Minnesota Occupational Licensing: DLI, MDH, MDA and the State Boards Explained
Minnesota Occupational Licensing: DLI, MDH, MDA and the State Boards Explained
If you are starting a business in Minnesota, you may expect one state license that covers the whole operation. There isn't one. Minnesota has no general statewide business license. The state licenses by trade and activity instead, so different parts of your business may sit with different agencies, boards and local governments. A restaurant, a roofing company and a child care center each face their own rules, and forming an LLC covers none of them.
This guide explains which agency handles which activity, how to run a minnesota license lookup, and where state requirements end and city or county requirements begin.
Informational content only. This article is not legal or tax advice. Licensing rules, fees and deadlines change. Confirm every requirement with the agency or local government that administers it, and talk with a qualified attorney or CPA before making decisions about a complex business structure, a tax position or a regulated activity.
Filing with the Secretary of State is a filing, not a license
Many first-time owners treat the Secretary of State filing as their license. It is not. Forming an entity gives your business legal existence, but it does not authorize any regulated activity. Three separate steps are involved, and each is a different kind of paperwork.
- Entity formation. Articles of Organization for an LLC cost $155 filed online or in person, or $135 by mail, through the Minnesota Secretary of State. A corporation files Articles of Incorporation with the same $155 filing fee. Neither requires newspaper publication. An LLC then files an Annual Renewal each year. It costs $0 and is due December 31. Missing that date results in termination or revocation of the LLC without further notice. On the current Secretary of State fee schedule, reinstatement costs $65 by mail or $85 online or in person. Check these figures on the Secretary of State site before you pay.
- Tax registration. Register with the Minnesota Department of Revenue for a Minnesota Tax ID and a Sales and Use Tax account before you make taxable sales. This is a tax account, not a license. The state sales tax rate is 6.875 percent, and local taxes are added on top. A C corporation pays a 9.8 percent corporation franchise tax, and an LLC that files federally as a C corporation pays the same tax. A separate minimum fee under Minn. Stat. 290.0922 applies to C corporations, S corporations and partnerships, while single member LLCs that report only on the member's individual return are exempt. Confirm how the minimum fee applies to your entity with the Department of Revenue or a CPA.
- Assumed name. If you operate under a name other than your legal name, file a Certificate of Assumed Name, also called a DBA, with the Secretary of State. It costs $50 online or in person, or $30 by mail. After filing, the certificate must be published for two consecutive issues in the legal notices section of a qualified legal newspaper in the county of your principal place of business. Failure to publish may render the certificate invalid. The certificate must be renewed each year at no charge. DBAs are filed only with the Secretary of State, not with cities or counties.
If a search for a minnesota license lookup returns nothing under your business name, that is expected. The Secretary of State business search shows whether an entity is on file. It does not list the trades you are allowed to practice.
How to run a Minnesota license lookup
The state's central tool is License Minnesota at mn.gov/elicense. It is the best starting point for any minnesota license lookup because it covers licenses across many agencies. You can browse it three ways:
- By topic, when you know the activity, such as food, construction, child care or cannabis.
- By agency, when you already know which regulator oversees your work.
- By the A to Z index, when you know the name of a license but not the agency behind it.
Search by what the business actually does. A regulated activity such as tattoo work or pesticide application is easier to find than a general job title. Build a list of every activity your business performs, run each one through the lookup, and record the agency and license name for each result. Then open that agency's page for the application, fees, bonds, training and renewal terms. The lookup tells you what to check. It does not tell you whether you qualify.
License Minnesota covers state licensing. Local licenses are handled separately, and you will check those later in this process.
Which agency licenses what
The table below maps the main state agencies and boards to the activities they regulate. It is a starting map, not a complete list. Many licenses carry their own conditions, and those appear on the agency page.
| Agency or board | What it covers |
|---|---|
| Department of Labor and Industry (DLI) | Residential contractors and roofers, electrical, plumbing, boilers and elevators. Minnesota has no separate state HVAC license. The state requirement for that work is a $25,000 mechanical contractor bond filed with DLI, so confirm with DLI which requirements apply to your work. |
| Minnesota Department of Health (MDH) | Restaurants and lodging, unless a city or county holds delegation for them. Also tattoo, home care, assisted living and wells. |
| Minnesota Department of Agriculture (MDA) | Retail food and pesticide applicators. Tree care requires a $25 registration under Minn. Stat. 18G.07. That is a registration, not a license. |
| Alcohol and Gambling Enforcement Division (AGED) | State liquor licenses and approvals. Cities issue retail on-sale and off-sale liquor licenses. |
| Office of Cannabis Management (OCM) | Cannabis businesses and lower-potency hemp edible businesses. |
| Department of Children, Youth, and Families (DCYF) | Child care. |
| Minnesota Department of Commerce | Real estate and insurance. |
| Board of Cosmetologist Examiners and Board of Barber Examiners | Cosmetology and barbering. |
| Secretary of State | Notary public commissions. |
| Gambling Control Board | Lawful gambling. Licensed organizations are nonprofits. |
| Minnesota Department of Transportation (MnDOT) and Driver and Vehicle Services (DVS) | Transportation-related credentials and permits. Check the lookup for the ones that apply to your trade. |
The requirements behind these licenses vary. Training, examinations, bonds and renewal cycles differ by agency and by license type, and this guide does not state them as settled figures. Read the agency page for each license you find.
Where the state stops and the city begins
State licenses cover the activity. Local government covers the place. Even after you hold every state license, you may still need local approvals before you can open or operate at a given address.
- Zoning. Confirm that your use is allowed at the property. Rural properties may fall under township or county zoning rather than a city's zoning. Minnesota has about 1,780 townships, so the local authority depends on the exact address.
- Certificate of occupancy. Where the local government requires one, you will need it before occupying a building or changing its use. Ask the building official for the city or county that covers the property.
- City category licenses. Cities license businesses by category, and the categories that apply depend on your activity. Liquor is one example.
Minneapolis and Saint Paul both license by category. Neither city issues a general business license, so a business in either city still needs each category license that applies to its work. Minnesota has 87 counties and about 853 cities, and each one sets its own rules. Check the city or county website, or call the clerk, before you sign a lease.
Consider a restaurant that serves food and beer. The food side generally falls under MDH, unless the city or county holds delegation for restaurants. AGED handles state liquor licenses and approvals, while the city issues the retail on-sale license. The city also handles zoning and occupancy for the building. One business can therefore need approvals from three levels of government. Confirm each one before you sign a lease or buy equipment.
A practical order of operations
- Check the name. Search the Secretary of State business records. An LLC name must contain 'limited liability company' or 'LLC' and cannot contain 'corporation' or 'incorporated'. A name reservation costs $55 and lasts 12 months, renewable in additional 12 month periods.
- File the entity with the Secretary of State, and calendar the LLC Annual Renewal for December 31.
- Register with the Department of Revenue for a Minnesota Tax ID and a Sales and Use Tax account before any taxable sale.
- Run the minnesota license lookup for every activity, and record the agency and license name for each result.
- Read each agency page and confirm the fees, bonds, training and renewal dates. If a figure is not in this guide, confirm it on the agency page before you pay.
- Check local requirements for the exact address, including zoning, certificate of occupancy and city or county category licenses.
Free help and professional review
The Minnesota Small Business Development Center Network, administered by the Minnesota Department of Employment and Economic Development, offers business advising at mn.gov/deed/business/help/sbdc/. The U.S. Small Business Administration lists its Minnesota resources at sba.gov/district/minnesota.
Bring an attorney into your entity choice and any contract or liability question. Bring a CPA into the tax treatment, especially if you are weighing LLC tax classifications or a C corporation. Licensing rules depend on the activity and the address, so a short review before you open can prevent a costly correction later.
This guide is informational content, not legal or tax advice.