//Berkeley, California

How to start a business in Berkeley.

Berkeley pairs a world-famous university with a fiercely independent local economy and a celebrated food scene. Here is the practical sequence to register, license, and open, with the official links and where to get free help.

Starting a business in Berkeley? The official steps and source links are below.

Already operating or launching with budget in place? You can also

Berkeley runs on the energy of UC Berkeley and a community that prizes independent, values-driven businesses. From the shops and cafes of Telegraph Avenue and the Fourth Street district to the city's renowned restaurants and the Berkeley Marina, this is a market that supports businesses with a clear identity and rewards the ones that earn local trust.

One important quirk: while most East Bay cities use Alameda County for food permits, Berkeley runs its own food program through the city. Getting that and your license right is the first step. Getting found by customers is the second. This guide covers the first in detail, then points you to the second at the end.

//The sequence

How to start a business in Berkeley, step by step.

This is the order that works for most new Berkeley businesses. Requirements vary by entity, location and industry, so use the city, county and state sources below to confirm what applies to yours.

1
Register the business and the name
Form an LLC or corporation with the California Secretary of State through bizfile Online, or stay a sole proprietor. If you use a name that is not your legal name, file a fictitious business name (DBA) statement with the Alameda County Clerk-Recorder within 40 days of starting business, in person with ID or by mail. It costs $40 for one name and one owner, plus $7 for each additional owner or name. Publish it starting within 45 days of filing, once a week for four weeks.
CA Secretary of State: bizfile Online Alameda County Clerk-Recorder: Fictitious Business Name
2
Get your free EIN and any seller's permit
The IRS says you generally need an EIN to hire employees or to operate a partnership or corporation. It issues the number online, immediately if approved, and never charges for it. If you sell or lease goods that would ordinarily be subject to sales tax, you also need a seller's permit from the CDTFA, which does not charge for it but may ask for a security deposit.
IRS: Get an EIN CDTFA: Seller's permit
3
Get zoning approval first
Before the license is issued, you pay the taxes and fees and get the approvals your business needs, including a Zoning Certificate for a business with a Berkeley address (register for an account to apply online) or a Home Occupation permit if you work from home. Depending on the business and location, review takes a few days to several weeks. Zoning questions: zoningcounter@berkeleyca.gov.
City of Berkeley: New Business Licenses
4
Get your Berkeley business license
All businesses located in or doing work in Berkeley need a business license and pay business license taxes, with a license for each location. That includes home-based businesses, contractors applying for building permits, street artists and vendors, and owners of commercial and some residential rental property; family daycare homes do not need one. The license is a revenue tax, not a regulatory permit, and does not count as zoning, building, fire, health or toxics approval. Every license expires December 31 and the city mails renewal information each December. Renew and pay before March 1: a 10% penalty applies March 1 and another 40% April 1, each with 1% monthly interest. Questions: (510) 981-7200, buslic@berkeleyca.gov.
City of Berkeley: Business Licenses City of Berkeley: Renewals, Changes and Closures
5
Pull any industry permits
If you sell or serve food: Berkeley runs its own food program: the city's Environmental Health Division permits and inspects school kitchens, food businesses, mobile food vendors and temporary event booths in Berkeley, and state law requires plans approved before you build or remodel: (510) 981-5310. For other permits, GO-Biz offers permitting and regulatory help for any size company.
City of Berkeley: Food Safety and Inspection Program Health and Safety Code 114380 GO-Biz: Permit & Regulatory Assistance
6
Report business equipment to the Assessor
If your business property cost $100,000 or more in total, or the Alameda County Assessor asks in writing, file a business property statement for each location by April 1. A statement received after May 7 gets a 10% penalty. Business Personal Property: (510) 272-3836.
Alameda County Assessor: Business Personal Property
7
Check the $800 California tax rules for your entity
Every California LLC owes the $800 annual tax, even in a year it does no business, until it is cancelled. Corporations owe an $800 minimum franchise tax, but newly incorporated or qualified corporations do not pay it in their first taxable year.
Franchise Tax Board: LLC $800 annual tax Franchise Tax Board: Corporation minimum tax
8
Use the free help that already exists
The East Bay SBDC, part of the Norcal SBDC network, offers no-fee business advising at 25800 Carlos Bee Boulevard, Hayward: (510) 885-4801. Use it before you pay a consultant.
Norcal SBDC: Find Your SBDC (free advising)

//Free Berkeley checklist

Take the steps with you.

Get the Berkeley business checklist with the city, county, state and federal source links in one place, plus the licensing offices of five Bay Area cities. We keep the source page dated so you can see when it was last checked.

//Common questions

Things we get asked first.

Do I need a business license in Berkeley?

Yes. All businesses located in or doing work in Berkeley need a business license and pay business license taxes, with a license for each location. That includes home-based businesses and contractors applying for building permits; family daycare homes do not need one. The license is a revenue tax, not a regulatory permit.

Source: City of Berkeley, Business Licenses

When does a Berkeley business license expire?

Every December 31. Renew and pay before March 1: a 10% penalty applies on March 1 and another 40% on April 1, each accruing 1% monthly interest. The city mails renewal information every December, but renewing on time is your responsibility even if it does not arrive.

Source: City of Berkeley, Business License Renewals, Changes and Closures

What approvals do I need before the license is issued?

Pay the taxes and fees and get the approvals your business needs, including a Zoning Certificate for a business with a Berkeley address or a Home Occupation permit if you work from home. Depending on the business and location, review takes a few days to several weeks; check the status at (510) 981-7200.

Source: City of Berkeley, New Business Licenses

How do I open a restaurant in Berkeley?

Beyond the Berkeley business license, you need a permit from the City of Berkeley, not the county: its Environmental Health Division permits and inspects school kitchens, food businesses, mobile food vendors and temporary event booths in Berkeley, and state law requires plans approved before you build or remodel. (510) 981-5310.

Source: City of Berkeley, Food Safety and Inspection Program

Where do I file a DBA for a Berkeley business?

Even though Berkeley runs its own food program, business names still go through the county: file with the Alameda County Clerk-Recorder, 1106 Madison Street, Oakland, by mail or in person with valid government ID. It costs $40 for one name and one owner, plus $7 for each additional owner or name on the same statement.

Source: Alameda County Clerk-Recorder, Fictitious Business Name Filing

Where can I get free help starting my business?

The East Bay SBDC, part of the Norcal SBDC network, offers no-fee business advising at 25800 Carlos Bee Boulevard, Hayward: (510) 885-4801. Use it before you pay a consultant.

Source: Norcal SBDC, Find Your SBDC

//Already operating?

The marketing question starts after the filing question.

If the business is already open, or the launch is funded, tell our founders what you want to change. We will look at the business before recommending SEO, paid media, the website or anything else.

For operating businesses and funded launches with budget available to act on the plan.

//Bookmark these

Official Berkeley, Alameda County, and California resources.

Every link here goes straight to a government or nonprofit source. These are the agencies that actually issue your registrations and permits, so go to them directly rather than a paid middleman.

City of Berkeley: Business Licenses
Every business located in or doing work in Berkeley needs a license for each location. It is a revenue tax, not a permit. (510) 981-7200.
City of Berkeley: New Business Licenses
Taxes, fees and approvals come first, including a Zoning Certificate or Home Occupation permit; review takes a few days to several weeks.
City of Berkeley: Renewals, Changes and Closures
Every license expires December 31. Pay before March 1: 10% penalty March 1, another 40% April 1.
City of Berkeley: Food Safety and Inspection Program
Berkeley permits and inspects its own food facilities, separate from Alameda County. (510) 981-5310.
Alameda County Clerk-Recorder: Fictitious Business Name
$40 for one name and one owner, plus $7 each extra. In person with ID or by mail, 1106 Madison Street, Oakland.
Alameda County Assessor: Business Personal Property
File if your business property cost $100,000 or more or the Assessor asks: due April 1, 10% penalty after May 7. (510) 272-3836.
Norcal SBDC: Find Your SBDC (free advising)
No-fee advising through the San Francisco, Silicon Valley and East Bay centers, with each center's address and phone.
CA Secretary of State: bizfile Online
Where LLCs and corporations file with the California Secretary of State.
IRS: Get an EIN
Your federal tax ID. Apply online and, if approved, the number is issued immediately. The IRS never charges a fee for an EIN.
CDTFA: Seller's permit
Required if you sell or lease goods that would ordinarily be subject to sales tax. The CDTFA does not charge for it, though it may ask for a security deposit.
Franchise Tax Board: LLC $800 annual tax
Every LLC doing business or organized in California owes the $800 annual tax, even in a year it does no business, until the LLC is cancelled.
Franchise Tax Board: Corporation minimum tax
Corporations owe an $800 minimum franchise tax, but newly incorporated or qualified corporations do not pay it in their first taxable year.
GO-Biz: Permit & Regulatory Assistance
The Governor's Office of Business and Economic Development says it will assist any size company with permitting and regulatory questions.