Opening an ice cream shop isn’t just about creating Instagram-worthy scoops or experimenting with unique flavors. To legally launch your business, you’ll need the right permits and licenses. Without them, even the sweetest shop can run into sour legal trouble.
From compliance with health standards to adhering to zoning regulations, managing these requirements ensures your shop operates smoothly and avoids unnecessary penalties. Here’s a complete guide to the permits and licenses you’ll need, along with practical tips and examples to help you succeed.
1. Business License
What is it?
A business license is your shop’s legal green light, allowing you to operate in your chosen city or county. It also ensures compliance with tax regulations.
How to Obtain It
- Register your business structure (e.g., LLC or sole proprietorship).
- Acquire an EIN (Employer Identification Number).
- Submit an application through your city or county government.
Cost
Fees range from $50 to $400 depending on your location, with annual renewals required. Factor this cost into your budget as part of the cost to open an ice cream shop.
Pro Tip: Different locations may require separate licenses if you plan to operate across multiple areas.
2. Employer Identification Number (EIN)
What is it?
An EIN is a federally issued identifier for your business. It’s essential for hiring employees and filing taxes.
How to Obtain It
Easily apply for an EIN for free on the IRS website.
Pro Tip: Even if you’re running a single-owner shop, obtaining an EIN streamlines financial and legal documentation—critical for smart ice cream shop business plan execution.
3. Certificate of Occupancy
What is it?
This document certifies that your shop complies with building codes, fire safety standards, and zoning requirements.
How to Obtain It
- Schedule inspections (electrical, plumbing, and fire safety).
- Submit required approvals to your local building authority.
Cost
Typically $20 to $200, depending on your location. This should be considered while planning your ice cream shop layout.
Case Study
“Sweet Success Ice Cream” in Chicago faced setbacks while arranging their layout to meet zoning codes. By partnering with local city planners to make minor adjustments, they achieved compliance and had a successful grand opening.
4. Food Handler’s License (for Staff)
What is it?
A food handler’s license ensures that you and your team can safely prepare and serve food.
How to Obtain It
Employees complete an online safety course (~2 hours) and pass a basic food safety test.
Cost
Licenses generally cost $10 to $20 per employee.
Pro Tip: Invest in training as part of building an excellent customer experience and ice cream shop menu.
5. Seller’s Permit (Resale License)
What is it?
If your state charges sales tax, this permit lets you collect and remit it to the state.
How to Obtain It
Apply through your state’s Department of Revenue.
Cost
Typically free, though you might need to submit a refundable security deposit.
Pro Tip: Make sure to file your quarterly tax reports to keep this license active!
6. “Doing Business As” (DBA) License
What is it?
If your shop operates under a name that’s different from your legal name or business structure, a DBA ensures public transparency.
How to Obtain It
Register through your county clerk’s office.
Cost
Filing fees typically range between $10 and $100.
Pro Tip: A catchy ice cream shop name deserves proper registration—nothing breaks the brand-building buzz like legal restrictions.
7. Mobile Food Vendor Permit
What is it?
Perfect for ice cream trucks or carts, this permit ensures compliance with mobile food safety standards.
How to Obtain It
Requirements vary by state, but generally, you need to undergo vehicle inspections and register through your city office.
Cost
Ranges from $75 to $500.
Case Study
Los Angeles-based “Arctic Bites” overlooked this and faced a shutdown. Securing their permit allowed them to expand quickly to events and festivals—a key part of their growth strategy.
8. Ice Cream Vendor Permit
What is it?
Certain cities require a specific permit to sell ice cream products, typically for food trucks or outdoor kiosks.
How to Obtain It
Search “Your City + Ice Cream Vendor Permit” to find specific local requirements.
Cost
Starts at $50 and may require additional inspection fees.
Pro Tip: Pair this permit with a great mobile setup and ice cream shop design to stand out during events.
9. Milk Product Plant Licenses
What is it?
If your shop produces its own dairy-based ice cream, you’ll need a permit to process milk and related ingredients. Key licenses include Milk Products Plant Licenses and Frozen Milk Products Plant Licenses.
How to Obtain It
File applications with your state’s inspection agency and comply with dairy sanitation standards.
Case Study
California’s “Creamy Creations” ran into challenges when launching their in-house production line without the proper permit. By quickly securing a Milk Products Plant License, they ensured compliance and scaled efficiently.
Cost
$100–$700 annually, based on the scale of your operation.
10. Soft-Serve License
What is it?
Required for Shops serving soft-serve ice cream. Under this license, your mixes must be pre-made by an approved vendor.
How to Obtain It
Inspectors from your state’s Department of Agriculture need to approve your setup.
Cost
$100–$300 annually, plus additional inspection fees.
11. Sign Permit
What is it?
This permit ensures your shop’s sign meets local regulations for size, design, and placement.
How to Obtain It
Submit your proposed designs to your city’s local government for approval.
Cost
At least $50, with higher fees in large metro areas.
Pro Tip: Use your shop’s signage to make a bold statement about your ice cream shop menu.
Don’t Forget Liability Insurance
While not a license, liability insurance is non-negotiable. Besides protecting against accidents, it shows customers you take safety and professionalism seriously.
The Final Scoop on Permits and Licenses
Starting your dream ice cream shop takes more than the perfect waffle cone—it requires careful preparation, especially on the legal front. By securing the 11 permits and licenses discussed here, you’ll set your business up for success while avoiding costly setbacks.
Need help navigating the process? Use this guide to integrate these permits into your ice cream shop business plan. With everything in place, your sweet endeavor will be ready to conquer the hearts (and palates) of your community.
Eager to start scooping? Download helpful tools like business plan templates, or connect with local government offices to finish your paperwork today!
Frequently Asked Questions
What permits and licenses are required to open an ice cream shop?
To legally open an ice cream shop, you’ll need several permits and licenses including a business license, Employer Identification Number (EIN), certificate of occupancy, food handler’s licenses for staff, seller’s permit, DBA license (if using a trade name), mobile food vendor permit, ice cream vendor permit, milk product plant license (if producing dairy), soft-serve license, and a sign permit.
How do I get a business license for my ice cream shop?
Register your business structure (LLC or sole proprietorship), obtain an EIN from the IRS, and apply through your city or county government. Fees typically range from $50 to $400 and require annual renewal.
Do I need an EIN if I’m the only owner of my shop?
Yes. Even single-owner businesses benefit from having an EIN. It simplifies tax filings and is required if you plan to hire employees or open a business bank account.
What is a Certificate of Occupancy and why is it important?
A Certificate of Occupancy confirms that your shop complies with local building, fire safety, and zoning regulations. It is required before opening your doors to the public.
Are my employees required to have food handler’s licenses?
Yes. Each employee involved in preparing or serving food must complete an accredited food safety course and pass a basic exam. These licenses usually cost $10 to $20 per person.
What is a Seller’s Permit and when do I need it?
A Seller’s Permit allows your shop to collect and remit sales tax. It’s required in states that charge sales tax and can be obtained from your state’s Department of Revenue.
Can I operate an ice cream truck without special permits?
No. You must obtain a Mobile Food Vendor Permit and in some cities, a specific Ice Cream Vendor Permit. These permits require vehicle inspections and compliance with mobile food safety regulations.
What if I make my own ice cream from scratch?
If you’re producing dairy-based ice cream in-house, you’ll need a Milk Product Plant License or Frozen Milk Products Plant License. These ensure your production process meets state sanitation standards.
Is a special license required for soft-serve ice cream?
Yes. A Soft-Serve License is mandatory and requires approval from your state’s Department of Agriculture. Your setup and mix must meet specific safety standards.
Do I need a permit for my shop’s signage?
Yes. A sign permit ensures your exterior signage complies with local size, placement, and design regulations. Submit your sign plans to your city for review before installation.