BUSINESS LICENSING (NEW BUSINESSES)

The information below is intended to be general in nature and will not cover all situations and/or requirements. If your questions are not answered within these pages, please contact the Administrative Services Department at City Hall, 1000 Spring Street or call (805) 237-3999.

A business license is required for all business transacted in the City, unless specifically exempted by the Paso Robles Municipal Code. It is unlawful for any person to commence, transact, engage in or carry on any business in the city without first having procured a license from the City and complying with the other related or relevant laws of the City.

The Department of Administrative Services is responsible for providing service to the general public, business license applicants and each existing licensee. Our objective is to assist each business in obtaining the proper business license and/or permit and to ensure proper compliance to the business license code for all businesses transacting business within the City.

Application

It’s simple to obtain a Business License. If you are a New Business, either download the Business License Application, pick one up at City Hall, 1000 Spring Street, 2nd Floor, or obtain one by calling (805) 237-3999. If you are an existing business looking for renewal information, see the Existing Business Licenses page.

After you have filled out the application, you will need to bring it in to City Hall. At this time staff will determine whether you are in the Business Improvement Area,* which determines the fees you will need to pay and whether there are other permits or requirements.

*The Business Improvement Area (“BIA”) was established in 1972 by Ordinance 337 N.S. for the purpose of generating revenues to be used to promote those businesses located within the boundaries of the district, which is the downtown core area. A fifty-percent increase is assessed to the business license fee of each business within the area. Those businesses located within the boundaries of the BIA which are exempt from paying a business license fee are assessed a levy of $135.00 per year.

Fees

The license fee is based upon the type of business you are conducting and the permanent, physical location of that business. Licenses are issued for a one-year period beginning July 1 and expiring June 30 each year. The fees for new businesses are prorated according to the quarter in which the business opens.

Renewal statements are mailed approximately mid-June each year and are due by July 31st. If payment for your business license renewal is received or postmarked by the 10th of July, a 10% discount may be taken.

Types of Businesses

The categories most frequently used are listed below.

Service  (examples: Janitorial, bookkeeping, gardener, non-professional) If you are doing a service, with no retail or wholesale sales involved, and are permanently located in the City, the fee is $36.00 per year.

Sales  If you are doing sales, either retail or wholesale, the fee is based upon the estimate of a year’s gross receipts, with the minimum fee being $50.00 for $50,000 or less of gross sales. When you bring in your application, you will be asked to fill out the appropriate form depending upon whether you are in the Business Improvement Area (BIA)

No Fixed Place of Business/Physical Location of Business Not In City Limits  If you come into the City to do business, but do not have a permanent location within the City Limits, the fee is $80.00 per year. The only exception is a State Licensed Contractor.

State Licensed Contractors  General Engineering or Building Contractors (Class A or B) are $100.00 per year. Specialty Contractors (Class C) are $60.00 per year. Whether the business is located inside or outside of the City does not affect the fee charged.

Other Permits/Requirements

For businesses with a physical location in the City limits, the Planning Division of Community Development will review the business location for zoning compliance, inspection and other regulatory requirements before a license can be issued. A post office box is not accepted as a business location.

If you will be operating the business from your residence, you will also need to complete a Home Occupation Permit Form requesting authorization to operate a business in a residential zone. If you are not the owner of the residence, you will need to ask the owner or property manager to sign the application giving permission to use the residence as a business location. Applications are reviewed for proper compliance and approved, if appropriate, by the Planning Division of the Community Development Department. There is a one-time fee of $25 for the permit. Once approved and required fees are paid, a license is issued and you may conduct business in the City. A “Business License Certificate” will be mailed after the license is processed.

Community Development’s Home Occupation Permit page has complete information and a link to download the form.

Related Ordinances from the City Municipal Code

Business License Tax (Title 5.04)
Transient Occupancy Tax (Chapter 5.06)
Card and Billiard Rooms (Chapter 5.08)
Solicitors Permits (Chapter 5.36)

Related Contacts

File for a Fictitious Business Name:
County Clerk’s Office
1144 Monterey Street, Suite A
San Luis Obispo, CA 93401
Phone 781-5088

Health Permit
Environmental Health
2145 Sierra Way
San Luis Obispo, CA 93401
Phone 781-5544

State Contractor’s License
3220 South Higuera Street, Suite 304
San Luis Obispo, CA 93401
Phone 549-3166

Contact the State Board of Equalization for a seller’s permit and/or sales tax information at:
4820 McGrath Street, Suite 260
Ventura, CA 93001
Phone 1-800-400-7115

Contact the IRS for a Federal Employer Identification Number and/or tax information at:
2801 Santa Maria Way
Santa Maria, CA 93454
Phone 1-800-829-1040

Contact the Employment Development Department for State of California employee-related items:
State Income Tax, Unemployment & Disability at:
2800 Buena Vista Drive, Building 4000
Paso Robles, CA 93446
Phone 238-4847/238-4964

For local business information and events, visit The Paso Robles Main Street Association or the Chamber of Commerce.