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Business License

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1. How long does it take to process a business license application?

Your business license application will be processed in approximately one to two weeks. This may take longer if your application is not complete, if your proposed use and/or tenant improvements require an inspection, if you are opening an in home business, or if you require a specialty license ( pawnbroker, 2nd hand dealer or security business).

2. Do I need a business license for the City of Federal Way?

The City of Federal Way Municipal Code requires every person conducting business within city limits to obtain a Federal Way business license. This includes home occupations and outside contractors that come into the city to do business. Federal Way Municipal Code 12.05.010

3. Do I need to obtain a master license with the state?

You need to register your business with the Washington State Department of Revenue for a master license if you can answer yes to any of the following questions:

• You are a buyer of specialty wood products


• You are required to collect sales tax


• You are required to pay taxes or fees to the Department of Revenue


• Your gross income is more than $12,000 a year

4. Are there any other licenses or permits required to operate a business in Federal Way?

The City of Federal Way only requires a city business license and a state master license with the Department of Revenue if applicable. If you are making tenant improvements or if the structure is a new building, you will need to contact the Community Development Department at 253.835.2607. If you are operating a restaurant or handling food you would need to contact the King County Public Health Department. If you serve liquor or have any gambling activity please contact the Washington State Liquor Control Board and the Washington State Gambling Commission to apply for the appropriate licenses.

5. What are the fees for licensing a business in the city?

The fee for a standard business license is $75. This includes regular, outside contractor and home occupations. The standard license is valid until the end of each year. The fee for a temporary business license is $50. A temporary business license is good for any 90 days in the calendar year and will expire at the end of the year. Any standard license that is issued within the last three months of the year will expire December 31st of the following year. Renewal notices will be sent to your mailing address in November of each year and are $50.00 for the standard license.

6. Does the city issue a solicitor's permit?

Yes, the city issues door to door solicitor permits or temporary licenses. Approved permits are good for 90 days and can be used any 90 days in a calendar year. Once issued, the permit must be carried with the person if traveling to different locations within the city.

7. Can I operate a business out of my home?

Home occupation licenses are issued if you live within the city limits and operate a business out of your home in compliance with all city codes and ordinances. Even if you do not run the business in your home (i.e., landscaper, plumber, etc.), it is still considered a home occupation. City Codes and Ordinances

8. Can I have a block party, parade demonstration, etc. on city property?

A right of way activity permit is required for any event that will temporarily block, impede or be held on any public right of way within the City of Federal Way. This type of license is issued to special events, block parties, races, demonstrations and organized rallies of any kind that occur on a street, sidewalk or other public property and consist of five or more persons or two or more vehicles. Before issuance, the application is routed for review to the streets department, public safety and the South King Fire and Rescue.