General Guidelines
Who: All persons or companies conducting business within the City limits of Morgan Hill are required to obtain a City Business License. Business types include: retailers, wholesalers, manufacturers, service providers, professionals, contractors, non-profit organizations, self-employed or consultants (home businesses), and residential landlords renting three or more units.

When: An application must be submitted and fees must be paid prior to commencement of business operations.

Where: Applications are available at the Finance Department (Directions to City Facilities). Once an application is submitted, it is reviewed and approved by various departments prior to issuance and mailing.

Rates: A variety of classifications and rates are set forth in the Business License ordinance. A brief rate schedule of the most common classifications is available from the Finance Department. One-time fees charged for processing your business license application include an application review fee and a zoning permit fee. Additional classifications and rates are available and can be provided by the Finance Department. To contact the Finance Department, call (408) 779-7237 or send an e-mail using the Citizen Inquiry/Feedback Form.

Renewal: Business Licenses are valid July through June, and therefore must be renewed annually. The City mails renewal notices as a courtesy. According to Municipal Code 5.04, the City is not required to send notification to any person/business who is liable for the fee. Businesses are obligated to pay their business license fee annually.

Compliance: Failure to comply with the ordinance is an infraction. Any person who fails to pay the fees prior to business commencement or 30 days after the renewal date is liable for penalties (10 percent after 30 days, an additional 15 percent after 60 days).

Where Valid: Your Business License is valid only within the City limits of Morgan Hill. It is required when you are doing business from your commercial/professional location, your residence, or when you are providing services to a resident or business within the City limits even if your office is located outside the City limits. Your business license is not a permit to operate and does not authorize you to operate a business that is otherwise prohibited by law or ordinance.

Business License Classification Options (partial list)
Home Based: Any business operated out of a residence located within the City limits of Morgan Hill

Fixed Place of Business: Business is at a commercial or industrial site located within the City limits of Morgan Hill

Professional: Doctor, dentist, engineer, accountant, masseur, located within the City limits of Morgan Hill in a commercial building

Apartment/Motel/Mobile Home Park: Business is based within the City limits of Morgan Hill

Peddler/Street Vendor: Ice Cream vehicle or push vehicle operated within the city limits of Morgan Hill

Contractor: Construction, plumbing, electrical, and other contractors are required to obtain a State Contractor's License

No Fixed Place of Business: Business is based outside the City limits of Morgan Hill and is providing services and/or materials/supplies to businesses or residents of Morgan Hill

Non-Profit Organization: Register with the Secretary of State and based within or outside the City limits of Morgan Hill

For More Information
For further information, contact the Finance Department by calling (408) 779-7237 or by sending an e-mail using the Citizen Inquiry/Feedback Form.

Municipal Code

Business License Application Form

Business License Fees