If you are starting a business, you are legally required to obtain a business license. A lot of small operations omit this step but they leave themselves open to significant potential liability without one as well as gambling with IRS intervention if the income is not properly declared. Besides, holding a current business license will allow you to obtain any necessary materials at wholesale prices and is often a requirement for opening a business checking account. And you do want one of those.........co-mingling business income and expenses with personal finances is a huge red flag to the IRS.

Licensing requirements vary from state to state and municipality to municipality. Check with your local licensing authority for the specifics involved in your area. Applying for and receiving one is typically a very simple and relatively inexpensive process. In my state, you would need both a business AND a nursery license but can apply for them simultaneously. You might also be restricted as to what type of business you can run from your home, zoning-wise. I don't know what - if anything - is required for an online business.......it seems like pretty much of a free-for-all to me. However you would still be under any local licensing requirements and correct reporting to the IRS.

Thanks for such a quick response gardengal, I live way out in the boonies so zoneing is good. Where do you apply for the licences? I want to do it legally and try to be very professional to start. Who knows I may get lucky enough for it to really count as a second income for the family and I would be in heaven. I have been a passionate gardener all my life thanks to my grandmother and it is really the only thing I could do that would make me happy. Thanks again. Pattie

You will need to research what agency is responsible for licensing in your area. In my area, it is the state Department of Licensing (the same agency that oversees driver's licenses) but different agencies may be responsible in different locations - it could very well be that a more local municipality will control this process. And I'd be sure to check with your local municipality just to confirm that operating a business from your home is kosher regardless of zoning and that there are not additional licensing requirements for such over and above just a business and nursery license. Googling your state and business licensing requirements should get you started in the right direction.

You should also contact your state department of agriculture because there is some regulation of plant materials going in or out of certain states. There are problems with disease or invasiveness where there is potential harm to crops or something else that can be very costly and harmful.

Thanks gardengal and laag, I am looking into how to get a business and growers license now. Hope to be able to get started soon.
Pattie

You likely will need a sales tax license too - check your state laws for that.

Talk with others in the same industry. You will be surprized how they may help.
County extension office may provide some help.
State Agriculture - License to raise and grow plants - before you apply read the regulations. They may want to inspect your growing or storing location.
Every state is different.

Thanks watergal and plantman,
I did find an application to apply for inspection and that will be my first step so, I can get my growers permit. Is there any other info I may need? Thanks so much for advice.
Pattie

I'm always happy for folks that want to get into the green business. You've already received good info on obtaining a license. I've written some articles about my nursery. Maybe some of them will help you. It would be a good idea to get involved with a growers association like "The Perennial Plant Association". They are a wealth of information.

Here is a link that might be useful: A Schedule of a Nurserywoman

"They are a wealth of information." As is your site, Herblady. Thank you for putting that up and maintaining it.

I agree with knittlin, thank you herblady. I have already bookmarked your site so I can reference it.
Pattie

Dear herblady,
thank you so much.
I've been enjoying your site for hours and feel so hopeful again.
your kindness in sharing such fantastic information is inspiring.
i just can't thank you enough.
you are wonderful :)!!!!
Laura