Restaurant Permit Checklist: A Complete Guide for New Owners

Before you open the doors

Last year I helped a friend in Houston compile his restaurant permit list. We counted 13 separate permits from 6 different agencies. He'd only known about 4 of them. Without the full list, he would've opened illegally without realizing it.

The average restaurant needs 8 to 15 permits and licenses, each from a different agency, each with its own deadline. This checklist covers the permits most restaurants need. Your exact requirements depend on your state, county, and city, but this will get you pointed in the right direction.

Business formation and registration

EIN (Employer Identification Number): Free from the IRS. You need this before you can hire anyone or open a business bank account. Apply at irs.gov. Takes 10 minutes.
State business registration: Register your LLC, corporation, or DBA with your Secretary of State. Fees range from $50 to $500 depending on your state.
City/county business license: Required almost everywhere. Fees vary by location and expected revenue. Typically $50 to $500.

Health and food safety

Food service permit: Issued by your county health department after a kitchen inspection. The inspector checks food storage, prep surfaces, handwashing stations, refrigeration temperatures, and pest control. Annual cost: $200 to $1,000.
Food handler certifications: Most states require at least one certified food manager per shift. Certification courses run $10 to $80 per person.
Food establishment plan review: Before you build out your kitchen, many health departments require architectural plans showing equipment layout, ventilation, plumbing, and waste disposal. This review can take 2 to 6 weeks.

Alcohol (if applicable)

Liquor license: If you plan to serve beer, wine, or spirits, you need a license from your state alcohol control board. Costs and availability are all over the map. Could be $300 in some states, could be $100,000+ in quota states like Florida. See our restaurant vs bar license comparison — the classification matters more than you think.
Server training certificates: Many states require servers to complete alcohol awareness training (e.g., TABC in Texas, RBS in California).

Fire and building safety

Fire safety permit: The fire marshal inspects your kitchen hood suppression system, fire extinguishers, exit signs, sprinklers, and emergency exits. Required before opening.
Building permit: Any construction, renovation, or significant equipment installation requires a building permit from your city. This includes kitchen buildouts.
Certificate of Occupancy: Confirms the space is approved for restaurant use and sets your maximum occupancy. Required before opening. Read our CO guide if you're taking over a space from a different business type.

Signage and zoning

Zoning clearance: Confirm the property is zoned for restaurant use. If it's not, you need a variance, which means public hearings and extra months of waiting.
Sign permit: Exterior signs, window graphics, and projecting signs all typically require a permit. Size, brightness, and placement rules vary by city.
Sidewalk cafe / outdoor dining permit: If you want patio seating on public sidewalks, that's a separate permit with its own insurance requirements.

Employment and tax

State employer registration: Register with your state labor department for unemployment insurance and workers compensation.
Sales tax permit: Required in most states before you can collect sales tax on food and drinks. Usually free but mandatory.
Workers compensation insurance: Required in almost every state if you have employees. Not optional. It's a legal requirement.
Tip reporting: Restaurants must report allocated tips to the IRS if tipping policies meet certain thresholds.

Music and entertainment

Music license: Playing music (even background music from a streaming service) in a commercial space requires licenses from ASCAP, BMI, and/or SESAC. Fees start around $300/year.
Entertainment permit: Live music, karaoke, or trivia nights may require a separate entertainment or cabaret license from your city.

Frequently asked questions

How many permits does a restaurant need?

A typical restaurant needs 8 to 15 permits and licenses from at least 5 different agencies. The exact number depends on your state, city, and what you serve.

What's the most expensive restaurant permit?

The liquor license, by far. It can range from $300 to $500,000+ depending on your state and the license type. See our California cost breakdown for details.

Which permit takes the longest?

The liquor license. Plan for 45 days to 6+ months depending on your state. File it first.

How to stay on top of all of this

A typical restaurant needs 8 to 15 different permits and licenses. Each one has its own renewal date, fee schedule, and issuing agency. Tracking all of them on a spreadsheet works until it doesn't. That one missed renewal can cost you thousands — read about what happens when a permit expires.

Check what permits your restaurant needs based on your state and business type. It's free, takes two minutes, and shows you the actual agencies and fees.