerk page lists items such as auctioneer license, commercial applicator of pavement sealant registration, commercial quadricycle operating permit, gem and precious metal dealer application, going-out-of-business sale license, liquor license, manufactured fertilizer registration, marijuana facility permit, and temporary sound exemptions. The city’s broader Licenses & Permits page also points readers to construction permits, fire department items, sign permits, special event permits, right-of-way permits, and other local approvals.
That means a normal office-based consulting business may not need a separate City Clerk license. But a business that changes a space, puts up a sign, sells food, runs a temporary outdoor sale, uses a tent, operates mobile food service, hosts events, sells alcohol, handles marijuana, applies pavement sealant, or sells precious metals may have city or county steps.
For zoning, Ann Arbor says zoning review is part of building permit review, and it also lists zoning compliance permits for certain projects and uses. Those uses include temporary outdoor sales, temporary tents of certain sizes, change of use, home occupation, and mobile food service. The city says zoning compliance permits must be submitted online through STREAM, and paper applications and emailed PDFs are no longer accepted.
For building work, Ann Arbor states that building permits oversee changes to structures, including demolition, renovation, installation, construction, and changes in building use. The city gives an example of converting a home to a small veterinary office, saying a building permit would be needed because the use changes from residential to commercial if zoning allows it.
Washtenaw County requirements
Washtenaw County matters most for business names and public health. The county’s Business Names (DBA) page is the place to search for or register an assumed name or co-partnership. This is usually most relevant for sole proprietors and general partnerships using a name that is not just the owner’s legal name.
Food businesses should also check the Washtenaw County Health Department. Its Food Safety & Food Licensing page routes businesses to catering licenses, cottage foods, mobile food cart licenses, special transitory food units and food trucks, temporary food establishment licenses, food service plan review, and restaurant opening guidance. A food business should not assume that a city zoning approval replaces county food licensing.
Michigan state requirements
Michigan does not work like a single “buy one business license” state for every business. State steps depend on what you are forming and what you do.
LLCs, corporations, limited partnerships, limited liability partnerships, and many foreign entities use the Michigan LARA Corporations Division. LARA says the Corporations Division forms business entities in Michigan and lets foreign entities obtain authority to transact business. Michigan also launched the MiBusiness Registry Portal for many business filings, annual reports, statements, certificates, and business record searches.
Michigan Treasury handles tax registration. The state’s New Business Registration page says businesses begin at Michigan Treasury Online and complete Treasury’s registration application. Michigan’s sales and use tax page says businesses selling tangible personal property to final consumers remit 6% sales tax to the state, and Michigan does not allow city or local units to impose sales tax.
If you have employees covered by Michigan unemployment law, the Michigan Unemployment Insurance Agency says you must register for an employer account. UIA also says you must have a federal EIN to register.
Some businesses need Michigan professional or industry licenses. Examples can include residential builders, electricians, plumbers, barbers, cosmetologists, health professionals, liquor licensees, marijuana businesses, child care providers, and other regulated work. Use LARA’s regulated products, professions, and businesses pages and the correct state board or commission before you open.
Federal requirements
An EIN is a common federal step. The IRS says you can get an EIN directly from the IRS for free, and you generally need one to hire employees, operate a partnership or corporation, pay sales or excise taxes, change business structures, or manage certain trusts and plans. Get it through the IRS EIN page, not a paid look-alike site.
Federal business licenses are activity-based. The SBA says federal licenses and permits may apply when a business activity is regulated by a federal agency. Its licenses and permits page lists examples such as agriculture, alcoholic beverages, aviation, firearms, fish and wildlife, commercial fisheries, maritime transportation, mining and drilling, nuclear energy, broadcasting, and transportation.
Beneficial ownership reporting changed after many older guides were written. FinCEN’s current official fact sheet says entities created in the United States and their beneficial owners are now exempt from BOI reporting under the interim final rule. Foreign entities registered to do business in a U.S. state may still have BOI filing duties. Check FinCEN’s BOI fact sheet if a foreign entity is involved or if the rules change again.
What does this mean for me?
If you are starting a simple home-based service business in Ann Arbor, your first check may be zoning and state tax registration, not a city business license counter. If you are opening a storefront, your first checks are address, zoning, building permits, certificate of occupancy issues, signs, and state taxes. If you sell food, add Washtenaw County food licensing early. If you sell alcohol, marijuana, tobacco, precious metals, or regulated services, add state and city activity rules before you spend money.
Do not use an LLC filing as proof that you are allowed to operate at a location. An LLC is a state entity filing. It does not replace zoning, a county food license, a sales tax license, a building permit, a sign permit, a professional license, or a federal permit.
Costs you can plan for
Ann Arbor and Michigan fees depend on the exact permit, license, tax account, and work scope. Do not assume a fee from another city or another business applies to you.
| Cost type | Who may face it | What to confirm |
|---|---|---|
| City Clerk license or permit fee | Activity-specific city licenses, such as certain dealers, sales, registrations, or special permits | Check the exact City Clerk item and current application before filing. |
| Zoning compliance permit | Home occupation, change of use, temporary outdoor sale, mobile food service, certain tents, and listed projects | Confirm the current STREAM permit type and fee before you submit. |
| Building and trade permits | Build-outs, renovations, electrical, mechanical, plumbing, or change-of-use work | Ann Arbor says plan review fees are due at application submittal. Confirm all current permit and inspection charges on the city fee page. |
| Certificate of Occupancy document fee | Businesses that need a city Certificate of Occupancy; smoke shops are specifically called out by the city | The city page lists a $50 document fee in its smoke shop note. Confirm if that fee and process applies to your business. |
| County food license or plan review fees | Restaurants, caterers, mobile food carts, food trucks, temporary food vendors | Check Washtenaw County Environmental Health for the current license, plan review, and inspection fee schedule. |
| State tax and employer accounts | Retail sellers, employers, businesses with taxable activity | Registration is separate from tax owed. Treasury assigns filing frequency for sales, use, and withholding returns. |
| IRS EIN | Many entities and employers | The IRS says EINs are free when obtained directly from the IRS. |
Do not pay a private site just because it uses words like “business license,” “seller permit,” or “EIN.” Start with the official city, county, state, and IRS pages first.
Real-world examples
| Business | Likely first checks | Why it matters |
|---|---|---|
| Home-based consultant | Home occupation zoning, business name, Michigan tax accounts if needed, EIN if needed | A home business may not need a citywide license, but zoning can still limit visits, signs, employees, storage, or activity. |
| Retail shop | Zoning, change of use, building permits, certificate of occupancy if required, sign permit, Michigan sales tax | The space may need city review before opening, especially after a new use or build-out. |
| Restaurant or cafe | City zoning and permits, Washtenaw County food plan review and licensing, fire checks, sales tax, signs | Food licensing and construction review should be checked before signing a lease or ordering equipment. |
| Food truck | County STFU or mobile food rules, city mobile food service zoning compliance, event or parking approvals, sales tax | A county food license does not automatically give permission to operate at every city location. See our Food Truck Business License and Permit Guide for broader context. |
| Home occupation selling goods online | Home occupation zoning, Michigan sales tax if taxable goods are sold, DBA or entity filing, platform rules | Online activity can still trigger home zoning, tax, and name registration issues. See Do Online Businesses Need a Business License?. |
Zoning, home businesses, signs, and occupancy
Home occupation and change of use
Ann Arbor lists home occupation and change of use as zoning compliance permit categories. If you work from home, meet clients at home, keep inventory, park work vehicles, hire employees, add a sign, or make deliveries, check this before you rely on general advice. Our Home Occupation Permit Explained guide gives general background, but the Ann Arbor rule and STREAM process should control.
Signs
Ann Arbor says sign permits are submitted online through STREAM. The city also says sign regulations are in the Unified Development Code and cover location, design, size, construction, installation, maintenance, and public safety. A landlord’s approval does not replace a city sign permit when one is required.
Certificate of Occupancy
Ann Arbor says a Certificate of Occupancy is different from a rental Certificate of Compliance. The city says C of O applications go through STREAM and asks applicants to provide the applicant name, business name, address, and permit number. For smoke shops, the city says the State of Michigan requires a Certificate of Occupancy to obtain the state license and that approved occupant load must be listed.
Fire and safety checks
The Ann Arbor Fire Prevention Bureau provides inspection services and uses the Ann Arbor Fire Prevention Code. Food service, assembly spaces, storage, cooking equipment, tents, events, hazardous materials, and build-outs may need fire review or inspection. The city’s fire inspection page lists practical items such as exits, emergency lighting, extinguishers, fire alarm systems, sprinkler systems, commercial cooking suppression systems, and storage clearances.
Common mistakes to avoid
- Assuming there is one Ann Arbor business license for every business.
- Signing a lease before checking zoning and change-of-use rules.
- Treating an LLC filing as permission to operate locally.
- Buying a sign before checking Ann Arbor sign rules and STREAM permit steps.
- Starting construction before building or trade permits are issued.
- Opening a food business before county food plan review, licensing, or inspection is clear.
- Using old BOI deadline guidance that applied before FinCEN changed the federal rule.
- Relying on private filing websites instead of official city, county, state, and IRS pages.
Phone and email scripts
Use short, clear messages. Include your business type, address, and what you plan to do. Do not ask the agency to “approve my business” in general. Ask what permit, license, zoning review, or next office applies.
City zoning and building script
Hello, I am planning to open a [business type] at [address or general area] in Ann Arbor. The business would [plain description of activity]. Can you tell me whether I should start with zoning compliance, change of use, building permits, certificate of occupancy, or another city review before I sign a lease or open?
City Clerk license script
Hello, I am checking whether Ann Arbor has a City Clerk license or permit for [activity], such as peddling, a special sale, liquor local approval, precious metal dealing, pavement sealant application, marijuana facility permitting, or another listed activity. Which official application should I use, and where can I confirm the current fee?
Washtenaw County food script
Hello, I plan to operate a [restaurant, food truck, catering, cottage food, temporary event food stand] in Ann Arbor. Can you tell me which Washtenaw County food license or plan review path applies before I buy equipment, sign a lease, or serve customers?
Michigan tax and employer script
Hello, I am starting a business in Ann Arbor and need to confirm which Michigan tax accounts apply. I may sell [products or services] and may hire [number] employees. Should I register through Michigan Treasury Online, UIA employer registration, or both?
Keep a simple contact log with the date, office, person or inbox, question asked, and answer received.
What to do if this doesn’t work
If you cannot tell which permit applies, work backward from your address and activity.
- Write one short description of the business, location, customers, food, vehicles, signs, employees, and building work.
- Ask Ann Arbor Planning or Building which city review comes first.
- If food is involved, ask Washtenaw County Environmental Health before buying equipment or setting an opening date.
- If the issue is tax, ask Michigan Treasury or a qualified Michigan tax professional.
A compact compliance checklist
- Confirm the business address is inside the City of Ann Arbor, not a nearby township.
- Check zoning district, allowed use, and whether a home occupation or change-of-use permit applies.
- Check City Clerk activity licenses and permits for your exact business activity.
- Use STREAM for city permits when Ann Arbor requires online filing.
- Check building, trade, fire, sign, tent, right-of-way, or event permits before work starts.
- File a Washtenaw County assumed name if it applies to your structure and business name.
- Check county food licensing and plan review before any food operation.
- File Michigan entity paperwork with LARA if forming an LLC, corporation, or similar entity.
- Register with Michigan Treasury if sales, use, withholding, or other business taxes apply.
- Register with Michigan UIA if you have covered employees.
- Get an EIN directly from the IRS if your business needs one.
- Check federal license rules if your activity is federally regulated.
Official resources
- Ann Arbor City Clerk licenses and permits
- Ann Arbor citywide licenses and permits directory
- Ann Arbor zoning compliance permits
- Ann Arbor construction and building
- Ann Arbor sign code and sign permits
- Washtenaw County business names
- Washtenaw County food safety and food licensing
- Michigan LARA Corporations Division
- Michigan Treasury new business registration
- Michigan UIA employer resources
- IRS EIN page
- SBA licenses and permits
About BusinessLicenseGuide.com
BusinessLicenseGuide.com is a plain-English licensing guide for ordinary small-business owners. We are not a government agency, law firm, CPA firm, filing service, or permit expeditor. Our goal is to help you sort the layers, ask better questions, and go back to the official source before you act.
FAQ
Does Ann Arbor require a general business license?
Ann Arbor does not publish one all-purpose business license for every business. The city uses specific licenses, zoning reviews, building permits, sign permits, fire checks, and activity permits when they apply.
What should I check first before opening a business in Ann Arbor?
Check the address and planned use first. Ask whether zoning, home occupation rules, change of use, building permits, certificate of occupancy, food licensing, signs, or other permits apply before you sign a lease or open.
Do I need a Washtenaw County DBA for an Ann Arbor business?
You may need a Washtenaw County assumed name filing if you are a sole proprietor or general partnership using a business name. LLCs and corporations usually handle entity names and assumed names through Michigan LARA.
Who handles restaurant and food truck licensing in Ann Arbor?
Washtenaw County Environmental Health handles many food safety and food licensing steps, including restaurants, temporary food establishments, mobile food carts, and special transitory food units or food trucks. City zoning or event approvals may still apply.
Do I need a Michigan sales tax license?
You may need a Michigan sales tax license if you sell taxable tangible personal property to final consumers. Michigan Treasury says those sales are generally subject to 6% state sales tax, and city or local units cannot impose their own sales tax.
Do Ann Arbor LLCs need to file BOI reports with FinCEN?
Under FinCEN’s current interim final rule, entities created in the United States and their beneficial owners are exempt from BOI reporting. Foreign entities registered to do business in a U.S. state may still have BOI duties, so check FinCEN if a foreign entity is involved.
Disclaimer
This article is informational only. It is not legal, tax, financial, insurance, employment, safety, zoning, licensing, or professional advice. Rules, fees, forms, links, and policies can change. Confirm important details with the official agency or a qualified professional. BusinessLicenseGuide.com does not guarantee approval, eligibility, compliance, savings, income, speed, or results.
Updates
Last updated: April 30, 2026
Next review: August 30, 2026
This update checked Ann Arbor city permit pages, Washtenaw County business name and food pages, Michigan LARA and Treasury pages, Michigan UIA employer pages, IRS EIN guidance, SBA license guidance, and FinCEN BOI guidance available as of the update date.