How to Start a Business in Florida In 5 Steps In (2024)

Do you have a promising idea for a business in Florida? Well, starting a business can be a hassle for many people.

The problem is most people don’t know where to begin and how to make their business ideas come to life.

On the bright side, Florida is entrepreneur-friendly, which means launching your business won’t be complicated. It’s one of the best states to start a small business.

Still, the process of starting a business can be overwhelming. Luckily, in today’s article, we’ll tell you everything you need to know about how to start a business in Florida.

Is It Easy to Start a Business in Florida?

Starting a business in Florida isn’t complicated. A report by WalletHub shows that Florida is the second-best state to start a business in the country.

Can You Open a Business in Florida as a Foreigner?

Yes! Anyone from anywhere in the world can start a business in Florida. There are no requirements that you must be a U.S. citizen or a Florida resident to launch a business in the Sunshine State.

However, the process might be a little different for individuals who live outside the United States.

Do You Need a License to Do Business in Florida?

The Sunshine State doesn’t require a state-wide license to do business. In most cities, you’ll need a basic business license, which is also known as a business tax registration.

However, it’s essential for businesses with occupations that require extensive training or expose citizens to potential hazards to have a state license.

Do You Need a Business License in Florida to Sell Online?

Yes. If you want to start an online business, you must obtain a seller’s permit from the state first. Don’t fret! Obtaining a seller’s permit is easy and simple.

Is Florida Small Business Friendly?

Florida is a perfect state to start a small business. In fact, many reports show the Sunshine State is the number one place to start a small business in the U.S.

What Is a Good Small Business to Start in Florida?

Florida is one of the best states to start a business, with its low taxes. It’s also the third most populated state in the U.S. It has around 21.79 million residents and a population density of approximately 400 people per square mile.

Further, the Sunshine State is a popular tourist destination. In 2022, the state welcomed 137.6 million visitors.

That’s what makes the state full of excellent business opportunities. If you don’t have a business idea in mind, there’s no need to worry!

Here are some examples of good small businesses to start in Florida:

1. Food Truck

Food trucks have been growing in popularity over the past few years. As a small business, food trucks can be rewarding. They require a much lower initial investment than a restaurant.

With food trucks being trendy, they can attract more customers. Not to mention how mobile they are, which allows you to move to busy locations whenever you want.

To start a successful food truck in Florida, you’ll need to come up with a good concept or theme for the business. Then, pick a unique name for the truck. People love puns in food truck names!

It’s essential to check out existing trucks in the location and what kind of food they serve.

After that, you’ll need to create a detailed business plan and research possible locations for your truck. A solid business plan is one of the most important things every small business needs.

Next, you can buy the truck and the necessary equipment. Don’t forget to obtain all the required food truck permits.

2. Real Estate

Starting a real estate business isn’t always the easiest. However, with the growing population of Florida, people are always in need of housing.

Before you hit the ground running, it’s essential to do your research on the real estate market in the area. With more knowledge about the market, you’ll be able to make the right decisions and close better deals. Then, you can develop your business plan.

To start a real estate business in Florida, you’ll need to form a Limited Liability Company (LLC). That can help protect business costs from interfering with your finances.

Registering an LLC in Florida typically costs $125, and the process is easy. You won’t have to hire an attorney to file the paperwork for you.

After that, you’ll need to plan your business marketing strategy. Real estate is all about reaching the right audience and closing good deals.

3. Microbrewery

Starting a microbrewery can be a profitable business in Florida. Before you start your microbrewery, you need to choose the license that best suits your business needs.

You can go for a CMBP license, which allows you to add a brewery to your premises. However, you’re not allowed to distribute the beverages or sell them off-site. The license is limited to 5,000 bbls or 10,000 kegs per year.

The other option is the CMB license. It allows you to produce an unlimited amount of beverages and distribute them to licensed vendors or wholesalers. Unfortunately, it’s more expensive than the CMBP.

To get a CMB or a CMBP license, you’ll have to file the Application for New Alcoholic Beverage License (DBPR Form ABT6001).

Further, it’s essential to check with the local land use department if you’re allowed to start a microbrewery on the property. You’ll also have to apply for a Florida brewer’s permit and manufacturer’s license.

4. Landscaping

Florida’s hot summer can be harsh on green spaces. Grass, shrubs, and trees typically struggle in hot weather. That’s why starting a landscaping business in the Sunshine State is a good idea.

A lawn care start-up cost is relatively low. You’ll need the typical landscaping tools, such as mowers, trimmers, edgers, and blowers.

You’ll also have to get a transport vehicle to move the equipment around. More importantly, you must obtain the proper license. You can register your landscaping business as an LLC.

The best thing about starting a landscaping business is that you don’t have to own a storefront. You can store the equipment in your garage and market your business online.

Some people prefer knocking on doors and handing out business cards, but digital marketing is much easier.

You can create a website and social media accounts for the business. Then, you can run targeted advertisements on different platforms, which can help you reach people in a certain area.

A landscaping business has big potential for expansion. It allows you to expand to other services like sod installation or tree trimming.

5. Senior Care or Services

Florida is beautiful, and that’s why many people consider it one of the best retirement states. People fly from all over the country to the Sunshine State for its retirement benefits and low taxes.

On top of that, around 27.3% of the Sunshine State residents are over 55 years old.

Starting a senior care service can be a good business idea. You can find a property to build a senior care center, or you can offer at-home aid. Either way, you’ll need to find a senior care business profitable.

To open a senior care business in Florida, you must apply for a Tax ID number, NPI number, Employer Number (EIN), and a license. You’ll also need a state tax pass from the Secretary of State’s office.

Some senior care services require an additional license. For example, to monitor the blood pressure of elderly people, you’ll need to obtain a waiver from the CLIA.

If the process seems overwhelming, you can always hire a home care consultant. A professional home care consultant can help you speed up the approval of your senior care license.

6. Cleaning

A cleaning service is a profitable, easy-to-start business. Since Florida is a popular tourist destination, you can specialize in cleaning hotels, motels, and Airbnbs.

You’d be surprised to know that Floridan Airbnb hosts welcomed more than 6.6 million guests and made around 12 billion dollars from renting their homes in 2019. As of 2023, the state has more than 483,000 hotel and motel rooms.

For these reasons, starting a cleaning business is a good idea. The best thing is that you don’t have to own a storefront or a location for the business. You can run it from your home.

Further, a cleaning business can be scaled indefinitely. There’s a huge potential for growth and expansion.

How Long Does It Take to Open a Business in Florida?

For mail LLC filings, it can take around three to four weeks to receive approval. For online filing, approvals take around five business days.

Typically, the entire process of starting a business can take around six months to one year. It can take time to make your business idea come to life.

It can depend on the type of business you want to open. Some businesses can require more than a year of preparation to launch, while you can launch some services in less than three months.

For example, a retail store usually takes a minimum of six months to open, while a clothing brand can take more than a year to launch.

Ideally, you want to be patient when opening a business. It’s essential to do your research thoroughly to make the right decisions.

How Much Does It Cost to Start a Business in Florida?

The cost to start a business in Florida varies based on many factors. It mainly depends on the nature of your business and its magnitude.

For example, starting a homemade craft business costs less than opening a restaurant.

Once you’ve established your initial capital, there are some crucial business expenses that you need to pay. That includes registering your business and obtaining the proper license.

How Much Does It Cost to Start an LLC in Florida?

On average, starting an LLC in Florida can cost anywhere between $400 to $3000. The cost might increase according to many factors, such as the industry, the size of the new business, and the tax structure.

To start an LLC in the Sunshine State, you need to file an article of organization with the Florida Department of State. You’ll need to pay a one-time fee of $100, plus a $25 registered agent fee.

Whether you hire an in-house or outside service, the $25 fee is mandatory.

To file for an LLC, you’ll need to provide the following information:

• A unique LLC name
• Principal place of business address
• Mailing address
• Company purpose
• The Florida registered agent’s name and address

To maintain the active status of your LLC, you must file an annual report for your business. You must file the yearly report online between January 1st and May 1st. The cost of the annual report is $138.75.

If you file your report after May 1st, you’ll be charged an extra $400 late fee. Here are other costs that you might need to pay:

• A business attorney: around $150 to $350 per hour
• Business tax receipt: $100 to $200
• Liability insurance: $20 to $50
• Florida filing fee: $100

How Much Does a Business License Cost in Florida?

There’s no general Florida business license that you’re required to obtain. However, your LLC might require an occupational license. You’ll also need to pay some fees before you register your business.

That includes the following:

• Business name registration fee: $35
• Articles of incorporation fee: $8
• Filing fee: $35
• Registered agent fee: $35

In some cases, a business tax receipt can be referred to as a general business license. The cost of the tax receipt in Florida varies by locality.

On average, it can cost anywhere between $20 to $200, depending on the type of business you want to start. You’ll need to renew the business license each year.

Do Small Businesses Pay Taxes in Florida?

Florida is a perfect place to start a small business for many reasons. For starters, small business regulations in the state are minimal.

More importantly, you’ll pay less in taxes than most states in the U.S.

The only businesses that are obligated to pay state income taxes are traditional corporations or C corporations. Only a small percentage of small businesses start out as C corp.

Most small businesses register as S corporations, partnerships, or LLCs. None of these businesses are required to pay state income taxes.

Other business entities are subject to the 5.5% standard corporate tax on federal taxable income. Generally, even for corporations, state taxes in Florida are low compared to most states.

How to Start a Business in Florida

Starting a business in Florida isn’t complicated. Florida is entrepreneur-friendly and is constantly implementing changes to make it easier for anyone to start a small business.

What Is the First Step in Starting a Business in Florida?

The first step is to find a business idea that you feel passionate about. Then, you’ll have to determine the business plan. Having a solid business plan is essential to the success of any small business.

A business plan includes an overview of what your company does. It also contains short-term and long-term goals, as well as the best business location options. You can check out some business plan examples to help you out with the process.

The next step is to choose your business name and the company structure. If this sounds like a hassle to you, you can consider buying the business instead.

How to Start a Business in Florida With No Money

Starting a business in Florida with no money isn’t easy. There are two ways you can start a business with no money: by getting a loan or by finding an investor.

Getting a loan to fund a Florida business is now easier than ever. With a good credit history, most banks can approve you for a loan.

You might even apply for a small business loan that requires zero credit and is more flexible when it comes to loan terms and rates.

You can also find an interested investor. Since Florida is the second-best state to start a business, you’ll find many willing investors.

Ideally, you need to have a solid business plan before you start looking for investors. You can go for professional angel investors, or ask your family and friends for investments.

If that doesn’t work for you, you can try crowdfunding platforms, such as IndieGoGo and Kickstarter.

How to Register a Business in Florida

Before registering your business, it’s essential to do thorough research. You need to be aware of all the due diligence you’ll need to start a business. This way, you won’t run into legal issues after launching your venture.

Registering a business in Florida is easier than you think. It takes around three to four weeks to register a business. For that reason, you should start the registration process as early as possible.

Keep in mind that you must register the business before you start operations. Here’s how to register a business in Florida:

1. Choose a Business Structure

The type of business structure you pick will determine how the registration process works. You want to pick the correct business entity that describes your business.

For example, if you own the business, but you don’t manage it, you might want to register it as a corporation. In case two or more people own and equally share the management of the business, you can go for a general partnership.

The entity defines your liability towards the business, the taxation rate, and the record-keeping of the business. Here are the types of business entities in Florida:

• LLC
• Corporation
• General partnership
• Limited partnership
• Sole proprietorship

2. Register Your Business With the Internal Revenue Service (IRS)

All businesses in Florida must have a Federal Employer Identification Number (EIN), even if the business isn’t eligible for taxes.

3. Register Your Business’s Name

Before you register a business name, you need to make sure that no one else in your state has a company with the same name. You can use the Florida Division of Corporation’s business name search tool to check.

As a business owner, you want to make sure that no one has the same online domain name. You can check by using any domain search tool.

Keep in mind that a state-level name isn’t required for informal business structures. That includes sole proprietorships and general partnerships.

4. Register Your Business

Now that you have a clear understanding of what your business is and all the needed forms, you’re ready to register the documents with the Department of State. Then, you’ll officially own a business!

We recommend doing thorough research to make sure you don’t need any special permits or licenses for your business.

You’ll also need to comply with local zoning codes. It’s best to review the rules and regulations of the Department of Transportation and the Department of Environmental Protection.

Frequently Asked Questions

Do you still have a question in mind? Here are some frequently asked questions regarding how to start a business in Florida:

Wrapping Up

Florida is an entrepreneur-friendly state. You’re not required to obtain a state-wide license to start a business.

Further, small business regulations are minimal, and most of the businesses aren’t required to pay state income taxes. That makes Florida one of the best states to start a small business.

Here’s how to start a business in Florida: First, you need to find a good business idea. Then, you’ll have to work on a business plan. After that, you can register the business.

Make sure to do your research and find out if you need any special permits or licenses for your business. Good luck!