Guide to Getting a Municipal Business License in Vancouver: A Complete Walkthrough

If you are planning to start or operate a business in Vancouver, one of the first legal requirements you will encounter is obtaining a municipal business license. The City of Vancouver requires all businesses operating within its boundaries to hold a valid business license, regardless of the size or type of business. This includes home-based businesses, retail stores, restaurants, professional services, and more. This guide walks you through the entire process, from determining your license type to submitting your application and maintaining compliance.

Why Do You Need a Business License?

A municipal business license serves several purposes:

• It confirms that your business is authorized to operate in Vancouver.
• It ensures your business complies with local zoning, health, safety, and building regulations.
• It provides the city with information about business activity for planning and economic development purposes.
• Operating without a valid license can result in fines, penalties, or orders to cease operations.

The business license is separate from provincial and federal registrations. You may also need to register your business name with the BC Registry Services, obtain a GST/HST number from the Canada Revenue Agency, and comply with other requirements depending on your business type. For a broader overview, see our guide on starting a business as a newcomer in Canada.

Types of Business Licenses

Vancouver issues many different types of business licenses. The type you need depends on your business activities and location. Some common categories include:

• Retail dealer: For businesses selling goods to consumers.
• Restaurant or food service: For businesses preparing and serving food.
• Professional services: For consultants, accountants, lawyers, and similar professionals.
• Home-based business: For businesses operated from a residential address.
• Health services: For clinics, spas, and personal care businesses.
• Short-term rental: For renting your home on platforms like Airbnb.
• Mobile vendor: For food trucks and mobile sales operations.
• Entertainment and recreation: For fitness studios, theatres, and similar businesses.

Each license type has its own requirements, fees, and conditions. Some businesses may need multiple licenses if they engage in multiple types of activity (for example, a restaurant that also sells retail products).

Zoning Requirements

Before applying for a business license, you must ensure that your proposed business location is properly zoned for your type of business. Vancouver's zoning bylaws divide the city into different zones (commercial, industrial, residential, mixed-use, etc.), and each zone has rules about what types of businesses are permitted.

You can check the zoning of a specific address using the City of Vancouver's online zoning tools or by contacting the Planning Department. If your business type is not permitted in your desired location, you may need to:

• Find a different location that is properly zoned.
• Apply for a development permit or zoning variance (a complex and time-consuming process).

Zoning is one of the most common reasons business license applications are delayed or denied. Always verify zoning before signing a lease or purchasing a property for your business. Information about Vancouver zoning is available on the BC government local government resources page.

How to Apply

Step 1: Determine Your License Category

Visit the City of Vancouver's business licensing page and use their tools to determine which license category applies to your business. If you are unsure, you can contact the city's licensing team for guidance.

Step 2: Prepare Your Application

Gather the following information and documents:

• Your legal name and business name
• Business address (the physical location where you will operate)
• Type of business activities
• Your BC business registration number (if you have incorporated or registered a sole proprietorship/partnership with BC Registry Services)
• Floor plans or layouts (required for some business types, such as restaurants and health services)
• Proof of insurance (required for some business types)
• Health and safety documentation (required for food service businesses)
• Landlord consent (required for home-based businesses and some commercial locations)

Step 3: Submit Your Application Online

The City of Vancouver allows most business license applications to be submitted through their online portal. Navigate to the city's business licensing section, create an account, and follow the prompts to complete your application. You will pay the license fee online by credit card.

Step 4: Inspections and Approvals

Depending on your business type, your application may trigger inspections from various city departments:

• Building inspections: To verify that your space meets building code requirements.
• Fire inspections: To ensure fire safety compliance.
• Health inspections: For food service and health-related businesses.
• Zoning review: To confirm your business is permitted at the proposed location.

Inspections can add several weeks to the processing time. Be prepared for this and plan accordingly, especially if you have a target opening date.

Step 5: Receive Your License

Once all inspections and reviews are complete and your application is approved, you will receive your business license. The license must be displayed prominently at your place of business. It is valid for one year from the date of issue and must be renewed annually.

Fees

Business license fees in Vancouver vary significantly depending on the type and size of your business. Here are some approximate ranges:

• Home-based businesses: $50 to $150 per year
• Retail stores: $150 to $500 per year
• Restaurants: $500 to $2,000+ per year (depending on seating capacity and liquor license)
• Professional services: $100 to $300 per year
• Short-term rentals: Varies; includes a separate registration requirement

These are approximate figures. Check the City of Vancouver's fee schedule for exact amounts. Some businesses may also need to pay additional fees for development permits, health permits, or other approvals.

Home-Based Business Licenses

Many newcomers start by running a business from home. Vancouver allows home-based businesses under certain conditions:

• The business must be secondary to the residential use of the home.
• The business should not generate excessive traffic, noise, or disruption to neighbors.
• Only residents of the home may work in the business (with limited exceptions for some business types).
• No exterior signage is permitted (with limited exceptions).
• You must have your landlord's written consent if you are renting (your tenancy agreement may restrict business use).

For information about rental agreements and tenancy rights, see our guides on tenant rights for newcomers in BC and how to apply for rental housing in BC.

Maintaining Your License

Once you have your business license, you must:

• Renew annually: Licenses expire one year from the date of issue. The city will send a renewal notice, but it is your responsibility to renew on time.
• Report changes: If your business name, address, or type of activity changes, you must notify the city and may need to apply for a new or amended license.
• Comply with regulations: Continue to meet all health, safety, zoning, and building requirements. Non-compliance can result in fines or license revocation.
• Display the license: Your business license must be visible to the public at your place of business.

Inter-Municipal Business License

If your business operates in multiple municipalities in Metro Vancouver (for example, a contractor who works in Vancouver, Burnaby, and Richmond), you may benefit from the Inter-Municipal Business License (IMBL). This allows certain types of businesses to operate across participating municipalities with a single license, rather than obtaining separate licenses in each city. Check with the City of Vancouver to see if your business type qualifies for the IMBL.

Tips for Newcomers

• Start early: The licensing process can take several weeks, especially if inspections are required. Begin the process well before your planned opening date.
• Get professional advice: Consider consulting a business advisor or accountant who is familiar with Vancouver's regulations. Many settlement organizations offer free business advising for newcomers.
• Understand all your obligations: A business license is just one of many requirements. You may also need to register for WorkSafeBC (for employees), obtain liability insurance, and comply with provincial and federal tax obligations.
• Connect with the community: Join local business associations and networking groups. Vancouver has a vibrant business community that is welcoming to newcomers.
• Explore the BC PNP Entrepreneur stream: If you are an immigrant looking to start a business in BC, the BC PNP Entrepreneur Immigration stream may be a pathway to permanent residency. See our BC PNP guide for more information.

For more detailed information about the provincial aspects of starting a business, visit the BC government's starting a business page. And for identification needs such as a BC Services Card, which you may need for various business registrations, see our BC Services Card and MSP guide.

Obtaining a municipal business license in Vancouver is a necessary step in establishing your business legally. While the process involves several stages and potential inspections, the city's online tools and support resources make it manageable. By understanding the requirements, verifying your zoning, and preparing your application thoroughly, you can get your business up and running smoothly in one of Canada's most dynamic cities.