Starting a successful mini golf business takes more than hitting a hole in one. Starting a new business requires completing several steps, and obtaining licensing is an important one as it may impact your ability to operate legally.

The question, “what business license do I need to start my mini golf business” is a common one, but in reality, your business will likely need multiple licenses, permits, and registrations from federal, state, and local agencies.

Let’s look at which licenses to consider when starting a mini golf business.

Related: Guide to starting a mini golf business

What Licenses Do You Need to Start a Mini Golf Business?

Local Licenses

While there aren’t licenses specifically for a putt-putt business at the federal or state level, many cities require licensing for mini golf.

Here are a few examples:

The City of Valley Park, Missouri, requires a miniature golf course to be registered with the police department and be of good moral character, in addition to paying a $350 annual licensing fee.

In Banning, California, a miniature golf course is required to submit a business tax certificate application, along with an $85 annual fee.

A Miniature Golf Business License Application is required in Shawnee, Kansas, for putt-putt businesses.

 

In addition to possibly needing a city license to operate a putt-putt course, there are also general licensing requirements for starting a business at the federal, state, and local level that may be needed.   Here are a few of the common licenses and permits that a mini golf business may need:

Liquor License

If your mini golf business will be selling alcohol, there are quite a few more regulatory requirements and registrations needed for the business. Every state requires obtaining a liquor license, and depending on where the business is located, a local license may be required as well.

Food Service License

A business that prepares food for sale will need to obtain a food service license. This licensing helps ensure businesses are following health and safety requirements and keeping the public safe. Registration is different by location and is typically through the local health department, though a state license may also be needed.

Licensing typically requires employees have a food handler certificate or food sanitation certification, in addition to the facility being randomly inspected.

Entity Formation

When starting a business, the legal entity needs to be selected. A legal entity refers to how a business is organized in order to operate. There are four main types of entities; sole proprietorship, partnership, corporation, and Limited Liability Company (LLC).

Each type of entity has its own pros and cons, such as liability protection, costs, and administrative requirements.

Related: What is the difference between a sole proprietorship, partnership, Corporation, or LLC?

Business Name Registration

While not necessarily a business license, it’s worth noting that to use a name for a business, many states require the registration of that name. Making matters more complicated, the process of name registration is different by state and the type of business entity.

For instance, sole proprietorships and partnerships generally need to register a business name (also referred to as a Doing Business As, DBA, fictitious name, or assumed name).

Learn: How to register a DBA

Corporations and LLCs register are a little easier because the name is registered when the entity is formed with the state.

General Business License or Permit

Depending on where the business is located, a general business license or permit may be required. A few states require a business license; however, they are more commonly found at the city level.

Learn more: Business license requirements by state

Federal Employer Identification Number

The Federal Employer Identification Number (also referred to as a FEIN, Employer Identification Number, EIN, or Federal Tax ID Number) is a unique nine-digit number that identifies a business with the Internal Revenue Service (IRS).

Any business with employees or those that form as a partnership, Corporation, and in many cases an LLC, the business will need to get an EIN.

Sole proprietors and single-owner LLCs without employees can instead use the owner’s social security number.

Learn: How to get an EIN 

Sales Tax Permit or Business Number

In order to sell products and/or offer certain services in some states, a state sales tax permit (also referred to as a business tax number or tax ID number) may be needed.  Many states require charging sales tax from places of amusement, of which a mini golf business is often categorized. Even in states that don’t tax rounds of golf, they often do for sales of drinks, snacks, or other retail items.

This permit creates an account number with the state’s Department of Revenue (or similarly named state taxing agency) to collect and remit sales tax.

Learn: State-by-state information on sales tax permits

Resale Certificate

When buying inventory that is resold to customers, the business can purchase these items tax-free. A resale certificate (sometimes referred to as a seller’s permit) allows a business to purchase inventory, and instead of paying the sales tax to their vendor, they charge the sales tax to the end-user of the product.

A resale certificate only allows a business to not pay sales tax for items being resold, and sales tax will still need to be paid for supplies or equipment.

Learn: How to get a resale certificate

Certificate of Occupancy

In most communities, a mini golf business will likely need to secure a Certificate of Occupancy (CO) before operating in a commercial building.  This certificate is typically obtained from the city and/or the county and allows a business to occupy and operate from a building. Before the certificate is issued, the building will need to comply with zoning regulations, building codes, and any other local requirements.

Before purchasing or leasing a location for your mini golf business, be sure to check with the local zoning department first to ensure the business can legally operate out of the chosen location.

 

The process of identifying all of the licenses and permits necessary to start a mini golf business may feel confusing and overwhelming. It is critical to do this right the first time, otherwise, your business may be shut down after opening until all licenses are obtained.

[xyz-ihs snippet=”Business-license-industry-page—bottom”

The post What Licenses Does A Mini Golf Business Need? appeared first on StartingYourBusiness.com.