Starting a service business in Florida comes down to four things: picking a structure, registering with the state, getting licensed for your trade, and setting up a way to bill customers. Filing an LLC in FL costs $125, ongoing reporting is $138.75/yr, sales tax is 6% + local, and personal income tax runs No personal income tax. Below is the full sequence, the fees you should budget for, the licenses most trades need, and the deadlines that catch new Florida owners off guard.
Most new registrations come out of Jacksonville, Miami, Tampa and the rest of Florida — local business licenses are issued at the city or county level, so check yours after the state filing clears.
| Item | FL cost |
|---|---|
| LLC / entity filing (one-time) | $125 |
| Annual / periodic report | $138.75/yr |
| Federal EIN (IRS) | Free |
| Sales tax registration | Typically free |
| Trade / professional license | Varies by trade |
| Local business license | Set by city / county |
Fees change — confirm current amounts with the FL Secretary of State and the Florida Department of Revenue.
Choose your structure and file with the FL Secretary of State ($125). Get your free EIN from the IRS the same day.
Register for Florida sales tax with the Florida Department of Revenue, then open a business bank account under the registered name.
Apply for your trade license and local business license. This is usually the longest step: Sales tax certificate (free); Local business tax receipt.
Get general liability insurance (and workers' comp before your first hire), then set up estimates and invoicing so you can bill the day you're cleared to work.
LLC Filing Fee
$125
Annual Report
$138.75/yr
Sales Tax
6% + local
Income Tax
No personal income tax
Choose your business structure
Register with Florida Division of Corporations (Sunbiz)
Get a federal EIN
Register for Florida sales tax
Get local business tax receipts
Get professional licenses if needed
Open a business bank account
Get business insurance
Florida has no personal income tax — keep more of your profits
Annual reports are due by May 1st — $400 late fee!
Most counties require a local business tax receipt
Contractors need a state license through DBPR
No personal income tax. Corporations pay 5.5% on income over $50,000.
May 1st every year. The late fee is $400, so don't miss it!
Online LLC filings with the FL Secretary of State are typically processed in a few business days, and an EIN from the IRS is issued immediately online. Trade licensing and local permits usually take longest — plan on two to six weeks before you're fully cleared to work, depending on your trade.
No — you can operate as a sole proprietor in Florida and still invoice customers legally. An LLC ($125 to file, $138.75/yr) separates your personal assets from business liability, which matters most once you're on customer property, hiring help, or signing contracts.
Florida sales tax is 6% + local. Materials and goods are commonly taxable, while labor treatment depends on the type of work, so bill parts and labor as separate lines and register with the Florida Department of Revenue before you start collecting.
Open a business bank account under the registered name, then invoice from a tool that applies FL tax per line item and accepts cards. Glo Invoice sends invoices by text with a one-tap pay link, and Tap to Pay lets you charge on site before you leave the job.