Table of contents
Florida's booming economy welcomes 163,992 new businesses in 2024, making it America's top state for new business applications since 2014. With 2.5 million small businesses employing 3.6 million people—41.6% of all private-sector workers—Florida offers real opportunity if you know how to navigate the process.
7 Steps to Starting a Business in Florida
Starting your Florida business takes 7 essential steps that you can complete in about 30 days. From choosing your structure to opening your doors, here's your roadmap to launching successfully in the Sunshine State.
Step 1: Choose Your Business Structure
Your Florida business structure determines your personal liability, taxes, and paperwork requirements. Most Florida entrepreneurs choose between a DBA for simplicity or an LLC for protection—here's what each means for your bottom line.
DBA (Doing Business As): Costs $50 and lets you operate statewide under any name, but your personal assets remain at risk in lawsuits. Processing takes 1-2 days online.
LLC (Limited Liability Company): Costs $125 to file and takes 6-8 business days to process, protecting your personal assets while avoiding Florida's 5.5% corporate income tax through pass-through taxation.
Corporation: Best for businesses seeking investors, but faces 5.5% corporate income tax unless you elect S-Corp status for pass-through taxation benefits.
Sole Proprietorship: No filing required, but leaves your house, car, and savings exposed to business lawsuits—risky for customer-facing businesses.
Step 2: Register Your Business Name
Your Florida business name must be completely unique statewide—no other company can use it exactly. The Florida Department of State processes your Articles of Organization in 6-8 business days for $125.
Name Requirements:
- Must include "LLC" or "Limited Liability Company" for LLCs
- Cannot imply government affiliation or regulated professions
- Must differ from existing Florida businesses
- Check availability at Sunbiz.org before filing
Physical Address Requirement: Florida requires a physical street address (not a PO Box) as your principal address, plus you'll need a registered agent available during business hours.
Step 3: Get Your EIN from the IRS
Your Employer Identification Number (EIN) is free from the IRS and takes 15 minutes online at irs.gov. You'll need this federal tax ID before hiring your team, opening business banking, or filing taxes—think of it as your business's Social Security number.
Who Needs an EIN:
- All corporations must have one
- LLCs with employees need one
- Single-member LLCs can use owner's SSN but EIN provides better separation
- Sole proprietors only need one if hiring employees
Step 4: Open a Business Bank Account
Your business bank account separates personal and business finances—critical for LLC protection and tax filing. Florida banks typically require your EIN, formation documents, and $100-500 initial deposit.
What You'll Need:
- EIN confirmation letter
- Articles of Organization (LLC) or Incorporation
- Operating agreement or corporate bylaws
- Driver's license and proof of address
- Initial deposit (varies by bank)
Step 5: Register for Florida Taxes
Florida has no personal income tax, but you'll need to register for sales tax at 6% plus county surtaxes of 0.5-2.5%. The Florida Department of Revenue handles registration online, with filing frequency based on your sales volume.
Sales Tax Requirements:
- Register before first sale if selling tangible goods
- File monthly, quarterly, or annually based on volume
- Collect 6-8.5% depending on county
- Exemptions include groceries, medicine, and new machinery
Reemployment Tax: New employers pay 2.7% on first $7,000 of wages per employee, with rates ranging 0.1-5.4% based on claims history after first year.
Step 6: Get Your Business Licenses
Your Florida business licenses vary by location and industry—Miami requires different permits than rural Walton County. Most businesses need at least a local business tax receipt, with costs ranging from $30 in small counties to $300+ in major cities.
Common License Requirements:
- Local Business Tax Receipt: $30-300 depending on city/county
- Professional Licenses: Required for contractors, real estate, healthcare
- Health Permits: Restaurants and food services through county health departments
- Home Business Permits: Check local zoning—many cities restrict customer visits
Step 7: Set Up Workers' Compensation Insurance
Florida requires workers' compensation for all construction businesses and any non-construction business with 4+ employees. Rates vary dramatically—from $0.13 per $100 payroll for clerical work to $8.24 for roofing.
Tip: Join a Professional Employer Organization (PEO) to access better rates through group buying power, especially helpful for high-risk industries.
How to get a business license in Florida?
Your Florida business licenses include state professional licenses, county tax receipts, and city permits—with total costs ranging $50-1,000+ depending on your industry and location. Miami-Dade County alone requires both county and city licenses, while rural Dixie County might only need a $30 tax receipt.
The process starts at your county tax collector's office for your business tax receipt, then moves to city hall for additional permits. Processing typically takes 1-2 weeks for basic businesses, though restaurants and contractors face longer waits for health and building inspections.
What are the best cities to start a small business in Florida?
The best Florida cities for small businesses are Orlando with 6.2% growth, Jacksonville at 5.23%, Tampa at 5.17%, and Miami at 4.95%—all ranking in America's top 10 metro areas for small business expansion. Mid-sized cities like Lakeland-Winter Haven (6.59% growth) and Cape Coral-Fort Myers (6.31%) actually outperform major metros with lower competition and costs.
Orlando: Leading nationally with incentive programs creating 11,000 jobs since 2008, plus a thriving tech ecosystem and year-round tourism driving customer traffic.
Lakeland-Winter Haven: Second nationally among mid-size cities with 6.59% growth, offering affordable real estate between Tampa and Orlando markets.
Jacksonville: Strong logistics and healthcare sectors, with 5.23% small business growth and lower costs than South Florida markets.
Tampa-St. Petersburg: Ranked ninth nationally at 5.17% growth, combining tech sector growth with established tourism and strong local buying power.
Tip: Consider North Port-Sarasota (6.26% growth) or Pensacola (6.09%) for lower competition—these smaller markets show stronger growth than Miami while offering significantly lower operating costs.
How much money do you need to start your business in Florida?
Starting a business in Florida costs $200-2,000 in required fees, plus $5,000-25,000 for operational expenses depending on your industry and location. An LLC with basic licensing runs about $500 total, while restaurants or contractors face $10,000+ in permits, equipment, and insurance before opening.
What are your required Florida business filing fees and processing times?
Your required Florida filing fees total $125-425 for most businesses, with processing taking 6-8 business days for standard LLC formation. The state charges $125 for LLC Articles of Organization, $70 for corporations, plus $25 for registered agent consent—though expedited 1-2 day processing adds $30.
State Filing Fees:
- LLC Formation: $125 (6-8 business days)
- Corporation: $70 plus $35 for initial report
- DBA Registration: $50 (1-2 days)
- Annual Report: $138.75 for LLCs, due by May 1st
- Expedited Processing: Additional $30 for 1-2 day turnaround
Local Fees Vary Widely:
- Miami-Dade: $200-500 business tax receipt plus city permits
- Rural Counties: $30-75 for basic business tax receipt
- Professional Licenses: $200-500 through state boards
- Health Permits: $100-650 for food service
What hidden costs should you budget for your Florida business?
Your hidden Florida business costs include $150-400 monthly for payroll services, workers' comp at 0.13-8.24% of payroll, and minimum wage increasing to $13/hour in January 2025. Smart budgeting means planning for seasonal slowdowns—Florida's tourism economy means preparing for quiet summers by saving 3-6 months operating expenses.
Ongoing Compliance Costs:
- Registered Agent: $100-200 annually (required for LLCs)
- Annual Report: $138.75 due each May 1st
- Business Insurance: $500-2,000+ annually
- Sales Tax Filing: Software $20-50/month or CPA $200-500/quarter
Labor Cost Reality Check:
- Florida minimum wage hits $14/hour September 2025, $15 by 2026
- Total payroll costs run 1.25-1.4x base wages including taxes and benefits
- Small businesses average $28.56/hour with 6.45% annual increases
What are the real startup costs beyond filing fees in Florida?
Your real Florida startup costs beyond filing fees include $2,000-10,000 for initial inventory, $1,000-5,000 for insurance, and 2-3 months rent upfront for commercial space. Technology typically needs 2-3% of revenue investment—that's $2,000-3,000 annually per $100,000 in sales for scheduling, POS, and accounting software.
Industry-Specific Startup Costs:
- Food Service: $15,000-50,000 (equipment, permits, initial inventory)
- Retail: $5,000-20,000 (inventory, fixtures, POS system)
- Professional Services: $2,000-5,000 (licensing, insurance, marketing)
- Home Services: $3,000-10,000 (tools, vehicle, insurance)
- Childcare: $10,000-30,000 (licensing, safety equipment, insurance)
First-Year Operating Budget:
- Rent: $500-3,000/month depending on location
- Insurance: $200-1,000/month
- Marketing: 5-10% of projected revenue
- Technology: $100-500/month for essential software
- Professional services: $2,000-5,000 (attorney, CPA setup)
Pro Tip: The Florida SBDC provides free consulting that helped businesses secure $304 million in capital last year—use their expertise before spending on consultants.
What support resources can you access for your Florida business?
The support you can access includes free consulting through 40+ Florida SBDC offices, SBA loans averaging $50,000-500,000, and local chambers offering networking and advocacy. The SBDC alone provided 107,812 hours of free consulting in 2024, helping launch 1,019 businesses and create 19,800 jobs.
Florida Small Business Development Centers: Your first stop for free expert guidance, with offices at UF, FSU, UCF, and FIU offering everything from business plan reviews to market research assistance.
Financial Resources: SBA-backed loans through local banks, state grants for job creation, and county-specific incentive programs especially in Enterprise Zones.
Industry Networks: Join trade associations like Florida Restaurant & Lodging for regulatory updates, group insurance rates, and industry-specific training programs.
Local Economic Development: Cities like Orlando offer facade grants, equipment financing, and tax incentives for businesses creating jobs in targeted industries.
Tip: Schedule your SBDC consultation before signing any lease or major purchase—their advisors helped Florida businesses increase sales by $3.8 billion in 2024.
What's your 30-day action plan to start your Florida business?
Your 30-day action plan to start your Florida small business includes Week 1 business structure and naming, Week 2 federal and state registrations, Week 3 licensing and permits, and Week 4 operational setup and launch prep. This timeline gets you legally operating while building momentum for your grand opening.
Week 1: Foundation - Choose your structure (LLC recommended), search name availability on Sunbiz.org, file Articles of Organization ($125), and secure your registered agent.
Week 2: Tax Setup - Apply for EIN online (free, 15 minutes), register for Florida sales tax, open business bank account, and start QuickBooks or accounting system.
Week 3: Compliance - Get local business tax receipt ($30-300), apply for professional licenses if needed, schedule health/fire inspections for applicable businesses, and quote workers' comp insurance.
Week 4: Launch Prep - Finalize insurance policies, set up payroll system if hiring, create standard operating procedures, and plan your marketing launch.
Tip: Complete your EIN application on Monday morning for same-day confirmation—the IRS system processes fastest during business hours, avoiding weekend delays.
What's your bottom line for Florida business success?
Florida's business-friendly environment—no income tax, 5.22% small business growth, and 2.5 million thriving small businesses—creates genuine opportunity, though only 56.82% survive three years. Success requires managing seasonal tourism swings, rising labor costs hitting $15/hour by 2026, and competition in major metros.
The businesses that thrive combine Florida's tax advantages with smart positioning: Orlando's tech growth, Miami's international connections, or Lakeland's lower costs with high growth. Your path forward starts with that free SBDC consultation, proper LLC formation for protection, and enough capital reserves to weather Florida's summer slowdowns while building toward the busy season's profits.
Your Next Move: Book your free SBDC consultation this week at floridasbdc.org—their advisors know exactly which permits, licenses, and strategies work for your specific Florida market and industry.
