Business Licenses
Any person operating a business within the City of South Gate, even if your business is not located in town, must obtain a business license and comply with all provisions of the Municipal Code, Title 2. Only businesses specifically exempted by State or Federal statute are not required to obtain a business license.
Business licenses are non-transferable and the certificate is terminated if a business ownership changes. Please advise the Business License Office if you move out of town or go out of business.
For additional information, please contact the Business License Office at 323-563-9545.
Obtaining a Business License
Prior to obtaining a business license, you may need to obtain a resale number from the State Board of Equalization, conduct a Fictitious Name Filing and obtain your federal and state employer ID numbers as required by law. This information may be obtained from the State Board of Equalization, 12440 E. Imperial Highway, Suite 200, Norwalk, CA 90650-8397, phone number 562-466-1694.
To obtain a license for a new business, you must complete an application form available in the Business License Office at City Hall. The processing of new licenses is available during the hours of 7:00-11:30 a.m. and 1:30-5:00 p.m. Monday through Thursday. A non-refundable processing fee will be charged, which will be applied to your business license fee upon approval.
All portions of the application form must be completed. It is important to state whether your business is owned by you, or whether it is a partnership, corporation, or other form of ownership. Prior to obtaining a license, the business must have the approval of the Planning Office.
Contractor Business Licenses require the contractor license number and a valid California ID. Contractor licenses are issued on a calendar year basis and pro-rated beginning October 1st. Individuals acting as an agent for the contractor must have a valid California ID and a current notarized letter signed by the owner/officer of the business.
To review the application form, click here.
Business License Tax/Fee
Most businesses are required to pay a license tax/fee, which is calculated based upon the type of business and the amount of gross receipts. A base tax is charged and added to the amount of gross receipts that were calculated for the previous year. For a detailed listing of business license rates click here.
Business licenses are issued for a twelve (12)-month period, with most commencing on July 1st of each year and ending on June 30th of the following year. Some licenses are issued on a calendar year basis, commencing on January 1st and ending on December 31st.
Operating a business without a license is subject to a penalty of double the license fee.
Change of Business Address
The process for changing a business address is the same as for applying for a new business. A new application must be filed along with the payment of a processing fee. The existing business license fee is transferable to the new location. A new license will be issued upon approval by the Planning Office.
Display of Business License
All Business License certificates must be displayed on the premises. For those businesses not having a fixed address within the City, the license must be on the person.
Renewal of a Business License
Business licenses expire each year on June 30th or December 31st, depending on the license. Renewal applications are mailed to each business two months prior to the due date, but it is the responsibility of the business license owner to contact the City if a renewal application is not received. There is a 30-day grace period in which you may renew your license without incurring a penalty. If you pay after the 30-day period, you will be subject to a 15% penalty fee. Another 10% is added every month thereafter.
Activities Requiring a Temporary Permit
The following activities require a temporary permit:
Yard Sales. A property is allowed two yard sales each year -- one every six months on the third Saturday and Sunday of the month. An application and fee are required prior to obtaining a permit. The fee must be paid in cash. Once a permit is issued, it may not be cancelled. Only in the event of rain will a permit be extended to the following month.
The yard sale may not begin before 7:00 a.m. and must be completed by 6:00 p.m.
Anyone operating without a permit will be issued a citation to court and will be banned for one year from having yard sales.
Special Events. A special event permit is required for any special event such as seasonal sales (Christmas trees, pumpkins, etc.), sidewalk or parking lot sales, health fairs or other promotional events. Fees are charged in accordance with the type of event and is subject to approval by both the property owner and tenant. The processing period for issuance of a special event permit is two weeks.
Fireworks. Fireworks stands are issued to non-profit agencies benefiting the City. The number of permitted stands is limited to 20 per year. The application deadline is May 1st.
Permit issuance is subject to approval of all applicable permits and payment of fees.
To view a schedule of business tax and license fees, click on the following link.