Starting a Business in Minnesota: Licenses, Registrations & Checklist

Minnesota start-up checklist

Register for state taxes with Minnesota Department of Revenue. Official page
Business-level tax: Corporate franchise tax; fixed-dollar minimum fee on pass-through entities.
Sales tax: get a Minnesota sales tax permit (Minnesota Tax ID) from Minnesota Department of Revenue before you sell taxable goods. Official page
Remote sellers must register once sales into the state pass $100,000 a year.
Local sales taxes are collected through the state return.
If you have employees, withhold Minnesota income tax from wages and register for withholding. Official page

Register for unemployment insurance with Minnesota DEED Unemployment Insurance. The 2026 taxable wage base is $44,000 per employee; experience-rated rates run from 0.4% to 9.3%. Official page
Workers' compensation through Minnesota Department of Labor and Industry and private insurers. Required when: 1 employee
Minnesota Paid Leave premiums (Minnesota DEED Paid Leave). Applies from 1 employee.
Paid sick leave is required statewide from 1 employee.
Post the required labor notices at your workplace. Official page

File Annual Renewal (LLCs, corporations and nonprofits, limited partnerships): every year by December 31; no fee.
File Annual Renewal (limited liability partnerships): every year by December 31; fee $155 online, $135 on paper.
State tax returns and payments (sales, withholding, unemployment) follow the schedule your agency assigns when you register.

Business filings and annual reports: Minnesota Secretary of State. Official page
Taxes: Minnesota Department of Revenue. Official page
Unemployment insurance and labor rules: Minnesota DEED Unemployment Insurance. Official page
Workers' compensation: Minnesota Department of Labor and Industry.
Contractor licensing: Minnesota Department of Labor and Industry (residential building contractor license).
Real estate licensing: Minnesota Department of Commerce.
Alcohol licensing: Minnesota Alcohol and Gambling Enforcement Division (with city licensing).
Child care licensing: Minnesota Department of Children, Youth, and Families.
Health facility licensing: Minnesota Department of Health.

City business licenses (City clerk): Minnesota cities license specific activities; no general state-wide business license.
Cannabis: adult-use licensing, regulated by Minnesota Office of Cannabis Management.

Checked against official sources on October 13, 2026. Rules change; confirm each item with its agency.

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