How to Get a Business License in Anaheim, California

You’re ready to open for business in Anaheim. You’ve picked your location, settled on a business name, maybe even ordered a sign. Now you need the license. But Anaheim’s business license isn’t the only thing you need, and its tax structure—segmented by industry—means you need to know your classification before you submit your application. Get that wrong and you’ll either overpay or underpay, triggering an audit or a surprise bill.

Here’s what actually needs to happen, in order, with exact fees and the specific Anaheim rates that apply to your business type.

What Anaheim Requires vs. What California Requires

California has no statewide business license. That surprises a lot of people. The state doesn’t issue one. What you get instead is a collection of permits and registrations—and Anaheim’s business license is your local operating authority.

You need four separate things:

Secretary of State entity filing (LLC or corporation)
IRS Employer Identification Number (EIN)
CDTFA Seller’s Permit (only if you’re selling tangible goods)
Anaheim business license

And then, on top of all of that: California’s Franchise Tax Board charges every LLC in the state $800 per year. This is not deductible from your Anaheim license fee. It’s separate. It arrives as its own bill. Your first $800 is due by the 15th day of the 4th month after you form your LLC (so if you form in January, it’s due by April 15). After that, it’s due every April 15. And yes, this applies even if your Anaheim license fee is only $40.

That’s the state-level tax. Anaheim’s business license is in addition to it.

The Prerequisite Chain

You can’t apply for an Anaheim business license without these first three things. The city will ask for your entity number and proof of registration. So do them in order.

Step 1: File with the Secretary of State

File your LLC or corporation at bizfileOnline.sos.ca.gov. An LLC costs $70. A corporation costs $100. You’ll submit either the Articles of Organization (LLC) or Articles of Incorporation (corporation). The SOS will confirm your filing within a few business days and issue you an entity number.

Step 2: Get your EIN

Visit irs.gov/ein and apply for a free Employer Identification Number. You can apply online, by phone, or by fax. Online takes about 15 minutes and you get your number immediately. You don’t need an EIN if you’re a sole proprietorship with no employees (you can use your Social Security number instead), but if you’re forming an LLC or corporation, you need one.

Step 3: Register for a CDTFA Seller’s Permit (if applicable)

If you’re selling tangible goods—inventory, products, anything physical—you need to register with the California Department of Tax-Fee Administration. It’s free. Go to cdtfa.ca.gov, create an account, and apply online. This registration lets you buy inventory tax-free from wholesalers and collects sales tax from your customers. California’s base sales tax rate is 7.25%, but Anaheim adds local taxes on top, bringing the total to 8.625% within city limits. You don’t need this permit if you’re selling only services.

Step 4: Apply for Anaheim Business License

Now you’re ready to apply to Anaheim. This is the process that varies by business type and requires you to know your classification.

Application Process

Anaheim accepts applications in person or by mail. There is no fully online initial application portal. If you want to apply in person:

Business License Division 200 S. Anaheim Blvd. Anaheim, CA 92805 (City Hall)

Hours: Monday–Friday, 8 AM–4 PM

Phone: (714) 765-5194

You can also mail your application. Mail takes longer to process, but it’s an option if you’re not in Orange County.

Processing fee: $37, non-refundable. This is separate from your business tax. Even if your application is denied, you don’t get the $37 back. So make sure your application is complete and accurate before you submit.

The city will ask for:

Your entity filing documentation (proof of LLC or corporation formation)
Your EIN
A description of your business activities
Your gross annual receipts (estimated if you’re new)
The number of employees (if applicable to your business type)

Processing typically takes 5–10 business days if you apply in person, longer by mail.

Other transactions:

Address change: $35 processing fee
Name change: $35 processing fee

These are also non-refundable and processed separately from your annual renewal.

Tax Rates by Business Type

This is where Anaheim gets specific. The city doesn’t charge a flat fee for all businesses. It segments the economy into five categories, each with its own rate formula. Your classification determines your annual bill.

Retail businesses

Under $100K gross receipts: $40 flat
Over $100K: 9.5 cents per $1,000 in gross receipts, with a $60 minimum

So if you’re a retail store with $150,000 in annual gross receipts, you pay (150 × 9.5 cents) = $14.25, plus the $60 minimum = $60 total. If you have $500,000 in receipts, you pay (500 × 9.5 cents) = $47.50, still under the $60 minimum, so you pay $60. At $750,000, you pay (750 × 9.5 cents) = $71.25.

Entertainment, recreation, amusement services (this includes amusement parks, theaters, concert venues, and entertainment complexes)

Under $100K gross receipts: $40 flat
Over $100K: 19 cents per $1,000 in gross receipts, with a $60 minimum

Notice the rate doubles compared to retail. A business with $200,000 in gross receipts pays (200 × 19 cents) = $38, still under the $60 minimum = $60. At $500,000, you pay (500 × 19 cents) = $95. This category applies to the hospitality and resort district businesses common in Anaheim.

Lodging (hotels, motels, vacation rentals, bed-and-breakfasts)

Under $100K gross receipts: $40 flat
Over $100K: 19 cents per $1,000 in gross receipts, with a $60 minimum

Same rate as entertainment. A 50-room hotel with $2 million in annual revenue pays (2,000 × 19 cents) = $380.

Services (consulting, accounting, cleaning, repairs, childcare, personal services—anything not tangible goods)

$68 flat, plus $10 per employee based on average employee count

If you’re a solo consultant, you pay $68. If you have two employees, you pay $68 + $20 = $88. Ten employees: $68 + $100 = $168. This category covers the broadest range of businesses.

All other businesses

Under $100K gross receipts: $40 flat
Over $100K: 9.5 cents per $1,000 in gross receipts, with a $60 minimum

This is the catch-all. If your business doesn’t fit cleanly into the above four categories, it lands here and pays the retail rate.

All licenses renew annually. When you renew, you’ll update your gross receipts (or employee count if you’re a service business) and pay the applicable tax for that year.

Home-Based Businesses

If you’re running your business from home, Anaheim still requires a standard business license. The process is identical. There’s no separate “home occupation permit” with an additional cost. The standard business license covers it.

But you do have to comply with Anaheim’s residential zoning requirements. The city allows home occupations, but with restrictions:

No signage visible from the street
Limited customer visits (typically no more than a few per day)
No external storage of equipment or materials
No hazardous materials or manufacturing
No employees working on-site (varies by specific zoning)

Before you apply, check Anaheim’s zoning code or call the Planning Department at (714) 765-5177 to confirm your specific use is permitted. If you run an e-commerce business or do remote consulting, you’ll have no issues. If you’re planning to run a salon, repair shop, or anything with regular foot traffic, you need to verify first.

Industry-Specific Permits

Your Anaheim business license is the baseline. Depending on what you do, you’ll need additional permits and registrations.

Food businesses

The Orange County Health Care Agency issues health permits for restaurants, food trucks, catering operations, and food manufacturing. This is separate from your Anaheim business license. You’ll apply directly to the county, not the city. They inspect your kitchen, verify food handling practices, and issue a permit. Cost varies by business type; contact the Orange County Health Care Agency for current fees.

Hotels and lodging

Anaheim collects a Tourism Improvement District (TID) assessment on top of your business license fee. The TID funds destination marketing and infrastructure. The rate is based on room revenue and varies annually. Contact the Anaheim Tourism Improvement District or call the Business License Division at (714) 765-5194 for the current rate.

Alcohol service

Any business selling beer, wine, or liquor needs a state Alcoholic Beverage Control (ABC) license. This comes from the state, not Anaheim. You apply at the Department of Alcoholic Beverage Control. Processing takes 4–6 weeks. ABC also imposes restrictions on hours, location (distance from schools, parks, other alcohol retailers), and signage.

Contractors

If you’re in construction, electrical work, plumbing, or other licensed trades, you need a California Contractor’s License from the Contractors State License Board (CSLB). This is a state license, not a city license, and requires an exam. You can’t legally bid or contract without it.

Entertainment and event venues

If you’re hosting events, concerts, or large gatherings, Anaheim Police Department and Fire Department may require additional permits. These cover noise restrictions, occupancy limits, parking, security, and emergency procedures. Contact the city’s Special Events office or call (714) 765-5194 to ask what applies to your specific venue.

Cannabis

Anaheim allows limited cannabis retail under Measure O. The city has specific regulations on location, distance from schools, and operational hours. Not all cannabis businesses are permitted. Check the current status with the Community Development Department at (714) 765-5177 before investing.

Renewal and Compliance

Your Anaheim business license renews every year. The city will send you a renewal notice before expiration, usually 30–45 days ahead. You update your gross receipts (or employee count), pay the applicable tax, and submit the renewal. Late renewal can trigger late fees and loss of good standing.

You must display your business license at your place of business or on your website if you operate online. A lost or damaged license can be replaced for $10.

Keep your license current even if you’re not actively operating. If you plan to close, notify the city. Letting your license lapse without notifying the city can result in penalties.

For ongoing business resources and networking in Anaheim, the Anaheim Chamber of Commerce is located at 100 S. Anaheim Blvd., Suite 300. They offer workshops, business directories, and connections with other local entrepreneurs.

The $800 Franchise Tax Bill from California will arrive separately from the city. Mark your calendar for April 15 each year. It’s easy to forget about this if you’re focused on local renewal. It’s not optional, and it applies even if your Anaheim license fee is minimal.

Your next step: determine your business classification, estimate your first-year gross receipts, and calculate your expected Anaheim license fee. Then file your entity with the SOS, get your EIN, and apply at City Hall. You’re five steps from operating legally in Anaheim.