One Memphis business, three licenses
What does getting licensed look like for one Memphis business?
The business in this example
Picture a two-owner company in Memphis offering home services, formed as an LLC, working from a rented shop. It sells a service, holds no trade board credential, and hires no one in its first year.
That example is deliberately ordinary. It exercises every layer a Tennessee business meets, and none of the trade-specific extras, which makes the sequence visible. Swap in your own trade and the middle layer grows; the order stays the same.
The example is built from the published rules of the four offices involved: the Secretary of State, the Department of Revenue, the Shelby County clerk's business tax division, and the City of Memphis. The general order is how to get a Tennessee business license; what follows is the same steps with one business's name on them.
The Shelby County Business Tax Division states all businesses in the county must obtain a business license and report gross receipts to the Department of Revenue annually. — Shelby County Business Tax Division, retrieved 2026-09-29
Step one: the entity filing with the Secretary of State
The company files Articles of Organization on form SS-4270. The fee line on the form's face does the arithmetic for a two-owner company: $50 per member, with a minimum fee of $300, so the filing costs $300, filed online through the TNCaB portal.
The name must follow the statute. The form notes that under T.C.A. § 48-249-106, each LLC name must contain the words Limited Liability Company or the abbreviation LLC or L.L.C. The owners pick a name that fits and file.
Nothing in this step licenses anything. The company exists at the end of it and cannot yet trade in Memphis. The page on whether an LLC needs a business license is the standing explanation of the split.
$300The Articles of Organization form SS-4270 states a filing fee of $50 per member, a $300 minimum, and a $3,000 maximum, with the name rules of T.C.A. § 48-249-106. — Tennessee Secretary of State, form SS-4270, retrieved 2026-09-29
Step two: the tax registration with the Department of Revenue
The owners register the business tax account through TNTAP. The Department of Revenue allows up to 10 business days to complete a registration, so this step starts before the shop is painted.
The registration creates the account the business tax return will be filed against. The return is due on the 15th day of the fourth month after the fiscal year ends, April 15 for a calendar-year business, and every Class 1-4 and 5B taxpayer owes at least the $22 minimum per location.
The Department of Revenue adds the instruction that links this step to the next one: once you register for business tax, contact the individual county and/or municipal clerk to arrange for payment of the required fee and to obtain your business license.
10 business daysThe Department of Revenue states registration takes up to 10 business days, the return is due the 15th of the fourth month after the fiscal year ends, and the license follows registration. — Tennessee Department of Revenue, retrieved 2026-09-29
Step three: the county license, inside 20 days of opening
The Shelby County clerk's business tax division states the deadline the company now works against: register with the County Clerk within 20 days after commencing business, with a $15 remittance submitted with each application.
The company's first-year receipts sit between $3,000 and $100,000, so the Department of Revenue's rule points it at the minimal activity license. Had the company projected $100,000 or more at the location, the standard business license would apply instead. The rules for both are on what changed in Tennessee business licensing.
The clerk issues the license. The Department of Revenue's warning is the one to take literally: the business is not allowed to operate until the required license is obtained and posted at the business location. The shop's wall, not the filing cabinet, is where the license goes.
20 daysThe Shelby County Business Tax Division states that businesses register with the County Clerk within 20 days after commencing business, with a $15 remittance submitted with each application. — Shelby County Business Tax Division, retrieved 2026-09-29
The Department of Revenue states that a business is not allowed to operate until the required license is obtained and posted in the business's location. — Tennessee Department of Revenue, retrieved 2026-09-29
Step four: the city license and the certificate of occupancy
The company's Memphis address pulls in the city's own license. The City of Memphis publishes the pairing plainly: businesses within the municipal boundaries need a combined City of Memphis license at a $15 fee and a Shelby County Business License at a $15 fee. The company pays $30 for the pair.
The building adds its own requirement. Businesses within Memphis and Shelby County must obtain a Certificate of Occupancy, which requires an application and inspection, issued by Construction Enforcement through the Develop 901 Citizen Portal. The company's rented shop needs the certificate before the doors open, so the application goes in while the license clocks run.
At this point the company holds its state registration, its entity, its county license, its city license, and its occupancy certificate. It is licensed. What remains is the calendar, which is where the example's last lesson sits.
$30The City of Memphis states that businesses within the municipal boundaries of Memphis need a combined City of Memphis license at a $15 fee and a Shelby County Business License at a $15 fee. — City of Memphis, retrieved 2026-09-29
The City of Memphis states businesses within Memphis and Shelby County must obtain a Certificate of Occupancy, issued by Construction Enforcement through the Develop 901 portal. — City of Memphis, retrieved 2026-09-29
The first year of renewals, and closing day
The calendar holds four dates. The two licenses expire on the anniversary of the application date the following year, renewed through the Shelby County Clerk's office. The LLC annual report, at $300 minimum for this two-member company, is filed with the Secretary of State. The business tax return is due the 15th day of the fourth month after the fiscal year ends, with the $22 minimum applying.
If the company closes instead of renewing, Memphis publishes the ending as clearly as the beginning: contact the Shelby County Trustee's Office, and file a final business tax return with the Department of Revenue within 15 days of closing, paying any tax due.
The same sequence compressed to one page is the Tennessee business license checklist, and the fees added up are what Tennessee business licenses cost. The next step for a real business is the one this example skipped: check the trade layer before quoting the first job.
| Step | Office | Published figure |
|---|---|---|
| Articles of Organization, SS-4270 | Secretary of State | $50 per member, $300 minimum |
| Business tax registration | Department of Revenue, TNTAP | Up to 10 business days |
| County license, within 20 days of starting | Shelby County Clerk | $15 |
| City license | City of Memphis | $15 |
| Certificate of Occupancy | Construction Enforcement, Develop 901 | Application and inspection |
| Annual report, each year | Secretary of State | $300 minimum |
| Business tax return | Department of Revenue | $22 minimum, due the 15th of month four |
15 daysThe City of Memphis states licenses expire on the application anniversary with renewal through the county clerk, and closing requires a final return within 15 days with a $22 minimum. — City of Memphis, retrieved 2026-09-29
Questions
How many licenses does a Memphis business hold at minimum?
Two local ones inside city limits: the Shelby County Business License and the City of Memphis license, at a published $15 each. The state registration is separate, and a certificate of occupancy applies to the building.
What if the example company had formed as a corporation instead?
The entity filing changes to a Charter, and the annual report fee drops to the corporation's $20. Every local step, the tax registration, the two $15 licenses, and the occupancy certificate, stays exactly the same.
When does the 20-day county clock start?
The Shelby County Business Tax Division states that registration with the County Clerk is due within 20 days after commencing business, so the clock starts on the first day of trading, not on the formation date.
Does the example change outside Memphis?
The state steps hold everywhere. Inside another city, the city layer changes: Knoxville runs its own permit registrations and its $200 mobile food unit ordinance, for instance, and an unincorporated address owes the county license but no city license.
Can the company operate while the license applications are pending?
No. The Department of Revenue states a business is not allowed to operate until the required license is obtained and posted at the business location, and Shelby County requires registration within 20 days of commencing business.