Virginia Beach, VA Business License Guide

Last updated: August 2025

This is a practical, no-fluff, step-by-step hub to help you figure out whether you need a Virginia Beach business license, how to get it, what it costs, and what else the city and the Commonwealth of Virginia expect from you. It includes real links to official sources, real-world examples, cost math, timelines, and common mistakes to avoid.

Quick help


What a Virginia Beach “business license” actually is

The Virginia Beach “business license” is a local gross receipts tax and licensing system authorized by the Commonwealth of Virginia’s Business, Professional, and Occupational License (BPOL) law. It is:

  • A local license to do business in Virginia Beach, and
  • A local tax measured by your gross receipts (not your net income), with tax rates that vary by business classification (retail, professional, contractor, etc.).

State law sets the ceiling; cities set the exact rates, due dates, and procedures in their local ordinance.

Reality check:

  • You can owe a small flat license fee even if your receipts are low.
  • Once your gross receipts pass certain thresholds, the city applies a rate per $100 of gross receipts.
  • Your classification matters. “Professional services” usually pay a higher rate than “retail,” and contractors are a separate class.
  • If you work from home in Virginia Beach, you may still need a business license and must follow “home occupation” rules in the zoning ordinance.

What to do if this doesn’t work:

  • If you can’t find your exact classification or rate in the city code, ask the Commissioner of the Revenue (Business License) through the department directory: Virginia Beach City Departments Directory, or consult a Virginia tax professional who works with BPOL. If you hit a dead end, the Virginia Department of Taxation has a technical BPOL page for local officials; you can cite § 58.1-3703.1 (situs and administrative rules) in your inquiry to the city.

Do you need a Virginia Beach business license?

Start here. If you are “engaging in business” in the City (regular, continuous activity for profit within Virginia Beach), you generally must apply for a local license, even if your main company is registered elsewhere, and even if you’re home-based. State law provides small business fee relief at low gross receipts, but you still register.

Key thresholds under Virginia law (local ordinances implement these ceilings):

  • Localities may charge a flat “license fee” for businesses with gross receipts under certain thresholds. Per § 58.1-3703(C), the fee may not exceed:
    • $0 for $0–$10,000 in gross receipts.
    • $30 for $10,001–$50,000 in gross receipts.
    • $50 for $50,001–$100,000 in gross receipts.
  • Localities may not charge a license tax (the per-$100 receipts tax) on businesses with gross receipts of $100,000 or less; only the fee above is allowed under state law. Over $100,000, the per-$100 tax applies at your classification rate. Source: § 58.1-3703(C).

Important: The City of Virginia Beach sets the actual fee amounts (at or below those caps), local filing deadlines, and tax rates by class. Confirm the city’s current amounts in the code: Virginia Beach Code of Ordinances — Chapter 34.

Common real-world situations:

  • Home Etsy shop in Kempsville making $12,500 in your first year: Under state law, the city may charge a small flat fee (no per-$100 tax under $100,000). You still register for a license; you must also comply with home occupation rules. See Virginia Beach Zoning Ordinance — Home Occupations (search “home occupation”).
  • Mobile pet groomer serving Hilltop/Great Neck, gross receipts $135,000: You’ll owe the per-$100 BPOL tax at your classification rate (likely a “business service” classification under local rules), plus you may need specific vehicle, zoning, and possibly health or animal control rules (check local code).
  • Contractor doing jobs in Virginia Beach with a Chesapeake office: You still need a Virginia Beach license if you’re doing business at job sites in the city (contractor rules are special). See classification caps in § 58.1-3706 and the city code for local rates.

What to do if this doesn’t work:

  • Ask the City’s Commissioner of the Revenue about whether your activity is “engaging in business” and how situs (where receipts are taxed) applies. Use the department directory: Virginia Beach City Departments Directory. If you get conflicting info, cite § 58.1-3703.1(A)(3) (situs rules) and request a written classification determination.

Step-by-step: How to get your Virginia Beach business license (and the state-level registrations you need)

Do the steps below in order. The fastest approvals happen when zoning, entity, and tax accounts are in place before you apply locally.

1) Check your zoning and location first

  • If you will have a storefront, office, warehouse, or home office in Virginia Beach, confirm your use is allowed in the zoning district, and whether you need a Certificate of Occupancy (CO) or a Conditional Use Permit.
  • Home-based business? The city regulates “home occupations.” Certain businesses with customer visits or multiple vehicles may require additional approvals.

Official sources:

What to do if this doesn’t work:

  • If your space is not permitted for your use, talk to Planning/Zoning about alternatives (e.g., different space, conditional use). If you cannot resolve, consider a coworking space or a virtual office for registrations while you seek a compliant location.

2) Choose your structure and register with the SCC

  • Most businesses form an LLC or corporation with the Virginia State Corporation Commission (SCC). Sole proprietors do not have to form an entity, but many still file a DBA (assumed name) for branding.

Official sources:

What to do if this doesn’t work:

  • If your preferred name is taken, check SCC’s name availability and consider filing a DBA. For legal/tax advice, consult a Virginia attorney or CPA.

3) Register for Virginia taxes (sales tax, employer withholding, etc.)

  • If you sell taxable goods or certain services, you must register for sales tax with the Virginia Department of Taxation.
  • If you will have employees, register for employer withholding.
  • If you will collect meals/lodging taxes, be aware there are separate local filings (see later section).

Official sources:

What to do if this doesn’t work:

  • If your registration is delayed, you can still apply for the local license while noting “applied for” on your state tax accounts; keep proof of submission.

4) Set up unemployment insurance and workers’ comp if you have employees

  • Unemployment Insurance (UI): Virginia employers must register with the Virginia Employment Commission when they meet wage/employee thresholds (generally, pay wages of $1,500 or more in a calendar quarter or employ one or more persons for 20 different weeks in a year). Source: VEC — Employers.
  • Workers’ Compensation: In Virginia, employers with two or more employees (full-time, part-time, seasonal, or family members) must carry workers’ comp insurance. Source: Virginia Workers’ Compensation Commission — Employers.

What to do if this doesn’t work:

  • If you can’t obtain coverage in the voluntary market, ask your agent about the assigned risk plan for Virginia workers’ comp. For UI registration issues, contact the VEC Employers portal.

5) Confirm industry licenses or permits (state-level)

  • Contractors: Virginia requires a DPOR contractor license (Class A/B/C) based on project/annual volume thresholds:
    • Class A: Single contract of $120,000 or more, or total volume of $750,000 within 12 months.
    • Class B: Single contract of $10,000–$119,999, or total volume of $150,000–$749,999 within 12 months.
    • Class C: Single contract of $1,000–$9,999, and less than $150,000 in 12 months.

    Source: DPOR — Board for Contractors.

  • Food establishments and food trucks: You must obtain a permit from the Virginia Department of Health (VDH) before serving food to the public. Source: VDH — Food Safety and Restaurant Permits.
  • Alcohol sales: Retailers (restaurants, bars, stores) and manufacturers must be licensed by Virginia ABC. Source: Virginia ABC — Licensing Overview.
  • Cosmetology/Barbering/Nail: State license required for shops and professionals. Source: DPOR — Board for Barbers and Cosmetology.

What to do if this doesn’t work:

  • If you are unsure whether your activity requires a state license, call or email the relevant board from the DPOR directory, or the VDH district office via the VDH site. If you cannot reach someone, contact the Virginia SBDC network for guidance: Virginia SBDC (SBA-funded).

6) Apply for your Virginia Beach business license

  • Once zoning is cleared and your state registrations are in motion, apply for a local business license with the City of Virginia Beach. You will declare your expected gross receipts and classification.
  • Fees and rates are set by the city’s ordinance in Chapter 34 (Taxation). Confirm current local deadlines and rates: Virginia Beach Code of Ordinances — Chapter 34.

Typical documents the city may ask for:

  • Entity documentation (SCC filing number), or owner’s ID for sole proprietors.
  • Trade name (DBA) certificate if using an assumed name: see SCC — Fictitious Names.
  • Lease or proof of location for commercial premises; for home-based businesses, acknowledgment of home occupation rules.
  • State account numbers (e.g., sales tax, VEC UI) if applicable; if pending, include proof of application.
  • For industry-licensed businesses (contractors, salons, restaurants, ABC), your state license or health permit details.

What to do if this doesn’t work:

  • If your classification is unclear or you disagree with the city’s classification (which affects your rate), request a written determination and cite Code of Virginia § 58.1-3703.1(A)(1) (administrative appeals). You can appeal classifications and assessments under the administrative process provided by state law.

7) Pay the correct fee/tax and calendar your renewal

  • Under Virginia law, small businesses under $100,000 in gross receipts may owe only a license fee (capped at $50 for $50,001–$100,000, and $30 for $10,001–$50,000, with $0 under $10,000), but the city sets the exact amounts and due dates. Source: § 58.1-3703(C).
  • Over $100,000 in gross receipts, you owe the per-$100 BPOL tax at your classification rate as adopted by the city (up to the caps in § 58.1-3706).
  • Most Virginia localities require annual renewal and payment early in the calendar year. Check Virginia Beach’s exact deadline (commonly around early spring) in the local code or the Commissioner’s page (via the City directory).

What to do if this doesn’t work:

  • If cash flow is tight, ask the Treasurer’s Office about payment options, if any, and make partial payments if they accept them to reduce penalties. If your receipts are below $100,000, make sure you were charged only the license fee and not the per-$100 license tax.

BPOL rate caps in Virginia, and how to estimate your Virginia Beach cost

Virginia law caps local BPOL rates by business classification. The City of Virginia Beach sets actual rates by ordinance (often at or near these caps, but verify in the city code). Use this table to estimate an upper bound on your tax if your gross receipts exceed $100,000.

Table A: Virginia BPOL classification rate caps (per $100 of gross receipts)

Classification (Virginia Code) Maximum rate per $100 of gross receipts Legal source
Retail merchants $0.20 per $100 Va. Code § 58.1-3706(A)(2)
Professional services (e.g., legal, medical, accounting, etc.) $0.58 per $100 Va. Code § 58.1-3706(A)(1)
Repair, personal, business, and other services (not professional) $0.36 per $100 Va. Code § 58.1-3706(A)(1)
Contractors $0.16 per $100 Va. Code § 58.1-3706(A)(3)
Wholesale merchants (if taxed on gross receipts) $0.05 per $100 Va. Code § 58.1-3706(A)(2)

For businesses with gross receipts at or under $100,000, only a flat license fee (not the per-$100 tax) may be charged, with the fee caps in Table B below.

Table B: Statewide caps on license fees for small businesses (localities set the exact fee amounts within these caps)

Gross receipts in prior year Maximum license fee allowed by state law Legal source
$0 to $10,000 $0 Va. Code § 58.1-3703(C)
$10,001 to $50,000 $30 Va. Code § 58.1-3703(C)
$50,001 to $100,000 $50 Va. Code § 58.1-3703(C)

Example estimates (upper-bound using state caps):

  • Coffee shop (retail) with $650,000 gross receipts: at the retail cap of $0.20 per $100, tax estimate = $1,300.
  • CPA firm (professional) with $400,000 gross receipts: at the professional cap of $0.58 per $100, tax estimate = $2,320.
  • Mobile pet grooming (service) with $135,000 gross receipts: at the services cap of $0.36 per $100, tax estimate = $486.

Important: These are maximums allowed by state law; Virginia Beach sets actual rates and may have adjustments or thresholds, so confirm in the city ordinance: Virginia Beach Code — Chapter 34.

What to do if this doesn’t work:

  • If your classification is borderline (e.g., are you “professional” or “business service”?), ask for a written classification determination from the Commissioner’s Office and cite § 58.1-3703.1. Misclassification can cost you real money.

Sales tax, meals tax, lodging tax, and other local filings

  • Sales tax: Virginia Beach is in the Hampton Roads region; the total state/local sales and use tax rate is 6.0% (state 4.3% + local 1.0% + regional 0.7%). Source: Virginia Tax — Sales and Use Tax.
  • Meals and lodging: Virginia cities commonly impose local meals and transient occupancy (lodging) taxes separate from the state sales tax. Rates and filing portals are set by the city. To confirm Virginia Beach’s current rates, look in the City code:
    • Meals: search the code for “meals tax” or “food and beverage tax.”
    • Lodging: search for “transient occupancy tax.”

    Official source for local law: Virginia Beach Code of Ordinances — Chapter 34 Taxation.

What to do if this doesn’t work:

  • If you can’t find the current local meals/lodging tax rates, call 311 within the city, or use the City directory to reach the Commissioner of the Revenue or Treasurer for the latest rate sheets: Virginia Beach City Departments Directory. File on time; local penalties add up quickly.

Local permits and approvals most businesses run into

Use this as a checklist. Start with the items on the left; they are the typical blockers.

Table C: Common local permits/approvals in Virginia Beach

Permit/approval Who needs it Where to confirm/apply Typical timing
Zoning use approval Anyone opening a physical location or operating from home Virginia Beach Zoning Ordinance (official) Allow time for questions; conditional uses take longer
Certificate of Occupancy (CO) / Tenant Fit-Out permits New tenants, build-outs, change of use City Permits & Inspections via Departments Directory Depends on scope; simple COs can be days, build-outs weeks+
Fire inspection Assembly, cooking, hazardous materials, certain occupancy loads Virginia Beach Fire Department (Fire Marshal) via Departments Directory Varies; schedule early
Health permit Restaurants, food trucks, caterers, food manufacturers VDH — Food Safety and Permitting Pre-opening plan review + inspection
Sign permit Exterior signs City Permits & Inspections via Departments Directory Usually days to weeks
ABC license Beer/wine/spirits retail/service Virginia ABC — Licensing Weeks; plan ahead

What to do if this doesn’t work:

  • If one permit is delaying everything (e.g., fire clearance), ask the permitting office whether you can obtain a temporary CO or limited operation authorization while you finish improvements. If denied, pivot to a soft opening without food/alcohol or use a commissary for food prep to begin operations legally.

Required documents: a short master list

Before you start the city license application, gather these:

What to do if this doesn’t work:

  • If you’re waiting on an SCC filing or a VDH plan review, ask the City whether you can submit your license application with “pending” noted and supply the approval when issued. Keep email proof.

Timelines: realistic expectations from “idea” to “open”

Every business is different, but here is a conservative approach:

Table D: Typical licensing/permit timeline milestones

Milestone Notes
Day 0–3: Confirm zoning/use and any special permits Use the Zoning Ordinance and call Planning early.
Day 1–7: Form your entity / file DBA SCC CIS usually processes online LLC filings quickly.
Day 3–10: Register for state tax accounts Virginia Tax registration is online; keep confirmation.
Day 7–30+: Apply for health/ABC permits if needed Food and alcohol permits take plan review and inspections.
Day 7–21: Apply for local business license If classification is clear and documents are ready, approval is faster.
Build-out/sign permits: variable Coordinate inspections to avoid rework delays.

What to do if this doesn’t work:

  • If any one step runs long, work on parallel tasks (e.g., hire staff and set up payroll/insurance while waiting on build-out). For a home business, you can often move faster because you avoid CO/tenant improvements.

Real-world examples (Virginia Beach)

  • Retail boutique at Lynnhaven with $250,000 receipts: You register with Virginia Tax for sales tax; get a local business license as a retail merchant; pay BPOL based on the retail rate for amounts above $100,000. Confirm signage and CO. Sales tax total collected from customers is 6.0% in Virginia Beach. Source: Virginia Tax — Sales and Use Tax.
  • Class B contractor based in Town Center doing $500,000 in annual jobs: Get the DPOR Class B license (financial statement, pre-license education/exam). Obtain a Virginia Beach business license under contractor classification; verify workers’ comp for two or more employees. Confirm whether a jobsite-specific permit is needed for each project through City Permits & Inspections. Sources: DPOR — Contractors, WCC — Employers.
  • Home-based tax preparer in Kempsville making $45,000 in fees: Likely a professional services classification, but under $100,000, you pay only the license fee (city sets the exact fee up to $30 at this bracket). Follow home occupation rules (limits on client visits, signage). Sources: Va. Code § 58.1-3703(C), Zoning Ordinance — Home Occupations.

What to do if this doesn’t work:

  • If you receive a higher classification than expected, file an administrative appeal under § 58.1-3703.1 with supporting documentation (engagement letters, service descriptions, customer receipts location).

How to calculate your likely BPOL bill (with math you can reuse)

Use this two-step method:

  • Find your gross receipts for the prior year.
  • Determine whether you’re under or over $100,000. If under, the city may charge a flat fee up to the caps (Table B). If over, multiply receipts by your class rate per $100 (Table A shows caps).

Table E: Sample calculations (using statewide caps for illustration; verify city rates)

Business Gross receipts Classification Math Estimated tax
Clothing store $650,000 Retail 650,000 / 100 x 0.20 $1,300
Landscaping $180,000 Services (non-professional) 180,000 / 100 x 0.36 $648
Electrical contractor $1,200,000 Contractor 1,200,000 / 100 x 0.16 $1,920
Solo CPA $90,000 Professional Under 100k bracket License fee only (city-set, up to $30–$50 range)

Again, Virginia Beach’s rates are set in its ordinance. Confirm before paying: Virginia Beach Code — Chapter 34.

What to do if this doesn’t work:

  • If your receipts are seasonal or multi-jurisdictional, check situs rules in § 58.1-3703.1(A)(3). You may not owe BPOL to Virginia Beach on receipts taxable in other localities.

Industry-specific notes for Virginia Beach

Start with your highest-risk approvals first (food, construction, personal services).

Restaurants, food trucks, and caterers

What to do if this doesn’t work:

  • If your kitchen build-out or plan review is delayed, consider a commissary or shared kitchen with existing health permits to start small while you finish your space.

Contractors and trades

  • DPOR license class depends on job size/annual volume (Class A/B/C). Source: DPOR — Contractors.
  • Obtain a Virginia Beach business license under contractor classification; verify each job’s permit requirements with City Permits & Inspections.
  • Workers’ comp coverage if you have two or more employees is mandatory. Source: WCC — Employers.

What to do if this doesn’t work:

  • If you’re waiting on DPOR approval, subcontract under a licensed GC while your license is pending (follow legal rules; you still must be properly licensed for the work performed).

Barbering, cosmetology, nail, esthetics

  • Shop license and practitioner licenses required by DPOR. Source: DPOR — Board for Barbers and Cosmetology.
  • Zoning for salon use and a CO for your space. Local business license under services/professional classification depending on local rules.

What to do if this doesn’t work:

  • Lease a suite in a licensed salon/suite facility while your shop build-out completes.

Retail and e-commerce

  • Sales tax registration and collection at 6.0% combined rate in Virginia Beach. Source: Virginia Tax — Sales and Use Tax.
  • Local business license under retail classification; signage and CO for stores.

What to do if this doesn’t work:

  • If retail space is delayed, sell online or at markets with proper sales tax registration while you wait.

Professional services (legal, accounting, medical, consulting)

  • Potentially higher BPOL rate cap category (professional) under state law; confirm local classification in the city code.
  • Employer obligations if you hire admin staff (withholding, UI, workers’ comp at two or more employees).

What to do if this doesn’t work:

  • If rent is high or zoning restrictive, start as a home occupation under zoning rules and move later to a commercial suite.

Ongoing compliance in Virginia Beach and Virginia

Don’t lose track once you’re open. Calendar these.

  • Annual local business license renewal and BPOL filing by the city’s deadline (check Chapter 34 for the exact date).
  • Sales tax filings (monthly/quarterly/annual per assignment). Keep returns current: Virginia Tax — Sales and Use Tax.
  • Employer taxes (withholding and UI) and workers’ comp audits. See VEC — Employers and WCC — Employers.
  • Local meals/lodging tax returns if applicable (verify rate and due dates in the city code).
  • Business tangible personal property (BPP) tax filings may apply for equipment/fixtures; confirm rules and due dates in the city tax code: Virginia Beach Code — Chapter 34 Taxation.

What to do if this doesn’t work:

  • If you miss a filing, file as soon as possible; interest and penalties generally accrue daily/monthly. Ask the City and Virginia Tax about penalty waiver policies for reasonable cause.

Common mistakes to avoid

  • Skipping zoning review and discovering your use is not allowed (or needs a Conditional Use Permit) after you’ve signed a lease.
  • Assuming “online only” or “home-based” means no local license. If you are “engaging in business” in Virginia Beach, you still register.
  • Misclassifying your business, which can push you into a higher BPOL rate. Ask for a written classification decision if unclear.
  • Forgetting that under $100,000 in receipts, you owe only the license fee (not the per-$100 tax). Verify your bill matches the law in § 58.1-3703(C).
  • Not registering for sales tax when you sell taxable items. Virginia Beach’s combined rate is 6.0%. Source: Virginia Tax.
  • Hiring staff without workers’ comp when you reach two or more employees. Source: WCC — Employers.
  • Missing the city’s renewal deadline and racking up penalties. Calendar your due dates.

What to do if this doesn’t work:

  • If you’ve already made one of these mistakes, correct it, document why it happened, and ask the relevant office about reasonable cause penalty relief once you’re compliant.

Inclusivity, diversity, and accessibility: Virginia-specific resources

Certification and supplier diversity can open doors in state/local procurement and corporate supply chains. Many programs are open to Virginia Beach businesses.

  • SWaM and Micro Business Certification (Virginia): Women-owned, Minority-owned, Service-Disabled Veteran-owned, and Micro (small) businesses can certify through Virginia’s Department of Small Business & Supplier Diversity (SBSD). Benefits include visibility in state procurement (eVA) and set-aside opportunities. Learn more and apply: SBSD — SWaM & Micro Business Certification.
  • eVA Vendor Registration (Virginia’s procurement portal): Register to sell to the Commonwealth and agencies (including colleges and some localities). eVA — Vendor Registration.
  • Federal SBA certifications: Women-Owned Small Business (WOSB/EDWOSB), 8(a) for socially/economically disadvantaged businesses, HUBZone, Service-Disabled Veteran-Owned Small Business (SDVOSB). Start here: SBA — Federal Contracting Certifications.
  • Veteran-owned businesses: The Commonwealth also recognizes V3 (Virginia Values Veterans) employers; for starting and growing, connect with the Veterans Business Outreach Center covering Virginia: SBA — Veterans Business Outreach Centers.
  • Disability-owned businesses: Consider Disability:IN’s DOBE ecosystem (well-established, corporate-recognized), and check SBSD SWaM if you meet small business standards. Start with SBSD: SBSD Certification Overview.
  • LGBTQ+-owned businesses: National LGBT Chamber of Commerce (NGLCC) certification is widely recognized in corporate supplier programs. For public sector in Virginia, SWaM certification is still the main state vehicle. SWaM info: SBSD — SWaM Certification.
  • Immigrant-owned businesses and language access: Many Virginia agencies offer translation/interpretation. For health permits and food safety, VDH provides multilingual resources. See VDH — Language Access. For business counseling in multiple languages, ask the SBDC network for a bilingual advisor: Virginia SBDC — Find a Center.

What to do if this doesn’t work:

  • If you’re unsure which certification fits, start with SWaM (fastest impact in state purchasing), and add federal SBA certifications as your government contracting strategy matures.

Fast reference: key state and local agencies you’ll use

Table F: Who does what (with official links)

Topic Primary agency Official link
Entity registration, DBA Virginia SCC SCC — CIS portal / SCC — Fictitious Names
Sales tax and business taxes Virginia Department of Taxation Virginia Tax — Register a Business / Sales & Use Tax
Unemployment Insurance Virginia Employment Commission VEC — Employers
Workers’ Compensation Virginia Workers’ Compensation Commission WCC — Employers
Contractor licensing DPOR Board for Contractors DPOR — Contractors
Food permits Virginia Department of Health VDH — Food Safety
Alcohol licenses Virginia ABC Authority Virginia ABC — Licensing
Virginia Beach local tax & license ordinance City of Virginia Beach (official code library) VB Code — Chapter 34 Taxation
Zoning City of Virginia Beach (official code library) VB Zoning Ordinance
City departments City of Virginia Beach Virginia Beach City Departments Directory

What to do if this doesn’t work:

  • If a link changes or a portal is down, search the agency’s root domain (e.g., scc.virginia.gov, tax.virginia.gov) for the program name, or call the agency’s main number (SCC: (804) 371-9733, (866) 722-2551).

FAQs: Virginia Beach business license and related rules

  • Do I need a Virginia Beach business license if I’m just consulting from home?
    • Likely yes. If you are “engaging in business” within the City, you must obtain a local license. Under $100,000 in receipts, the city may assess only the license fee (up to $30 or $50 depending on receipts), not the per-$100 tax. Sources: Va. Code § 58.1-3703(C), VB Code — Chapter 34.
  • What is the sales tax rate in Virginia Beach?
  • When is my local business license due?
    • The due date and renewal cycle are set by city ordinance. Check the current deadline in VB Code — Chapter 34 and any forms posted by the Commissioner of the Revenue (via the City directory).
  • I’m under $100,000 in receipts. Do I still pay BPOL?
    • You may owe only the flat license fee (localities may charge up to $30 for $10,001–$50,000 and up to $50 for $50,001–$100,000; no fee for $0–$10,000), per § 58.1-3703(C). The city sets the actual fee amounts within those caps.
  • I sell online only. Do I need a license?
    • If you are operating from Virginia Beach (home office or warehouse), yes, you typically need a local license. If you have no physical presence in the City, situs rules determine where receipts are taxed. Source: § 58.1-3703.1(A)(3).
  • How are professional services taxed vs. retail?
    • Under state law, rate caps differ: professional services up to $0.58 per $100, retail up to $0.20 per $100. The City sets actual rates by ordinance. Source: § 58.1-3706, VB Code — Chapter 34.
  • Are there exemptions?
    • Certain nonprofits and specific activities may be exempt or treated differently under state/local law. See exemptions in § 58.1-3703(C) and the local ordinance.
  • Do I need workers’ comp in Virginia?
    • Yes, if you have two or more employees (including part-time). Source: WCC — Employers.
  • I’m a contractor from outside Virginia Beach doing a job in the city. What do I owe?
    • Contractors are a separate BPOL class; situs rules and thresholds apply. You may owe a Virginia Beach business license and BPOL on receipts attributable to jobs in the City. Start with § 58.1-3706(A)(3) and the City ordinance. For permits, check City Permits & Inspections via the department directory.
  • Where do I find the City’s official rates and deadlines?

What to do if this doesn’t work:

  • For disputes, use the administrative appeal path in § 58.1-3703.1 and request a written response from the City. Keep records.

Reality checks, tips, and plan B options

  • Budget for local taxes based on gross receipts, not net profit. A “good problem to have” is bigger BPOL, but it still hits cash flow.
  • Keep clean records of where your receipts come from. Situs rules can reduce double-taxing across localities.
  • Don’t sign a lease until zoning confirms your use and build-out requirements.
  • If you’re under $100,000, confirm you were charged only the fee, not the per-$100 tax. Cite § 58.1-3703(C) if needed.
  • Use certifications (SWaM, WOSB, etc.) to open new markets; they don’t replace local licensing but can boost revenue.

What to do if this doesn’t work:

  • If you hit repeated roadblocks, book free counseling with the Virginia SBDC: Virginia SBDC — Locations. They can help you sequence permits and talk to agencies.

“What to do if this doesn’t work” — a quick index

  • Zoning says “no”: Search for alternative districts, apply for Conditional Use, or choose a compliant location; consider home-based if allowed.
  • SCC filing delayed: Use CIS support, file a temporary DBA if needed for banking and invoices.
  • VDH or ABC backlog: Soft-open without food/alcohol (if lawful), or partner with a commissary/host venue.
  • BPOL classification dispute: Request a written determination; appeal under § 58.1-3703.1.
  • Cash flow crunch at renewal: Ask the Treasurer about payment options; file on time to reduce penalties even if you can’t pay in full.

About This Guide


Disclaimer

Laws, rates, deadlines, forms, and processes change. While this guide cites current law and official pages as of August 2025, always verify the latest details with the City of Virginia Beach and the Commonwealth of Virginia before you act. This content is for general information and is not legal, tax, or accounting advice. Consult a qualified Virginia professional for guidance specific to your situation.