PermitDueThe 5 Most Common Business Permit Mistakes
March 29, 2026 · Daniel Amar·Last updated: March 29, 2026
Permits aren't hard. Forgetting about them is.
After building PermitDue and talking to dozens of small business owners, I've seen the same mistakes come up over and over. The permit process itself is simple: find the agency, fill out the form, pay the fee, wait. The problems start when you don't know what you need, apply too late, or let something expire. These five mistakes account for most of the fines, delays, and headaches I've seen.
Mistake 1: Only checking state requirements and skipping city and county
A new business owner looks up state requirements, files their LLC, gets their EIN, and thinks they're done. They're not. Cities and counties have their own requirements, business license, county health permit, city fire inspection, sign permit, that are separate from state requirements. Missing the city layer is the fastest way to get a surprise notice from an inspector.
The fix: Check requirements at every level, or run the permit checker to see all of them in one place.
Mistake 2: Forgetting to renew
Everything is running smoothly. Then a renewal notice gets buried or goes to your old address. Late fees: 10% to 50% of the renewal cost. Back-payment. Reinstatement fees. Possible insurance voidance.
The fix: Track every expiration date. A spreadsheet works, but PermitDue sends automatic reminders at 90, 60, 30, and 7 days before each expiration.
Mistake 3: Classifying your business type wrong
Is your business a "restaurant" or a "bar"? The license type depends on your food-to-alcohol revenue ratio. Is your food truck a "mobile food vendor" or a "mobile food dispensing vehicle"? Are you a "general contractor" or a "specialty contractor"? Wrong classification = wrong permits = fines.
The fix: Call the issuing agency and describe what you do. Don't guess.
Mistake 4: Starting with the fast permits and leaving the slow ones for last
Business license, done in a day. Sales tax permit, done in a day. Meanwhile, your liquor license takes 3 to 6 months and you're paying rent on an empty space.
The fix: Start with the slowest permits first. File the liquor license the day you commit.
Mistake 5: Assuming the landlord's permits transfer to you
The previous tenant had a restaurant license, so you think you don't need your own. Wrong. Permits are issued to a specific business entity. You need your own business license, health permit, liquor license, fire inspection, and possibly a new Certificate of Occupancy.
The fix: Start your own applications from scratch.
All five boil down to the same thing
Every mistake comes down to not knowing what you need, or knowing and forgetting. The free permit checker shows you everything. Check what you need for a restaurant in Los Angeles or a retail store in Dallas. Then track them with PermitDue.