Colorado doesn't issue one general business license. What you need depends on what you do and where: a trade name if you trade under any name other than your own, a state sales tax license if you sell taxable goods, a city or county licence in many places, and a professional licence if your occupation is regulated.
That's why searching for a single "Colorado business license" form goes nowhere. The licence is really a stack of separate registrations held by different offices. Below is each layer, who issues it and how to tell if it applies to you, using the state and city pages as they read in October 2026.
The four layers at a glance
| Layer | Who issues it | Who needs it |
|---|---|---|
| Statement of Trade Name | Colorado Secretary of State | Anyone trading under a name other than their legal name or the entity's true name |
| Sales tax license | Colorado Department of Revenue | Businesses selling tangible goods that are subject to state sales tax |
| City or county licence | Your city, especially home-rule cities such as Denver | Depends on the city and the activity |
| Professional or occupational licence | Division of Professions and Occupations and other boards | Regulated jobs and trades |
The state's official filing tool for registering and managing a business is MyBizColorado, so that's the front door for the state-level pieces.
Layer 1: the trade name, and the renewal most sole traders miss
The Secretary of State's FAQ is direct: a for-profit business that isn't using the entity's true name, or an individual who isn't using their legal first and last name, is required to file a trade name to conduct business in Colorado. A trade name is the same idea as a DBA or assumed name. It's filed and paid for online, and it doesn't reserve the name: the FAQ says trade names aren't unique, so more than one person can file the same one.
Here's the part people miss. For an LLC or corporation, a trade name stays effective as long as the entity is in good standing. For an individual, a general partnership or another non-reporting entity, it's effective for one year only. It expires on the first day after the anniversary month of the original filing unless you file a Statement of Trade Name Renewal, and you can renew in the three months before it expires. So a freelance photographer trading as a studio name has a yearly job that an LLC doesn't.
Layer 2: the sales tax license
The Department of Revenue notes that its sales tax license is what other states may call a reseller's license or vendor's license, and that people sometimes describe it as business registration. It covers state and state-collected sales and use taxes. In Colorado, services aren't subject to sales tax, while tangible personal property generally is, so a consultant may never need one and a shop always will.
- Most licence types are valid for two years and expire at the end of each odd-numbered year.
- All earlier licences expired on 31 December 2025, and renewed licences run for the two-year period that began on 1 January 2026.
- Each physical location needs its own licence, and the renewal fee is $16 per location, as of October 2026.
- Renewal is fastest through Revenue Online. Paper renewal uses form DR 0594.
If you also need to buy stock tax-free for resale, my guide to the resale certificate explains how that document fits alongside the licence.
Layer 3: your city or county
This is where most of the variation sits. The Department of Revenue warns that its licence only covers state and state-collected jurisdictions, and that if you're in a home-rule city you need to contact that city for its own licence requirements. Denver is the clearest example: its Business Licensing Center runs a licence directory and separate licences for things like short-term rentals, residential rental property, security services, liquor and marijuana. Check your own city's licensing page before you open, because two businesses doing the same work in neighbouring towns can face different rules.
Layer 4: professional and occupational licences
If your work is regulated, the licence comes from a board rather than a business office. Colorado's Division of Professions and Occupations says it regulates over 550,000 licences, registrations, certifications and permits across more than 60 professional, occupational and business credential types. If your occupation is on one of those lists, the licence comes from its board, and a trade name or tax licence never replaces it.
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A simple order to sort it in
- Decide on your structure. An LLC or corporation is formed with the Secretary of State first.
- File a Statement of Trade Name if you'll trade under any other name, and diarise the yearly renewal if you're a sole trader.
- Check whether you sell taxable goods. If yes, get the state sales tax license for each location.
- Look up your city's licensing page, especially in a home-rule city.
- Check whether your occupation needs a licence from the Division of Professions and Occupations.
Employing staff adds another set of rules, which my Colorado labor laws guide covers, including pay and paid sick leave.
My verdict
Stop looking for one Colorado business license and work through the layers instead. Plenty of small businesses need two of the four, and the expensive mistakes are the quiet ones: a sole trader's trade name lapsing after a year, or a second shop trading on the first shop's sales tax licence. Put both renewals in your calendar the day you file.
Frequently asked questions
Does Colorado require a general business license?
No. Colorado has no single state business licence. Depending on the business you may need a trade name, a state sales tax license, a city or county licence and a professional licence.
How much is a Colorado sales tax license?
The renewal fee is $16 for each physical location, as of October 2026, and licences now run for the two-year period that began on 1 January 2026.
Do I need a trade name in Colorado?
Yes, if you trade under a name other than your legal first and last name, or other than your entity's true name. Sole traders must renew it every year.
Does a Colorado sales tax license cover Denver?
No. The state licence covers state and state-collected taxes only. Home-rule cities such as Denver set their own licence requirements.
