Kentucky · Start a business
How to start a business in Kentucky
Kentucky has no statewide general business license, and sole proprietors file assumed names with the county clerk, not the state.
See the checklistShort answer
To start a business in Kentucky, pick a structure and file with the Secretary of State: $40 for an LLC, $40 for a corporation's articles. Then name a registered agent, get an EIN and register for state taxes. Kentucky has no general state business license.
Last checked .What do you file before you open in Kentucky?
Pick a structure
Most owners choose an LLC or a corporation; the S corp or C corp tax choice comes later. See Kentucky LLC guide, Kentucky corporation guide, S corp or C corp in Kentucky. By trade: cleaning business, handyman.
Check and register the name
Search the Secretary of State records before you pick a name: state name search. A Kentucky sole proprietor operating under a name that does not include the owner's real name files a Certificate of Assumed Name with the county clerk where the business has its principal place of business, and files nothing with the Secretary of State. 1 See Kentucky name search guide.
File with the state
Kentucky charges the state filing fee once: an LLC costs $40 2 and a corporation's articles of incorporation cost $40 3. See LLC cost.
Name a registered agent
A Kentucky corporation must continuously maintain a registered office and a registered agent in Kentucky, and the agent's business address must be the registered office. 4 Our registered agent service runs through our partner Registered Agents Inc (RAI), the registered agent of record. See Kentucky registered agent rules.
Which accounts do you open after you file in Kentucky?
Get an EIN
An EIN is the business's federal tax ID. The IRS issues it online, for free, and warns about websites that charge for one. 5
Open your state tax accounts
The Kentucky Department of Revenue's Tax Registration Application lets a new business register for accounts including Employer's Withholding Tax and Sales and Use Tax, online through MyTaxes.ky.gov or on a paper form. 6 See Sales tax permit.
Register as an employer
The Kentucky Office of Unemployment Insurance treats a for-profit employer as liable for unemployment insurance tax once it pays at least $1,500 in gross wages in a single calendar quarter or has a worker in any part of 20 different weeks. 7 Kentucky employers report each hire or rehire to the Kentucky New Hire Reporting Center within 20 calendar days, online, by mail or by fax. 8 In Kentucky, employers with one or more workers must maintain workers' compensation coverage, with no exceptions for family member, temporary or part-time employees. 9
What keeps your Kentucky business in good standing?
Check licenses and permits
Kentucky has no statewide business license that applies to all businesses, though certain types of businesses need a special state license or permit, and many cities and counties require a local business license. 10
Calendar the yearly filings
Kentucky annual report: $15, due June 30 every year. 11 See Kentucky annual report.
Use free local help
Small business advising in Kentucky runs through the Kentucky SBDC. 12 The Kentucky Business One Stop portal offers planning resources and a Speed to Market tool that helps new entrepreneurs find licensing and permit requirements. 13
What it costs to start a business in Kentucky
Do you need a business license in Kentucky?
Not from the state. Kentucky has no general state business license. 10 Where to look up licenses: Kentucky Business One Stop.
- Local occupational license taxes. Many Kentucky cities and counties require a local business license or impose an occupational tax on businesses, and occupational license tax forms for each taxing district that imposes one are available online. 15
How to register a business name in Kentucky
| Question | Kentucky |
|---|---|
| Where it is filed | With the county 1 |
| Office | County Clerk |
| What it is called | assumed name |
Check that the name is free first: state name search.
Also in Kentucky
- Local taxes outside the Department of Revenue. The Kentucky Department of Revenue does not administer local occupational, net profits or gross receipts taxes and points owners to the Kentucky Occupational License Association for local officials. 16
- No local sales tax. Kentucky imposes sales and use tax at a state rate of 6 percent of gross receipts or purchase price, and the Department of Revenue says there are no local sales and use taxes in the state. 17
More for Kentucky
Start your Kentucky business
We file it, and the state fee shows before you pay.
Start my LLCCommon questions
What are the steps to start a business in Kentucky?
Pick a structure, file with the Secretary of State, name a registered agent, get an EIN, register for state taxes with the Kentucky Department of Revenue, then handle hiring, licenses, yearly filings and local help.
What does it cost to register a business in Kentucky?
In Kentucky, an LLC filing is $40 and a corporation's articles of incorporation are $40. The annual report is $15 each year.
Can I start a business in Kentucky with no money?
Kentucky charges $40 to file an LLC, and the annual report is $15 each year. An EIN is the business's federal tax ID. The IRS issues it online, for free, and warns about websites that charge for one.
Are there small business grants in Kentucky?
Kentucky's Small Business Credit Initiative, listed by the Kentucky Cabinet for Economic Development, offers loan support through participating lenders and seed-stage equity investment, and its page says grants and forgivable loans are not available through it.
What is the Kentucky SBDC?
The Kentucky Small Business Development Center is co-sponsored by the U.S. Small Business Administration and administered by the University of Kentucky's Martin-Gatton College of Agriculture, Food, and Environment with regional partners.
Sources 18 links, checked Nov 12, 2026
- DBA or trade name registration onestop.ky.gov, checked Nov 12, 2026
- Official state fee schedule for LLC filings sos.ky.gov, checked Oct 17, 2026
- Corporation filing sos.ky.gov, checked Nov 7, 2026
- Registered agent rule apps.legislature.ky.gov, checked Nov 7, 2026
- IRS: employer identification number irs.gov, checked Nov 12, 2026
- State tax registration revenue.ky.gov, checked Nov 12, 2026
- Unemployment insurance registration kcc.ky.gov, checked Nov 12, 2026
- New hire reporting ocsp.acf.hhs.gov, checked Nov 12, 2026
- Workers' compensation coverage elc.ky.gov, checked Nov 12, 2026
- General business license onestop.ky.gov, checked Nov 12, 2026
- Kentucky annual report sos.ky.gov, checked Sep 1, 2026
- Small Business Development Center ksbdc.org, checked Nov 12, 2026
- State business portal onestop.ky.gov, checked Nov 12, 2026
- US Census Bureau, Business Formation Statistics (monthly file, 2025 added up) census.gov, checked Nov 12, 2026
- Local occupational license taxes onestop.ky.gov, checked Nov 12, 2026
- Local taxes outside the Department of Revenue revenue.ky.gov, checked Nov 12, 2026
- No local sales tax revenue.ky.gov, checked Nov 12, 2026
- State small business funding newkentuckyhome.ky.gov, checked Nov 12, 2026
Last verified Nov 12, 2026.
This page explains the rules; it is not legal or tax advice.