How to Get a Business License in Montgomery: What You Need to Know (2026)
The Quick Version
Starting a business in Montgomery, AL requires permits and registrations across multiple government layers — federal, state, Montgomery County (county), and city. The primary city-level requirement is the Business License, issued by the Finance Department. Most businesses need 5 to 10 separate registrations, and the order you complete them matters because each step has dependencies on the ones before it.
Contact the Finance Department at 334-625-2050 for current requirements. More information is available at montgomeryal.gov.
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What Makes Montgomery Different
Montgomery has several characteristics that affect the licensing process:
- State capital
- Montgomery County license may also apply
- Alabama Business Privilege Tax at state level
- Maxwell AFB — military businesses
- Alabama requires a Business Privilege License Tax filing annually with the Department of Revenue
The Permit Stack: What You Need
Most businesses in Montgomery need permits from four levels of government:
Federal: An EIN (Employer Identification Number) from the IRS — free and available instantly online at irs.gov/ein.
State (AL): LLC or Corporation filing through the AL Secretary of State. Filing fee: $200 LLC, processing time: 3-5 business days.
County (Montgomery County): Health permits (for food businesses), building inspections, and any county-specific requirements.
City (Montgomery): Business License from the Finance Department. Phone: 334-625-2050.
How Long Does It Take?
Most businesses in Montgomery can be fully licensed and operational within 4 to 12 weeks, depending on the business type. Simple home-based businesses can often complete the process in 2 to 4 weeks, while restaurants, bars, and businesses requiring inspections typically take 8 to 12 weeks.
The dependency chain matters — some permits can't be applied for until others are in place. Getting the order wrong means delays and wasted time.
Don't Guess — Get Your Roadmap
Every business type has different requirements, and Montgomery has its own quirks that generic state guides miss. PermitBoard analyzes your specific business type against Montgomery's actual requirements and gives you a step-by-step plan with fees, timelines, and direct links to every form.