How to Start a Business in Richmond, Virginia: A Step-by-Step Guide
Starting a business can feel overwhelming, especially when you’re trying to figure out what matters and where to begin.This guide walks you through the essential steps, explains why they matter, and helps you build a foundation that is compliant, organized, and positioned for steady growth.
Step 1: Choose a Business Structure in Virginia
Your business structure determines your legal liability and how you are taxed. Most small business owners in Richmond choose an LLC for liability protection and simplicity. Other options include sole proprietor, partnership, cooperative (co-op), non-profit and c corporation.
Step 2: Register an LLC with the Virginia State Corporation Commission (SCC)
To file, you’ll need a Registered Agent with a Virginia street address, (this can be you!) First time registration is $100 and annual renewal is $50.
Step 3: Apply for an EIN (Employer Identification Number)
An EIN is issued by the IRS and identifies your business for tax purposes. Applying for an EIN through the IRS website is free.
Step 4: Obtain a Richmond Certificate of Zoning Compliance (CZC)
Before operating in Richmond, most businesses must obtain a Certificate of Zoning Compliance (CZC). A CZC confirms your business activity is permitted at your specific address. Zoning fees vary depending on property type and business activity. Approval timelines vary and may take several weeks. Without zoning approval, Richmond will not issue a business license.
Step 5: Register for a Richmond Business License (BPOL)
BPOL stands for Business, Professional, and Occupational License. Most businesses operating in the City of Richmond must register for BPOL. Even small or home-based businesses generally need BPOL registration. As of 2026, businesses with gross receipts that fall between $5,000 and $500,000 pay annual fee of $30 for BPOL.
Step 6: Step 6: Open a Business Bank Account
After forming your LLC and obtaining an EIN, open a separate business bank account. This allows you to separate business and personal finances, track income and expenses clearly, and simplify tax reporting. Mixing personal and business funds can create accounting and liability issues.
Other Considerations
Operating Agreement
Business Insurance
Systems
Systems determine how you manage inquiries, deliver services, track finances, communicate with clients, and protect your time. Sustainable growth depends on structure behind the scenes.
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The information provided on this page is for educational purposes only and does not constitute legal, tax, or financial advice. Use of these resources does not create a client relationship. Laws and regulations vary by state and may change. You are responsible for verifying information before making business decisions. No guarantees of results are made or implied.