How to Start an Online Business in Florida

Starting an online business in Florida involves more paperwork than most sellers expect, but very little of it is complicated. The short answer to the most common question, "do I need a business license to sell online in Florida," is that Florida does not issue a general state business license, and there is no separate state online business license either. Whether you need anything else depends on what you sell, where you operate, and whether your city or county levies a local business tax. This guide walks through the steps in the order most sellers handle them, with the agencies, fees, and deadlines you will deal with along the way.

Disclaimer: This article is informational only and is not legal or tax advice. If your situation involves inventory held in multiple states, a regulated product, employees, or significant revenue, speak with a qualified Florida attorney or CPA before you file.

What You Need Before You Start

Gather these items before you begin so you are not stopping partway through a filing:

• Your chosen business name, checked against the Sunbiz business search
• A Florida street address for your registered agent (a P.O. box is not accepted)
• A payment card for state filing fees, which are paid through Sunbiz eFile
• A federal Employer Identification Number (EIN) from the IRS, which banks and tax filings commonly request
• A separate business bank account and a simple bookkeeping system
• A written list of every product or service you plan to sell, so you can check which ones are taxable

Step 1: Choose Your Business Structure

Your structure decides which state filings you owe and how much personal liability you carry. The three common options for an online seller are:

• Sole proprietorship. No state formation filing is required. If you sell under a name other than your own, you need a fictitious name registration (see Step 4).
• Limited liability company (LLC). Formed by filing Articles of Organization for $125 in required fees ($100 filing plus the $25 registered agent designation). An LLC generally separates your personal assets from business debts, which is why many online sellers choose it.
• Corporation. Formed by filing Articles of Incorporation for a Florida profit corporation for $70 in required fees ($35 filing plus the $35 registered agent designation). A corporation is taxed at the entity level, which adds complexity for small sellers.

Florida has no personal income tax. An LLC classified as a partnership or disregarded entity for federal tax purposes generally does not file a Florida corporate income tax return. However, a Florida Partnership Information Return is required if one or more owners is a corporation, and any corporate owner must file its own Florida return. An LLC classified as a corporation for federal tax purposes pays the 5.5% Florida corporate income/franchise tax. Confirm your federal classification and Florida filing duties with a CPA.

Step 2: Check and Reserve Your Business Name

Search the Florida Department of State database on Sunbiz before you commit to a name. The name must be distinguishable from names already on record. An LLC name must end with "Limited Liability Company," "LLC," or "L.L.C." Do not assume a name is approved until you receive a filing acknowledgment.

If you need time to finish your paperwork, you can reserve a name for 120 days for a $25 fee. Reservation details are on the Division of Corporations FAQ page.

Step 3: File Your Formation Documents

Form your LLC or corporation through Sunbiz eFile. Your filing includes the formation fee and the registered agent designation, and the agent must sign to accept the appointment. A registered agent needs a physical Florida street address, and an entity cannot serve as its own agent, though an individual owner or officer can. The registered agent designation costs $25 for an LLC and $35 for a corporation, and changing the agent later costs the same amount.

The Division publishes no guaranteed turnaround time and offers no expedited service. It states that online filings are processed in the order received, and that images of electronically filed documents post within 3 business days of processing. If you need to file in person, walk-in service is available at 2415 N. Monroe Street, Suite 810, Tallahassee, Monday to Friday, 8am to 5pm, where most requests are completed while you wait.

Step 4: Register a Fictitious Name if You Sell Under a Brand

If you sell under a brand name that is not your legal name or your LLC's registered name, you must register a fictitious name. Registration is filed with the Florida Department of State, Division of Corporations, statewide, not with your county. It costs $50 to register and $50 to renew. The registration is valid for 5 years and expires on December 31 of the fifth year. Renewal is filed between July 1 and December 31 of the expiration year.

The name must also be advertised at least once in a newspaper in the county where your principal place of business is located. No proof of advertisement is filed with the state, but the requirement still applies. Start at the fictitious name registration page.

Step 5: Answer the Business License Question for Your Products

This is where most sellers get confused, so break it into three parts.

No state general license. Florida issues no general statewide business license, so you do not need a state license simply because you sell on a website or marketplace.

Profession or trade licenses. The Department of Business and Professional Regulation (DBPR) licenses specific professions and trades, such as certain contractor, cosmetology, or restaurant activities. If your product or service falls into a regulated category, you may need a DBPR license before you sell. Confirm this with DBPR for your specific activity.

Local business tax receipt. Many Florida cities and counties require a local Business Tax Receipt for the address where you operate. Under Chapter 205 of the Florida Statutes, this is a local tax, not a competency license, and not every county or city levies one. Check with your county or city office about whether your address requires one and what it costs.

Home-based sellers have a useful protection here. Home-based businesses owe only the county and municipal business tax under Chapter 205 and may not be regulated differently from other businesses (s. 559.955). Parking, signage, noise, and homeowners association rules still apply, so read your HOA covenants before you start.

The direct answer to "do I need a business license to sell online in Florida" is usually no state license, possibly a DBPR license for a regulated product, and possibly a local business tax receipt for your address.

Step 6: Register for Florida Sales Tax

Any business that sells taxable goods or services must register as a sales and use tax dealer with the Florida Department of Revenue before it begins business. Register through the Department of Revenue registration page. Florida's state sales tax rate is 6%. Some counties add local discretionary surtaxes, so the total rate can be higher, and you should confirm the rate for each county you ship to with the Department of Revenue.

Do not assume an item is exempt. Whether a specific product or service is taxable is a question for the Department of Revenue, and a wrong assumption is one of the most expensive mistakes a new seller can make.

Step 7: Understand Florida Ecommerce Sales Tax

Florida ecommerce sales tax depends on where you are located and how you sell. Three rules matter most:

1. Florida sellers register and collect tax on the taxable sales they make.
2. Out-of-state remote sellers must collect Florida sales tax on taxable shipments into Florida once their Florida sales exceed $100,000 in the previous calendar year (s. 212.0596). Below that threshold, confirm your obligations with the Department of Revenue before you assume you owe nothing.
3. Marketplace facilitators collect tax for their sellers on sales made through their platforms. Both the remote seller rule and the marketplace facilitator rule have applied since July 1, 2021 (ch. 2021-2).

Step 8: Evaluate Amazon FBA for Florida Sellers

Fulfillment by Amazon (FBA) means you send inventory to Amazon fulfillment centers, and Amazon picks, packs, ships, and handles customer service for those orders. Amazon publishes its fee schedules on its seller pages. This guide does not list those fees, so confirm current amounts there before you price a product.

On the tax side, sales made through Amazon fall under the marketplace facilitator rule in Step 7, so Amazon collects Florida sales tax on those orders. Three issues still need your attention:

• Sales you make outside Amazon, such as through your own website, remain your responsibility.
• Inventory stored in a Florida fulfillment center or in another state can create a tax filing obligation for you as the seller. Ask the Department of Revenue and a CPA before you ship inventory into any state.
• Keep your business name, EIN, and sales tax information consistent with what you give Amazon when you open the account.

Step 9: Set Up Your Records and Filing Calendar

Before your first sale, set up your storefront, payment processor, and records. Track sales by date, product, and shipping state so you can answer sales tax questions later. Then calendar your recurring obligations:

• LLC annual report: file between January 1 and May 1 each year for $138.75. A $400 late fee applies to reports received after May 1, for a total of $538.75. Failure to file by the third Friday in September leads to administrative dissolution.
• Corporation annual report: file between January 1 and May 1 each year for $150. A $400 late fee applies after May 1, for a total of $550.
• Sales tax returns: confirm your filing frequency and due dates with the Department of Revenue after you register.
• Corporate income tax: if your entity is taxed as a corporation, 5.5% of Florida net income applies for tax years beginning on or after January 1, 2022.

Tips for Success

• Ask your county or city office about the local Business Tax Receipt before you buy inventory, not after.
• Keep one folder with your filing acknowledgments, EIN letter, sales tax registration, and annual report confirmations.
• Set your prices after you know your sales tax and marketplace fees, so checkout totals are not a surprise.
• For planning help, the Florida SBDC Network and the SBA South Florida district both offer business guidance.

Common Mistakes to Avoid

• Assuming a name is available because you searched it once. Wait for your filing acknowledgment.
• Using a P.O. box as the registered agent address. Florida requires a physical street address.
• Missing the May 1 annual report deadline. The $400 late fee is added on top of the $138.75 fee.
• Assuming every product is exempt from sales tax, or that a marketplace handles all of your sales tax duties.
• Ignoring out-of-state sales growth. Track your Florida sales so you know when you pass $100,000 in a calendar year.
• Skipping the local Business Tax Receipt check because no state license was required.
• Selling under a brand name without a fictitious name registration, or without the county newspaper advertisement.

Expected Results

Sellers who complete these steps typically end up with a formed entity, a sales tax registration if their products require one, a fictitious name on file if they use a brand, and a calendar of filings they can maintain. Sales volume, margins, and marketplace performance depend on your product, pricing, competition, and marketing, and no state filing can promise any of them. Expect most of your setup time to go to sales tax and marketplace configuration rather than the state filing itself.

Official Florida Resources

• Florida Department of State, Division of Corporations (Sunbiz)
• Florida Department of Revenue
• Florida SBDC Network

Next Steps

Once your entity and sales tax registration are in place, confirm any DBPR and local requirements for your product categories, then finish setting up your storefront. For complex structures, multistate inventory, or sales approaching the $100,000 threshold, consult a qualified Florida attorney and a CPA. This article is informational, not legal or tax advice.