Jonesboro Privilege License: Stock-Based Fees, Zoning Approval for Online Businesses, Other-City License Rule and Dry-County Private Clubs
Jonesboro Privilege License: Stock-Based Fees, Zoning Approval for Online Businesses, Other-City License Rule and Dry-County Private Clubs
If you plan to sell goods, offer services, or run a business from a home office in Jonesboro, you will need to handle the city's privilege license. Arkansas has no general state business license and no county business license, so the city is often the first local permit you pay for. Each city sets its own rules. Little Rock and North Little Rock base their fees on a base amount plus employees, Bentonville runs a free registry, and Conway does not impose one. Jonesboro uses its own schedule, which depends on your type of business and, for sellers of goods, the stock you keep on hand.
This guide covers what to gather, the order of steps, how the stock-based fee works, when zoning approval must come first, how the rule for businesses licensed in another Arkansas city applies, and what private clubs pay in a dry county.
Disclaimer: This article is informational content, not legal or tax advice. Fees, forms, and rules change. Confirm current amounts with the office named below before you pay or file, and consult a qualified attorney or CPA for complex situations.
Materials You Need Before You Apply
Collect these items before you call or visit. A missing form is one of the most common reasons an application gets sent back.
- Your business name, legal structure, and physical address. A home-based business should also be ready to document its home address for zoning.
- The city's stock statement form, filed under Schedule A of the occupation tax ordinance. Ask the Collections Office for a copy.
- Your current inventory count and value as of the application date.
- Written Planning and Zoning approval, if the business is home-based or Internet-only.
- The Craighead County Health Department final inspection, if your business type requires one.
- Your Secretary of State filing, if you operate as an LLC or corporation. An LLC files a Certificate of Organization (Form LL-01) with a $45 online filing fee ($50 on paper).
- Your sales and use tax permit, if you sell tangible personal property or taxable services. The permit costs $50 and is applied for through the Arkansas Taxpayer Access Point.
- Your assumed name filing, if you trade under any name other than your own legal name.
Step-by-Step: Getting Your Jonesboro Privilege License
- Call Collections first. The Jonesboro Collections Office, at 300 South Church Street, issues the privilege license. Call 870-932-3042 and describe your activity, whether you sell goods, and whether you work from home. Staff can tell you which items apply and which fee category fits your business. Note the name of the person you spoke with and the date.
- Get zoning approval if you work from home or sell only online. Home-based and Internet-only businesses need written Planning and Zoning approval, and that approval is turned in with the application. Request it first, then attach the written approval to your packet. Do not expect the license to move forward while zoning is still pending.
- Schedule the health inspection if it applies. New businesses that need a Craighead County Health Department inspection attach the final inspection to the application. Call 870-933-4585 to schedule. Because the final inspection must be attached, plan the timeline so the inspection happens before you submit.
- Complete the stock statement. If you sell goods, list your inventory on the city's stock statement. The fee is set by business type and by stock on hand, so the form is the basis for your calculation. The fee details are in the next section.
- File your name and entity paperwork. Corporations and LLCs file trade names with the Arkansas Secretary of State, Business and Commercial Services Division, at $22.50 online or $25.00 on paper. Sole proprietors do not file with the state. They record their assumed name with the Craighead County Clerk at 870-933-4520, and the county sets that fee, so ask before you go. Every registered entity also needs a registered agent with a street address in Arkansas. A P.O. Box is not acceptable, and an incomplete filing is returned for correction.
- Apply for the sales and use tax permit. If you sell tangible goods or taxable services, apply through the Arkansas Taxpayer Access Point at the Department of Finance and Administration. The permit costs $50. If your business sells prepared food or rents lodging, also ask Collections whether the city's 2 percent prepared foods tax or 4 percent hotel and motel tax applies. Both are reported on the city's local supplemental tax form.
- Submit the application and pay the fee. Bring or send the complete packet to the Collections Office. Ask about accepted payment methods and processing time when you call, because the city's processing time is not part of the verified facts for this guide. Keep your receipt and a copy of every form.
- Calendar your recurring filings. An LLC files its Annual LLC Franchise Tax Report and pays the flat $150 tax by May 1. A corporation files its Annual Corporation Franchise Tax Report by May 1 as well, paying a $150 minimum or 0.3 percent of outstanding capital stock if that is greater, or $300 if it has no authorized stock. Ask Collections whether the city license renews each year and which date applies.
How the Stock-Based Fee Works
For sellers of goods, Jonesboro sets the privilege license fee by type of business and by the stock you have on hand. The city's stock statement form, filed under Schedule A of the occupation tax ordinance, lists a $35 minimum for inventory under $7,000. The full fee schedule is not published as text, so this guide cannot give you a formula for larger inventories. If your inventory is above $7,000, or you are unsure which category applies, ask the Collections Office for the exact fee for your business type before you apply.
When you prepare the stock statement, use actual counts and values rather than estimates, and keep your supporting records with your copy of the form.
Zoning Approval for Home-Based and Online Businesses
Jonesboro requires written Planning and Zoning approval for home-based businesses and Internet-only businesses. The approval is turned in with the privilege license application. If you run a business from your home and also sell online, you still need the approval. Treat zoning as the first document in your packet, because it holds up the rest of the application.
The Other-City License Rule
If your business is based outside Jonesboro but already holds a license from another Arkansas city, you can still apply. Fill out the Jonesboro application, and the city honors the license you already hold.
The exceptions matter. Anyone doing business for the City, such as a contractor working on a city project, must buy a Jonesboro license regardless of where the business is based. Every non-Arkansas business must also buy a Jonesboro license. Do not assume that a license from Little Rock, Bentonville, or any other city covers work in Jonesboro.
Private Clubs in a Dry County
Craighead County is dry, which changes the cost for private clubs. A private club pays a supplemental permit equal to 50 percent of the regular fee, capped at $250. It also pays a 5 percent city supplemental beverage tax, reported on the city's remittance form.
Confirm the beverage tax rate with Collections before you budget or file. The code text reads 'Five percent (3%),' which is inconsistent, so ask the office whether the rate is 5 percent, 3 percent, or another figure. Alcohol licensing itself runs through the Alcoholic Beverage Control Division, so confirm the state permit requirements with that division as well.
Tips and Common Mistakes to Avoid
- Starting the application before zoning approval. Home-based and Internet-only applicants need that approval attached to the packet.
- Using a P.O. Box for your registered agent. Arkansas requires a street address, and the filing will be returned.
- Assuming an out-of-town license covers you. Non-Arkansas businesses and contractors on city projects still need a Jonesboro license.
- Estimating inventory. Use actual counts and values on the stock statement.
- Filing a sole proprietor assumed name with the wrong office. It goes to the Craighead County Clerk, not the Secretary of State.
- Missing the May 1 franchise tax deadline. Late filing adds a $25 penalty plus interest.
- Treating the city license as a one-time stop. Confirm renewal dates with Collections and add them to your calendar.
Expected Results
A complete packet, with zoning approval, any required inspection, your state or county filings, and an accurate stock statement, is more likely to move through the Collections Office without being returned. Applicants who arrive with missing items may need a second trip. The Secretary of State's new business page anticipates 3 to 5 business days for filings, and its FAQ says most filings such as articles of incorporation are completed within two business days of receipt. Those timelines apply to state filings, not to the city's license decision, so ask Collections for its own timeline when you call.
Where to Get Help
- Jonesboro Collections Office, 300 South Church Street, 870-932-3042: privilege license and stock statement.
- Craighead County Health Department, 870-933-4585: final inspection for new businesses.
- Craighead County Clerk, 870-933-4520: sole proprietor assumed names.
- Arkansas Secretary of State, Business and Commercial Services Division, business name search, and the Corporations Online Filing System.
- Arkansas Department of Finance and Administration, dfa.arkansas.gov, including the sales and use tax registration page.
- Arkansas Small Business and Technology Development Center for business advising.
- SBA Arkansas district resources for general small business guidance.
For complex situations, such as multi-owner entities, licensed trades, or businesses with operations outside Arkansas, consult a qualified attorney or CPA before you file.