Business License

PROPOSED ORDINANCE CHANGES PERTAINING TO PACKAGED ALCOHOL LICENSES

The City of Reno welcomes your business to our City. The business license office is available to assist you in completing your business license application and in obtaining other City required clearances or permits. Please Note: All Special Events Vendors are required to possess a valid City of Reno Business License.

View the Reno Municipal Code online for the complete text of Title IV and Title V Business License Regulations.

The business license office will also provide you with information regarding certain Federal, State, County and City requirements; however, this service is informational and should not be construed as a final or complete interpretation of legal requirements which must be obtained from the appropriate agency.

Effective October 1, 2009
All applicants are required to register at Nevada Secretary of State. We cannot process applications unless State Business License are included.

Table of Contents

1. Business License General Information
2. Effective Period of Business License
3. Penalties
4. Grace Period
5. Business License Application Information
6. Zoning
7. Home Based Business
8. Issuance of Business License
9. Computation of Business License Renewal Fees
10. Method of Computing Annual Rates
11. Gross Receipts
12. Payment - No Notice Required
13. Transfers

1. Business License General Information
All persons or companies conducting business in the City of Reno must obtain a business license prior to commencement of such business, whether operating from a fixed location in the City or coming into the City from an outside location.

"Business or doing business" means any business, enterprise, trade, occupation, calling, profession, vocation, or activity engaged in, conducted or carried on by any person, his agent or employee for the purpose of direct or indirect gain, benefit or advantage within the City and includes, but is not limited to: 

1. Any activity conducted by a person for which such person is required to file with the Internal Revenue Service a Schedule C (Form 1040), Profit or Loss From Business Form, or its equivalent or successor form, or a Schedule F (Form 1040), Farm Income and Expenses Form, or its equivalent or successor form, for the activities;
2. The performance of services for compensation that are not normally subject to withholding taxes, including but not limited to, independent contractors and commissioned sales agents; or
3.  The renting or leasing of any commercial or industrial property in the City, or 3 or more residential dwelling units on one parcel of land in the City.

A person may engage in two or more separate businesses at the same address or location; each such business must be licensed. A single business may operate at two or more locations, but each different location must be licensed with the City License Office. "Branch locations" include any additional business location doing business under the same name and Federal Tax I.D. number as the primary business location.

All business activity requires a business license fee. License fees can be on a gross receipts basis, a per unit basis or a flat fee basis. The City License Office maintains a current fee schedule.

Some of the types of businesses whose license fee is computed on a gross receipts basis are merchandise sales, contractor, general business, professional and warehousing.

Types of businesses whose license fee is computed on a per unit basis are residential rentals, gambling devices, auto rentals, motion picture, theaters, trailer parks and vehicle transportation.

Types of businesses whose license fee is computed on a flat fee basis are alcoholic beverages and auctioneers.

Some businesses may be required to carry a license in more than one category. An example is:

Convenience Store would need:

• Merchandise
• Packaged Liquor

The application processing fee of $23 is due upon the receipt of the application. A business license certificate will be issued upon approval of the application and payment of applicable fees. License renewal fees are paid at the expiration of the original term.

2. Effective Period Of Business
New business licenses are issued for a one year period. Most businesses will renew on an annual basis (Annual Business License) thereafter. Certain types of businesses, considered regulatory-privilege licenses (e.g., liquor, gaming, auctioneer) renew on a quarterly basis (Quarterly Business License) thereafter.

3. Penalties
The penalty for commencing business before obtaining a business license, or not renewing within the grace period, is 50% of the license fee. Other citation fees may also apply.

4. Grace period
Annual Business Licenses must be renewed within 60 calendar days after the expiration date. Penalties will be assessed on the 61st calendar day without exception.

Quarterly Business Licenses must be renewed within the 15 calendar days after the expiration date. Penalties will be assessed on the 16th calendar day without exception.

Note: There is no grace period for commencing business activity without first obtaining the appropriate business license.

5. Business License Application Information
All City of Reno forms necessary in applying for a business license may be obtained at the business license office, Second Floor, City Hall, 1 East First Street, phone 775-334-2090.

All fees will be collected when the application is submitted. All accounts with the City must be kept current. Delinquent City accounts can lead to revocation of your business license.

If you are applying for a business license and your operation handles food, please check with the Industrial Waste Section 775-334-3115 to find out if the building meets Reno Municipal Code requirements. This applies to new business license applications, a transfer of an existing business license to a new location, also, when you are taking over an existing business.

Before your City of Reno business license is issued, the following clearances and approvals are required. Items 1 through 3 must accompany your application. Items 4 through 10 must be obtained before you commence business and the license is issued.

1. Proof of Fictitious Name Registration. Located at 75 Court Street, Reno, Nevada. Forms can be downloaded online. For additional information, call 775.328.3270. If you are using a business name other than your first and last name, you must file that name with the Washoe County Clerk's Office. This is not necessary if your business is a Corporation, LLC, Limited Partnership, etc. and has been registered with the Secretary of State. If you are going to use a business name other than your Corporate name, or a DBA (Doing Business As) that must also be filed as a fictitious firm name.
2. Proof of Secretary of State Affidavit. Located at 202 North Carson Street, Carson City, Nevada. Filing is available online or in person. For additional information, call 775-684-5708
3. Proof of appropriate industrial insurance. Call the Industrial insurance Regulation Section at 775-684-7270
4. Zoning approval by the City Planning Department
5. Inspection and approval by the Fire Department. (All commercial locations must be inspected. Inspection fees will be billed to you.)
6. Permit may be required for signage, from Department of Building & Safety. Call 775-334-2063 for information. Please be aware that approvals cannot start until all outstanding building permits are completed and closed.
7. Washoe County Health Department for those establishments offering any food or drink products to be sold for human consumption. Call 775-328-2400 for information.
8. A State Certificate is required for employment agencies and banking/lending companies requiring State registration. Call 775-687-4850 for information.
9. Police Department and City Council approval on regulatory-privilege licenses.

Note: Planning Department and Fire Department approvals are coordinated by the business license staff, however the applicant is responsible for obtaining all necessary approvals.

Upon receipt of required approvals, the business license staff will then issue the business license. A minimum of three weeks for a non-regulatory license should be allowed. A minimum of sixty days should be allowed for regulatory-privilege businesses requiring police and City Council approval.

Applications must comply with all pertinent codes, ordinances, laws and regulations prior to application approval.

6. Zoning
All business locations must be in a zoning district that permits the type of business activity applied for. For information on zoning call 775-334-2099 request to be transferred to the Zoning Department. 

7. Home Based Business
Application for an individual or firm working out of the home must comply with the following requirements:

• All business must be conducted within the home by the home's occupants (examples would be a small office or day care provider). No more than one employee who does not reside in the home is allowed.
• Parking on the premises must be provided (street parking does not count). [parking space dimensions are 9' x 19']
• No auto repair, no equipment painting, no heavy equipment repair and no heavy industrial activities are allowed.
• Appearance: The appearance of the structure shall not be altered, nor shall the occupation within the dwellings be conducted in a manner which would cause the premises to differ from its residential character either by the use of colors, materials, construction, lighting, or by signs, or the emission of sounds, noises, dust, odors, fumes, smoke, or vibrations.
• Dwelling Unit: The property proposed to support the home occupation shall contain a minimum of one dwelling unit.
• Employees: Home occupations may have one employee who does not reside in the home when adequate off-street parking is provided.
• Sale of Merchandise: There shall be no sale of merchandise which requires customers to go to the property.
• Traffic: Pedestrian and vehicular traffic will be limited to that normally associated with residential districts. No more than one client's car may be on site at anyone time.
• Commercial Vehicle: The home occupation may involve the use of a commercial vehicle, not to exceed 8000 pounds gross unladed weight or a single vehicle limousine service.
• Size Limits: Up to 25 percent of the living space or 500 square feet, whichever is less, of the dwelling may be used for the home occupation and any related storage of materials and supplies.
• Storage: There shall be no outdoor storage of materials or equipment; no storage of toxic or hazardous materials, including ammunition and gunpowder nor shall merchandise be visible from outside the dwelling.
• Location: The home occupations shall be confined within the main building as a clearly secondary use of the dwelling. When conducted in an attached garage, the home occupation shall not permanently eliminate the use of the garage as a parking space for a car.
• Use of Facilities and Utilities: The use of utilities and community facilities shall be limited to that normally associated with the use of the property for residential purposes.
• Advertising: There shall be no public advertising which calls attention to the fact that the dwelling is being used for business purposes, except when required by Nevada Revised Statutes. Telephone listings, or any other advertising of the business, shall not include the dwelling address. The name, telephone, and purpose of the home occupation may be advertised on not more than one vehicle which is operated by the resident or residents of the dwelling in conjunction with the business. The home address may appear on business card, letterhead, and invoices when the home address is also the business address.
• Electromagnetic Interference: Electrical or mechanical equipment which creates audible interference in radio receivers or visual or audible interference in televisions receivers or causes fluctuations in the line voltage outside the dwelling unit is prohibited.
• Fire Safety: Activities conducted and equipment or material used or stored shall not adversely change the fire safety of the premises.
• Equipment: There shall be no use or storage of mechanical equipment not recognized as being part of normal household or hobby use.
• Clients: Businesses that serve young clients (e.g., music or swimming lessons) or those that do not drive may have up to six clients on site at anyone time. Businesses that serve adults may serve up to two clients on site at anyone time as long as only one client's car is on-site at any one time.

8. Issuance Of Business License
Your business license certificate will be issued once all applicable fees have been paid and all necessary approvals have been received. The business license certificate is an official receipt of payment and must be displayed prominently in your place of business and must be available for inspection.

9. Computation Of Business License Renewal Fees
For those businesses whose license fee is based on gross receipts, the initial licensing fees are based on estimates provided by the applicant or from industry standards.

Upon renewal of the first license, the gross receipts figure (one full year, 12 months) declared on the renewal application is used to compute both the fee for the forthcoming year and the balance due, if any, for the first year's license.

10. Method Of Computing Annual Rates
(Example for fees based on gross receipts)

Gross receipts reported: $259,000.00

$60.00 for the first $20,000; an additional $70 on $20,001 to $100,000 gross receipts; $.85 per each additional $1,000 or fraction thereof from $100,001 to $5,000,000; $.65 each additional $1,000 or fraction thereof for receipts above $5,000,000.

Total fee for the first year: $265.15
First $ 20,000 (flat) $60.00
Next $ 80,000 (flat) $70.00
Next $159,000 (.85 per $1,000) $135.15
Total Fee: $265.15

11. Gross Receipts
(Reno Municipal Code Sec. 4.04.008. Definitions.)

"Gross receipts" as used in connection with the determination of license fees, means the total amount received for all goods sold or for the performance of any act or service. Gross receipts shall include all receipts, cash, credits, services or property received without any deduction for the cost of property sold, cost of materials used, labor or service costs, interest paid or payable, losses or any other expense whatsoever.

Gross receipts shall not include:

• Any taxes required by law to be included in or added to the purchase price and collected from the consumer or purchaser.
• The portion of the receipts of a general contractor which represents payments to subcontractors provided that such subcontractors are licensed under this Title and provided the general contractor furnishes the city license office with the names and addresses of the subcontractors and the amounts paid to each subcontractor.
• The receipts from sales of merchandise or services performed beyond the city limits where a business license for such sale or service is required by another political subdivision.
• Those receipts subject to a franchise agreement with the City.

The gross receipts of an owner engaged in the business of renting or leasing such owner's commercial or industrial property shall be calculated at 4 percent of total gross receipts. An owner engaged in the business of renting or leasing such owner's commercial or industrial property and receives gross income in the amount of $500,000 (before the 96% exemption) or less, is not required to obtain a business license.

12. Payment - No Notice Required
License fees are due and payable within the applicable grace period. Although the City, as a courtesy to businesses, does issue billing statements upon receipt of the renewal forms, it is the business owner's responsibility to pay the fees whether or not a statement has been received.

13. Transfers
Business licenses are NOT transferable when the ownership of the business changes. A new application and applicable fees must be submitted.

The following changes require that a supplemental application be completed and the necessary fees be paid:

• Change of physical location of the business (includes booth rentals)
• Change of business name only
• Corporate change of licensee only
• Partner moving up as licensee/owner

The fee to transfer a business license is $100.00 plus a $23.00 administrative fee when moving to a commercial address in Reno.

A transferred business license expires on the same date as the previous license.

The existing business license must be surrendered at the time the transfer is applied for.