I'm forming a single-member LLC in Connecticut to sell handmade jewelry online. My products are only sold through my website and occasionally at craft fairs in-state. Do I need a local business license from my town or city, or is the LLC registration enough? I've tried searching but get conflicting info about Connecticut and online sales.
LLC licensing
Does a Connecticut LLC need a local business license to sell online?
Connecticut doesn't have a general state business license for most retail. But your town might require a local permit. I'd call your town clerk and ask specifically about home-based retail or e-commerce. Also check if your craft fair sales require a transient vendor permit.
I sell online from CT too. No local license for me, but I'm in a fairly rural town. What town are you in? That matters a lot.
I'm in a suburb outside Hartford. I'll check with the town clerk. Thanks for the tip about transient vendor permits — I hadn't thought of that for the craft fairs.
Most people conflate a business license with a sales tax permit. Connecticut requires a sales and use tax permit if you sell taxable goods, which jewelry usually is. That's through DRS, not your town. Look into that separately from any local licensing.
I'd second the DRS permit. You need it before you make sales, and they can charge penalties. The local license question is really town-by-town. Some towns require a home occupation permit evne if you're online only.
Have you checked your zoning? If you're operating from home, some CT towns treat any business activity as a home occupation that needs approval. Online-only might fly under the radar, but if you get a complaint it's a headachhe. Zoning enforcement is separate from a business license.
This is why I asked about the town. In my area the clerk said no license, but zoning still applie. Two different offices, two different answers. Call both.
One more thing: if you ever hire someone or open a physical space, the licensing picture changes. For now, though, I'd focus on the sales tax permit and a call to the town. The LLC registration itself doesn't grant you any license to operate.
Also, if you're selling at craft fairs, some venues require you to show a CT sales tax permit before they'll let you vend. It's not a local business license but it's often treated like one by event organizers.
Just be aware that some towns charge a fee for a home occupation permit and might require a site plan or neighbor notice. It can be a few hundred dollars depending on the town. Worth asking upfront.
And if the town says no permit needed, get that in writing or at least note who you spoke with and when. It's helpful if anything comes up later.