Various types of businesses do not require licenses or permits. In fact, most sole proprietorships and independent contractor positions do not require licenses or permits unless they involve specific types of services. While these businesses may not require licenses or permits, it could be argued that optional licensing and permits may offer certain advantages.
Types of businesses that require little or no license in the USA
At least 7 types of businesses do not require numerous licenses and permits. These businesses are:
Freelance writer
Freelance writers are considered independent contractors. There are generally no licensing requirements for freelance writers, and most freelance writers report their income under their own social security numbers. Freelance writers who work through agencies and organizations file a w-9 with each company they work for.
Web designer
Web design is another type of business that has little to no licensing requirements. Many web designers work from home as independent contractors. They also usually file a w-9, if they work through an organization and report the earnings each year to the IRS. Some fabric designers do custom work, while other designers offer pre-made templates for sale.
Animal breeders for pets
While large operations require USDA licenses, most hobby breeders are exempt from such requirements if they have five or fewer breeding females. Also, breeders don’t have to focus on dogs, many hobby breeders breed sugar frogs, fish, gerbils, hamsters, and paragliders. On average, many breeders earn between $ 800 and $ 900. In some cases, dog breeders can earn up to $ 24,000.00 annually with just five breeding females, if they focus on rare or exotic dog breeds.
Handicrafts
Many business owners make a living selling vintage and handmade items at major craft sites. These stores are not expensive to run; artisans pay for the list. Popular stores can often be turned into full-time businesses without the need for a physical building or sales facility. Artisans often paint, sew, weave or cast zines at these sites and many customers are willing to pay large sums of money to purchase an original piece.
Used book dealer
Online marketplaces make it possible for everyone to get into the used book business. College students can happily resell textbooks, while diligent merchants can sell numerous titles to make ends meet. Online marketplaces offer distributors an unlimited number of potential customers looking for a good deal. Dealers who price their books reasonably can expect to supplement their income, and in some cases generate enough cash flow to leave their day jobs.
Independent entrepreneur / consultant
Many people have sought income-generating opportunities through popular sources like Avon and Mary Kay. For almost every product imaginable, there is a distributor that offers individuals the opportunity to make cash by selling to friends and colleagues. It takes a special talent to do it in this type of business, but the ear is low, and the products are already well established. Most of the products available are of good quality, which is a major selling point for consultants.
Application developer
There is a high demand for people capable of scripting and developing applications. Apps designed for use by iPhones and Android devices are sold like hotcakes. Talented software developers can gain a lot by developing a stable and useful application. Additionally, many individual owners develop multiple applications and expand their profits exponentially. Some application developers hire themselves to develop applications for different businesses. These application developers are often highly paid. The possibilities for application developers are almost endless.
Although there are many businesses that do not require licenses or permits, it can be advantageous for business owners to obtain permits before doing business. In some cases, certain deductions and credits can only be taken by duly licensed businesses. Business owners who are considering starting a business should always perform due diligence and ensure that the business will be operating in a manner that does not lead to any license or permit violations.