//Santa Monica, California

How to start a business in Santa Monica.

Santa Monica packs a beach-town tourism economy, a dense retail core, and a serious tech scene into 8.4 square miles. Here is the practical sequence to register, license, and open, with the official links and where to get free help.

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

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

Santa Monica is a concentrated Westside market. The beach and the Santa Monica Pier pull millions of visitors a year, the Third Street Promenade and Santa Monica Place anchor a walkable retail and dining core, and the stretch of coast that earned the "Silicon Beach" name put a wave of tech and startup offices in and around the city. Montana Avenue and Main Street each run as their own boutique shopping districts, and an affluent coastal population spends locally year round.

That mix means your customer could be a tourist off the pier, a Promenade shopper, a Montana Avenue regular, or a founder at a Silicon Beach startup, and each finds you differently. Getting open cleanly, with the right license and permits, is the first step. Getting found afterward 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 Santa Monica, step by step.

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

1
Confirm your location works before you sign
Check with Santa Monica's Planning Division that your business's use is permitted in the zone before you sign a lease. A P.O. box or private mailbox can be the mailing address on your license, but it does not count as a business location.
City of Santa Monica: Business License and Regulatory Permits City of Santa Monica: Starting a Business
2
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 Los Angeles County Registrar-Recorder/County Clerk within 40 days of starting business. It costs $26 for one name and one registrant, and you can file online, by mail or in person. The county says publication must begin within 30 days of filing, once a week for four consecutive weeks in an adjudicated Los Angeles County newspaper, which is stricter than the 45 days in state law.
CA Secretary of State: bizfile Online LA County Registrar-Recorder/County Clerk: Fictitious Business Names
3
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
4
Get your Santa Monica business license
Any person or entity who conducts business in, or whose business is based in, Santa Monica must get a Santa Monica business license, taxable or not. It is an annual regulatory permit, issued once the business meets local, state and federal requirements and pays the annual gross receipts tax, fees and assessments. With a few exceptions, the tax is $75 plus a percentage of Santa Monica gross receipts over $60,000 for the calendar year, at the rate for your classification, plus the $4 state CASp fee. Call (310) 458-8745 for an application, or apply online, and renew online each year.
City of Santa Monica: Business License and Regulatory Permits City of Santa Monica: Starting a Business
5
Pull any industry permits
If you sell or serve food: Every food facility needs a health permit before it opens, and Los Angeles County Environmental Health issues it everywhere except Long Beach, Pasadena and Vernon. A new or remodeled kitchen needs its plans approved by the county's Plan Check Program, (626) 430-5560, and then by local building and safety, before construction. The permit is issued after the final inspection and the permit fee. For other permits, GO-Biz offers permitting and regulatory help for any size company.
LA County Environmental Health: Restaurant Permit GO-Biz: Permit & Regulatory Assistance
6
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
7
Use the free help that already exists
The LA Regional SBDC Network offers no-cost, confidential business advising and low-cost training across Los Angeles, Santa Barbara and Ventura counties. Use it before you pay a consultant.
LA Regional SBDC Network (free advising)

//Free Santa Monica checklist

Take the steps with you.

Get the Santa Monica business checklist with the city, county, state and federal source links in one place, plus the licensing offices of seven Los Angeles County 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 Santa Monica?

Yes. Any person or entity who conducts business in, or whose business is based in, Santa Monica must obtain a Santa Monica business license. Conducting business without one can result in penalties, notices of violation, citation and possible criminal prosecution.

Source: City of Santa Monica, Business License and Regulatory Permits

How much does a Santa Monica business license cost?

With only a few exceptions, the business license tax is $75 plus a percentage of your Santa Monica gross receipts over $60,000 for the calendar year, at the rate for your business classification. The $4 state CASp fee is added each year, and other fees may apply.

Source: City of Santa Monica, Business License and Regulatory Permits

When are Santa Monica renewals due?

Renew online each year. For this year's renewals, the city says penalties apply from September 1, 2026.

Source: City of Santa Monica, Business License and Regulatory Permits

Can a P.O. box be my business address?

It can be your mailing address of record, but a P.O. box or private mailbox does not count as a business location for licensing.

Source: City of Santa Monica, Business License and Regulatory Permits

How do I open a restaurant in Santa Monica?

Beyond the Santa Monica business license, every food facility needs a health permit from Los Angeles County Environmental Health. A new or remodeled kitchen needs its plans approved by the county's Plan Check Program, (626) 430-5560, and then by local building and safety before construction. After building and safety's final approval, the county does a final inspection, and the permit is issued once the fee is paid.

Source: LA County Environmental Health, How to Obtain a Restaurant Permit

How do I register a business name in Los Angeles County?

If you use a name that is not your legal name, file a fictitious business name (DBA) statement with the Los Angeles County Registrar-Recorder/County Clerk within 40 days of starting business. It costs $26 for one name and one registrant, and you can file online, by mail or in person. The county says publication must begin within 30 days of filing, once a week for four consecutive weeks in an adjudicated Los Angeles County newspaper, which is stricter than the 45 days in state law.

Source: LA County Registrar-Recorder/County Clerk, Fictitious Business Names

//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 Santa Monica, Los Angeles 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 Santa Monica: Business License and Regulatory Permits
Required of anyone doing business in or based in Santa Monica. Most pay $75 plus a percentage of Santa Monica gross receipts over $60,000.
City of Santa Monica: Starting a Business
The city's steps from zoning to opening. Call (310) 458-8745 for a business license application, or apply online.
County of Los Angeles: LA County Cities
The county's list of all 88 cities. Each one licenses the businesses inside it.
LA County Treasurer and Tax Collector: Business License
Licenses certain business activities in unincorporated areas and in Malibu, Santa Clarita and Westlake Village. (213) 974-2011.
LA County Planning
The planning department for every area outside a city, including zoning. (213) 974-6411.
LA County Registrar-Recorder/County Clerk: Fictitious Business Names
$26 for one name and one registrant, plus $5 for each additional. The county says publication must begin within 30 days of filing.
LA County Environmental Health: Restaurant Permit
Plan check for new or remodeled food facilities, then the Public Health Permit. Long Beach, Pasadena and Vernon have their own. Plan Check: (626) 430-5560.
LA County Assessor: Business Property Assessments
If your equipment and fixtures cost $100,000 or more, file the Business Property Statement by April 1. Inventory is exempt. (213) 974-3211.
LA Regional SBDC Network (free advising)
No-cost, confidential advising and low-cost training across Los Angeles, Santa Barbara and Ventura counties. 1-866-588-SBDC.
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.