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The City of Arlington does not require a general business license — but that does not mean your LLC can open without any compliance obligations. Texas state filings (franchise tax and sales tax permit) apply to every Texas LLC, and depending on your industry and physical location, the City of Arlington and Tarrant County have specific permit requirements you must satisfy before opening to the public.

Step 1: Know that Texas has no general state business license

Texas does not require a general state-level business license to begin operating. Compliance is handled through specific tax registrations and, for certain industries, state-issued professional or occupational licenses.

What every Texas LLC must do regardless of city:

  • Texas Franchise Tax — filed with the Comptroller by May 15 each year, even if you owe nothing. The 2026 no-tax-due threshold is $2,650,000 in annualized total revenue. See our franchise tax guide.
  • Public Information Report (Form 05-102) — filed alongside your franchise tax return every May 15. Required even if you owe zero in tax. See our PIR guide.
  • Texas Sales Tax Permit — required if your business sells taxable goods or services in Texas. Free to apply through the Texas Comptroller's portal.

Common mistake: Many new business owners assume "no general license" means "no compliance required." Texas LLCs still face a $50 late fee per missed franchise tax return, plus potential forfeiture of the LLC's right to do business in Texas.

Step 2: Determine whether you need a Certificate of Occupancy

If your Arlington LLC occupies any commercial space — storefront, office, restaurant, warehouse, or studio — you almost certainly need a Certificate of Occupancy (CO) from the City of Arlington before opening to customers. The CO confirms that your space meets Arlington's building, fire, and zoning codes for your intended use.

How to get a CO in Arlington:

  1. Visit Arlington Development Services at arlingtontx.gov/developmentservices — this is the City's central portal for building permits, inspections, and occupancy certificates.
  2. Apply for a CO or change-of-use permit if you are moving into an existing commercial space or changing how a space is used (for example, converting office space to a retail storefront). Submit your business address, the intended use, and any planned tenant improvements.
  3. Pass a building inspection — a City of Arlington inspector will verify fire safety, structural integrity, accessibility compliance, and code requirements for your specific business type.
  4. Receive your Certificate of Occupancy — once the inspection passes, the City issues the CO. Post it visibly on-site.

Home-based businesses generally do not need a CO, but may need a Home Occupation Permit from Arlington Development Services if customers visit the home, you employ people at the home, or the business generates significant traffic or deliveries. Check Arlington's zoning ordinance for your specific address.

Estimated time: 2–6 weeks depending on permit type, inspection scheduling, and whether corrections to the space are required.

Step 3: Check industry-specific Arlington and Tarrant County permits

Arlington has no general business license, but specific industries require permits from the City of Arlington or Tarrant County:

Food and beverage businesses:

  • A Food Establishment Permit from the City of Arlington's Environmental Health Division is required for any food service operation within Arlington city limits. Fees vary by business type, seating capacity, and risk category.
  • Restaurants, food trucks, and catering businesses must pass a health inspection before opening and maintain their permit with annual renewals. Contact Arlington's Environmental Health Division through arlingtontx.gov to obtain the correct permit application for your business type.
  • Food trucks additionally need a mobile food vendor permit and must operate from an approved commissary kitchen. Arlington administers mobile food vendor permits separately from fixed-location food establishment permits.
  • For businesses located in unincorporated Tarrant County (outside Arlington city limits), food permitting falls under Tarrant County Public Health.

Alcohol sales:

  • Selling or serving alcohol requires a TABC permit from the Texas Alcoholic Beverage Commission — a state license applied for at tabc.texas.gov. The City of Arlington does not issue a separate local liquor license, but some Arlington zoning districts have special restrictions on alcohol sales near schools, churches, or residential areas.

Contractors and trades:

  • Electricians, plumbers, and HVAC technicians need state licenses from the Texas Department of Licensing and Regulation (TDLR). Contractors must also obtain city permits for each individual project within Arlington city limits through Arlington Development Services.
  • General contractors performing construction or renovation work in Arlington must pull project-specific building permits through Arlington Development Services before starting any work.

Signs and exterior improvements:

  • Any exterior business sign in Arlington requires a Sign Permit from Arlington Development Services before installation. Arlington enforces sign regulations covering height, size, illumination, and placement relative to streets and property lines.

Common mistake: Assuming your Texas state license (TABC, TDLR) covers Arlington city requirements. Contractors still need to pull individual city permits for each project through Arlington Development Services. State licensing and city permitting are separate processes.

Step 4: Register employer accounts if you have employees

If your Arlington LLC hires W-2 employees, two additional state-level obligations apply:

  • Unemployment Insurance (UI) Tax — register with the Texas Workforce Commission (TWC) and file quarterly wage reports. New employers pay approximately 2.7%. Reports are due April 30, July 31, October 31, and January 31. See our UI tax guide.
  • New Hire Reporting — report each new hire to the Texas Attorney General's Office within 20 days of their start date. See our new hire reporting guide.

Texas has no state income tax withholding, so there is no state employee income tax to manage.

Step 5: Keep your registered agent current

All Texas LLCs must maintain a registered agent with a physical Texas address at all times. Your registered agent receives official legal and tax notices, including lawsuit service and letters from the Comptroller. If your agent moves, resigns, or becomes unreachable without a replacement on file, you risk missing critical compliance deadlines.

Update your registered agent by filing Form 401 with the Texas Secretary of State. See our registered agent guide for full requirements and instructions.

Quick reference

DetailInfo
General city licenseNot required in Arlington
Certificate of OccupancyRequired for commercial spaces — Arlington Development Services
Home Occupation PermitMay be required for home-based businesses with customers or employees
Food PermitArlington Environmental Health Division
Franchise TaxDue May 15 annually — Texas Comptroller
Sales Tax PermitRequired if selling taxable goods/services — free to apply
TABC PermitRequired for alcohol sales — state level, tabc.texas.gov
Contractor PermitsArlington Development Services — per-project city permits required
Permits Portalarlingtontx.gov/developmentservices
State Filings Portalcomptroller.texas.gov

FAQ

Does Arlington Texas require a general business license?

No. The City of Arlington does not require a general business license for most businesses. What you need depends on your industry and whether you occupy a commercial space within city limits. However, all Arlington LLCs still owe Texas state filings — franchise tax and Public Information Report — due every May 15.

How do I get a Certificate of Occupancy in Arlington Texas?

Apply through Arlington Development Services at arlingtontx.gov/developmentservices. After your commercial space passes a city inspection, Arlington issues a Certificate of Occupancy. Most businesses opening a physical location in Arlington need a CO before welcoming customers or employees on-site.

What permits does the City of Arlington require for a new business?

It depends on your business type. Common Arlington permits include a Certificate of Occupancy for commercial spaces, a food establishment permit from Arlington's Environmental Health Division for food businesses, a TABC permit for alcohol sales, and sign permits for exterior signage. Home-based businesses with customers or employees on-site may need a Home Occupation Permit.

What state filings does an Arlington Texas LLC need?

All Texas LLCs must file a franchise tax report and Public Information Report with the Texas Comptroller by May 15 each year — even with zero revenue. If you sell taxable goods or services, you also need a free Texas Sales Tax Permit. See our Texas LLC compliance checklist for the full list.

What happens if I open my Arlington business without required permits?

Operating without required permits can result in fines from the City of Arlington, a stop-work order, or forced closure. Food businesses operating without a health permit face immediate shutdown by Arlington's Environmental Health inspectors. For commercial spaces, missing a Certificate of Occupancy can result in city enforcement action and potential lease complications.


Disclaimer: This page is for general informational purposes only and does not constitute legal or tax advice. Permit requirements change — always verify current requirements directly with Arlington Development Services, Arlington Environmental Health, and the Texas Comptroller before acting.


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Last verified: 2026-06-08

Sources: City of Arlington Development Services | Tarrant County Public Health | Texas Comptroller — Franchise Tax | Texas Comptroller — Sales Tax | Texas Workforce Commission | Texas Alcoholic Beverage Commission