How to Get a Professional License: A Step-by-Step Guide

How Do You Get a Professional License?

If your business operates in a profession that requires licensing, you may need to obtain a professional or occupational license before providing services to customers.

Professional licenses are generally issued by state regulatory agencies or professional licensing boards. The requirements depend on the profession, state, and sometimes the specific services you provide. The U.S. Department of Labor notes that occupational licenses are typically required by government entities before an individual can legally practice certain occupations, and that licensing standards can differ between states.

Unlike a general business license, a professional license often focuses on the qualifications of the person performing the work.

Quick Answer

To get a professional license, identify the licensing authority for your profession, determine the eligibility requirements, complete any required education or training, pass required examinations, submit your application, pay the applicable fees, and maintain the license through renewals and continuing education if required.

The exact process depends on your profession and state.

Common licensed professions include:

• Accountants
• Architects
• Attorneys
• Dentists
• Engineers
• Nurses
• Physicians
• Real estate professionals
• Contractors
• Electricians
• Plumbers
• Cosmetologists
• Therapists
• Surveyors
• Other regulated occupations

Not every profession requires a professional license, and requirements can differ substantially from one state to another.

What Is a Professional License?

A professional license is government authorization allowing an individual to legally practice a regulated profession.

The license generally confirms that the person has met specific qualifications established by the applicable licensing authority.

Depending on the profession, requirements may include:

• Education
• Professional training
• Work experience
• Apprenticeship
• Examination
• Background checks
• Application fees
• Continuing education
• Professional insurance
• Ongoing compliance

Professional licensing is generally different from registering your business with the state.

Professional License vs. Business License

These two requirements are easy to confuse.

A business license generally relates to operating a business in a particular location.

A professional license generally relates to the qualifications required to perform a regulated profession.

For example, a business could potentially need:

• Business registration
• EIN
• General business license
• Professional license
• Industry-specific permits
• Local permits

Depending on the profession and location, the professional license may belong to the individual, the business entity, or both.

The SBA explains that licensing and permit requirements depend on business activities and location.

Does Every Business Need a Professional License?

No.

Professional licensing generally applies to regulated occupations rather than every type of business.

A software company, marketing agency, online retailer, or consulting business may not need a professional license simply because it operates as a business.

However, certain professions are regulated because they involve specialized knowledge, public safety, health, financial responsibility, or other areas where governments require specific qualifications.

If you are unsure, check the licensing requirements for your specific profession in the state where you intend to operate.

Does the Business Owner Need the License?

It depends.

In some industries, the person performing the professional service must hold an individual license.

In other industries, the business itself may also need a separate registration, license, or certification.

For example, a professional business might have:

• A licensed individual owner
• A registered LLC
• A professional entity registration
• A business license
• An industry-specific license

Do not assume that having one person's professional license automatically authorizes every activity performed by the business.

Step 1: Identify Your Profession

Start by clearly identifying what services your business will provide.

For example:

• Accounting
• Engineering
• Architecture
• Legal services
• Real estate
• Construction
• Electrical work
• Plumbing
• Healthcare
• Cosmetology
• Financial services

The licensing authority may regulate a specific occupation rather than the broader industry.

The exact description of your services matters because two businesses operating in the same general industry can have different licensing requirements.

Step 2: Determine Which State Has Jurisdiction

Professional licenses are often state-specific.

Your requirements may depend on:

• Where you live
• Where your business is located
• Where you physically perform services
• Where your customers are located
• Whether you work remotely
• Whether you travel to other states
• Whether you maintain offices in multiple states

The U.S. Department of Labor explains that occupational licenses are commonly state-specific and that reciprocity between states varies by occupation and jurisdiction.

If you plan to operate in multiple states, check the licensing requirements in each applicable jurisdiction.

Step 3: Find the Correct Licensing Board

Once you know your profession and state, identify the government agency or professional licensing board responsible for regulating it.

Depending on the profession, this could be:

• State licensing board
• Department of professional regulation
• Department of commerce
• Department of health
• State contractor licensing agency
• State real estate commission
• State accountancy board
• State engineering board
• State occupational licensing agency

Do not rely solely on a general business registration website.

The professional licensing board is usually the best source for the actual professional requirements.

Step 4: Review the Eligibility Requirements

Before applying, determine what you must do to qualify.

Requirements can include:

Education

Some professions require a specific degree, coursework, or educational program.

Experience

You may need documented professional experience before receiving a license.

Examination

Some professions require one or more licensing examinations.

Training

Certain occupations require apprenticeships, supervised practice, or other training.

Background Checks

Some licenses require criminal background checks or other screening.

Documentation

You may need to provide transcripts, employment records, certificates, identification, or other documentation.

The requirements are profession-specific, so use the applicable licensing board's current requirements rather than relying on information from another state.

Step 5: Complete Required Education or Training

If your profession requires education, training, or supervised experience, complete those requirements before applying.

Keep documentation showing that you satisfied the requirements.

Depending on the profession, this could include:

• Diplomas
• Transcripts
• Training certificates
• Apprenticeship records
• Employment verification
• Supervised experience documentation
• Examination results

Keep copies of important licensing records with your business documents.

Step 6: Pass Required Examinations

Some professional licenses require applicants to pass an examination.

The exam may be administered by:

• The state licensing board
• A national testing organization
• A professional organization
• Another approved testing provider

Make sure you understand:

• Which examination is required
• Eligibility requirements
• Registration deadlines
• Testing locations or procedures
• Passing scores
• Retesting rules
• Whether examination results expire

Do not assume that passing an examination automatically gives you a license. You may still need to complete the formal licensing application.

Step 7: Complete the Professional License Application

Once you meet the eligibility requirements, submit the application to the appropriate licensing authority.

Applications may require:

• Legal name
• Address
• Contact information
• Education history
• Work history
• Examination results
• Professional references
• Background-check information
• Supporting documents
• Application fees

Review the application carefully before submitting it.

Missing information can delay processing.

Step 8: Pay the Required Fees

Professional licensing fees vary by profession and state.

You may encounter fees for:

• Initial application
• Examination
• Background check
• License issuance
• Temporary licensing
• Renewal
• Continuing education
• Late renewal

Keep receipts and confirmation numbers with your licensing records.

Step 9: Wait for Approval

The licensing authority may need time to review your application.

Processing can involve:

• Document verification
• Education verification
• Experience verification
• Examination verification
• Background checks
• Board review

Do not begin providing services that legally require a license until you have confirmed that you are authorized to do so.

Step 10: Receive and Maintain Your License

Getting the license is not the end of the process.

Many professional licenses must be renewed periodically.

You may also need to complete:

• Continuing education
• Renewal applications
• Continuing competency requirements
• Professional development
• Background checks
• Insurance requirements
• Other periodic certifications

The SBA recommends keeping licenses, permits, and certificates current and monitoring renewal requirements.

Start Tracking Your Business Compliance →

A professional license can have requirements beyond the initial application. Startup to Corporate helps business owners keep licenses, registrations, documents, and compliance deadlines organized in one place.

How Much Does a Professional License Cost?

The cost depends on the profession and licensing jurisdiction.

Potential expenses include:

• Application fees
• Examination fees
• Education
• Training
• Background checks
• Fingerprinting
• License issuance
• Renewal
• Continuing education

Some professions can require substantial education and training before an individual is eligible to apply.

Because fees and requirements vary, check the current fee schedule published by the applicable licensing authority.

How Long Does It Take to Get a Professional License?

There is no single processing time.

Some licenses can be obtained relatively quickly after meeting the requirements, while others require years of education, supervised experience, examinations, and board review.

The biggest factor is often whether you already meet the profession's eligibility requirements.

For example, a person who already has the required education and experience may only need to complete the application and examination process.

Someone entering a regulated profession for the first time may need to complete substantial education or training first.

Can You Get a Professional License for an LLC?

Sometimes—but this depends on the profession and state.

Some states have special rules for businesses providing professional services.

You may encounter terms such as:

• Professional LLC
• PLLC
• Professional corporation
• Professional association
• Licensed business entity

These structures can have requirements beyond those of a standard LLC.

Before forming the entity, determine whether your profession has restrictions on business structure or ownership.

Can an LLC Operate Without a Professional License?

An LLC itself does not automatically authorize you to perform a regulated profession.

Forming an LLC creates a business entity, but it does not replace professional licensing requirements.

For example, forming an LLC does not automatically authorize an individual to practice a profession that requires a state-issued professional license.

Business formation and professional licensing are separate compliance steps.

What If I Am Licensed in Another State?

You may be able to transfer or obtain recognition of an existing license, but do not assume that your license automatically transfers.

States may have:

• Reciprocity agreements
• Endorsement processes
• License recognition
• Interstate compacts
• Temporary licenses
• Additional examination requirements

The Department of Labor notes that license portability varies and that some professions have interstate compacts or reciprocity arrangements.

If you are moving or expanding into another state, check the new state's licensing requirements before providing services there.

What Is License Reciprocity?

Reciprocity generally refers to a process where one state recognizes a professional license issued by another state under specified conditions.

Reciprocity is not universal.

It may depend on:

• The profession
• The states involved
• The applicant's license status
• Education requirements
• Experience
• Examination history
• Disciplinary history

Some professions participate in interstate licensing compacts that provide additional pathways for practicing across state lines.

Do Online Businesses Need Professional Licenses?

An online business may still need a professional license.

Operating online does not automatically eliminate occupational licensing requirements.

For example, a professional who provides regulated services remotely may still need to comply with the licensing rules that apply to the services and jurisdictions involved.

This is especially important for businesses serving customers across state lines.

Before offering regulated professional services online, determine where licensing requirements apply.

What Happens If You Operate Without a Required Professional License?

Operating a regulated profession without the required license can create significant compliance problems.

Potential consequences may include:

• Fines
• Penalties
• Disciplinary action
• Loss of the ability to practice
• Problems renewing or obtaining a license
• Contract or insurance issues
• Other legal consequences

The exact consequences depend on the profession and jurisdiction.

If you discover that your business or professional activity requires a license, address the requirement before continuing regulated activities.

Professional License Checklist

Before launching a regulated professional business, confirm:

• I identified the exact professional services I will provide
• I determined whether my profession is regulated
• I identified the applicable state
• I found the correct licensing board
• I reviewed the current eligibility requirements
• I completed required education
• I completed required training or experience
• I completed required examinations
• I gathered supporting documentation
• I completed the license application
• I paid applicable fees
• I confirmed my license was approved
• I know when my license expires
• I know the renewal requirements
• I understand continuing education requirements
• I know whether additional licenses are required in other states
• I have stored my license information with my business records

Common Professional Licensing Mistakes

Assuming a Business License Is Enough

A general business license may not satisfy professional licensing requirements.

Assuming an LLC Provides Professional Authorization

An LLC creates a legal business entity. It does not automatically authorize regulated professional activity.

Using Another State's Requirements

Professional licensing requirements can differ substantially between states.

Forgetting About Renewals

Getting licensed once does not necessarily mean you are licensed indefinitely.

Missing Continuing Education

Some professions require continuing education or other ongoing requirements to maintain an active license.

Assuming Your License Transfers Automatically

Moving to another state may require a new application, endorsement, reciprocity process, or other approval.

Failing to Check Business Entity Requirements

Certain professions may have restrictions on ownership or business structure.

Starting Work Before Approval

If a license is required before providing professional services, make sure the license has actually been issued or that the licensing authority has confirmed you are authorized to practice.

Professional Licensing and Ongoing Business Compliance

Professional licensing should be treated as an ongoing compliance obligation rather than a one-time startup task.

Your business may need to track:

• Professional licenses
• Business licenses
• Industry permits
• License expiration dates
• Renewal deadlines
• Continuing education
• Annual reports
• State registrations
• Tax registrations
• Insurance requirements
• Changes in business location
• Changes in ownership
• Additional state licenses

The SBA specifically recommends maintaining licenses, permits, and certificates and monitoring renewal requirements.

This becomes particularly important as a business expands into additional states or adds new professional services.

Bottom Line

Getting a professional license starts with identifying whether your profession is regulated and determining which licensing authority has jurisdiction.

From there, you may need to complete education, training, experience, examinations, background checks, and an application before receiving your license.

But getting licensed is only the first step.

You also need to monitor renewals, continuing education, changes in licensing rules, and additional requirements if you expand into other states.

Professional licensing can become an important part of your overall business compliance system.

Get Your Business Organized →

Startup to Corporate helps you organize your business registrations, licenses, documents, and compliance deadlines so you can spend less time figuring out what needs to be done and more time running your business.