How To Verify Someone's Business License

Local, state, or federal governments would typically require an individual to acquire specific permits or licenses before he can start a business and have it running. The reason for this requirement is basically to ensure that every commercial venture would satisfy the standards concerned in relation to the business that he is about to enter. This means that a business should have people sufficiently educated to perform services that are being offered or that it should be properly equipped in order to provide the products being sold. Nonetheless, before entering into an engagement or agreement with a supposedly established business, it is recommended that you verify whether such business’s license is valid. Below are a few tips to consider in doing so.

  • Know where the business is established. First, it is important to know the place or state in which an individual is operating his business. However, there are cases wherein state lines are being crossed with respect to the activities of a business. If you are not sure, it is advised that apart from the current address, you also check the previous address of that business.
  • Know which licensing body is involved. The simplest way to do this is by visiting the website of the State Secretary where links concerning business license are provided. The reason for this step is that not all states have the same name when it comes to the licensing body. In others, such body is called the Consumer Affairs department while in others, the licensing body is called Division of Corporations or Professional Regulation department.
  • Conduct a search by different parameters. Most of the time, the websites of licensing bodies provide a search function wherein you can type in different parameters in order to look for the business and eventually verify the validity of its license.
  • One parameter would be the license number. This is probably the fastest way to determine whether a license is current, valid and assigned to that particular individual whose business you are checking. If inputting the number does not yield any result, this means that no license with such number exists.
  • Another parameter would be the license type of the business. Such option would often provide a dropdown menu where in you can select the kind of business involved. This parameter will greatly narrow down your search.
  • You can also check the license by inputting the name of the owner of the business instead. However, this option would be quite tedious if in case the owner’s name is very common. A search would definitely yield a lot of results.

You are more likely to find the business license that you are looking for and verify its validity when you have more information about it. Remember that entering into deals with untrustworthy businesses only yield results that are frustrating. More so, they often lead to dead ends. It is a given that in every business venture, there is a corresponding risk. But this does not mean that you cannot lessen such risk. Dealing with legitimate and trustworthy businesses with proper documentation, licenses and permits would definitely lessen the possibility of a commercial venture that is unsuccessful.


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