How to Get a Business License in Ann Arbor: What You Need to Know (2026)
The Quick Version
Starting a business in Ann Arbor, MI requires permits and registrations across multiple government layers — federal, state, Washtenaw County (county), and city. The primary city-level requirement is the Business License, issued by the Finance/Revenue Department. Most businesses need 5 to 10 separate registrations, and the order you complete them matters because each step has dependencies on the ones before it.
The base fee for a Business License in Ann Arbor is Varies by type. Contact the Finance/Revenue Department at 734-794-6140 for current requirements. More information is available at a2gov.org.
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What Makes Ann Arbor Different
Ann Arbor has several characteristics that affect the licensing process:
- University of Michigan
- MI city income tax 1%
- Washtenaw County Health
The Permit Stack: What You Need
Most businesses in Ann Arbor need permits from four levels of government:
Federal: An EIN (Employer Identification Number) from the IRS — free and available instantly online at irs.gov/ein.
State (MI): LLC or Corporation filing through the MI LARA. Filing fee: $50 LLC, processing time: 3-5 business days.
County (Washtenaw County): Health permits (for food businesses), building inspections, and any county-specific requirements.
City (Ann Arbor): Business License from the Finance/Revenue Department. Base fee: Varies by type. Phone: 734-794-6140.
How Long Does It Take?
Most businesses in Ann Arbor can be fully licensed and operational within 4 to 12 weeks, depending on the business type. Simple home-based businesses can often complete the process in 2 to 4 weeks, while restaurants, bars, and businesses requiring inspections typically take 8 to 12 weeks.
The dependency chain matters — some permits can't be applied for until others are in place. Getting the order wrong means delays and wasted time.
Don't Guess — Get Your Roadmap
Every business type has different requirements, and Ann Arbor has its own quirks that generic state guides miss. PermitBoard analyzes your specific business type against Ann Arbor's actual requirements and gives you a step-by-step plan with fees, timelines, and direct links to every form.