Complete guide to permits and licenses required to start a barber / cosmetology in Grand Forks, ND. Fees, renewal cycles, and agency contacts.
Required for all LLCs formed or authorized to do business in ND. Annual report required thereafter ($50 fee, due by anniversary date).
Shop must have licensed manager/barber on duty; inspected for sanitation/equipment compliance.
Salon license required if offering cosmetology services (hair, skin, nails). Must have licensed cosmetologist as manager.
Prerequisites: 1,500 hours education OR 3 years apprenticeship + state exam (written/practical). Required for shop operation.
Prerequisites: 1,600 hours approved education + state exam. LLC owner/employee must hold if providing services.
Renew every 5 years ($10). Search required to confirm availability.
All LLCs must file regardless of industry.
Barber and cosmetology services are taxable in ND at the state sales‑tax rate (5%). Registration is done through the Taxpayer Access Point (TAP).
Filing frequency is assigned by the Department of Revenue based on average monthly tax liability.
If the LLC is taxed as a partnership/sole proprietorship, no corporate income tax filing is required.
Estimated tax payments may be required quarterly.
Registration is completed via the Taxpayer Access Point (TAP).
Requires payment of federal minimum wage ($7.25/hour) and overtime (1.5x regular rate for hours over 40/week). Tips are allowed to count toward minimum wage under the tip credit rules, but barbers are typically paid hourly or commission, not tipped employees. Recordkeeping of hours and wages required.
Requires eligible employees (12 months with employer, 1,250 hours worked) to receive up to 12 weeks of unpaid, job-protected leave for qualifying family/medical reasons. Most small barbershops do not meet the 50-employee threshold.
Licensing is regulated entirely at the state level. In North Dakota, barbers must be licensed by the North Dakota Board of Barber Examiners. No federal license is required to operate a barber or cosmetology business.
The FDA regulates cosmetics under the Federal Food, Drug, and Cosmetic Act. Businesses must ensure products are properly labeled, not adulterated, and not making drug claims (e.g., "treats dandruff" unless registered as a drug). No pre-market approval required, but adverse event reporting encouraged.
Report must be filed online; includes basic company information.
Renewal must be completed online; proof of continuing‑education is required.
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Inspection covers sanitation, sterilization, and facility compliance.
Check with the city or county fire marshal for exact schedule.
Electronic filing via TAP is required for most filers.
Registration is completed through the UI Online portal.
Electronic filing via UI Online is required.
Barber and cosmetology services are not subject to the Business Activity Tax.
Renewal required annually; filing is online via the City’s Business License portal.
Renewal required annually; payment can be made online.
Barber/cosmetology businesses must submit proof of ND State Board of Barber Examiners license. Not required in all municipalities.
Most ND counties do not require general business licenses; verify specific county.
Requires site plan review; home-based operations need home occupation permit (limited to 25% floor area).
Strict limits on traffic, signage, equipment storage.
Barber shops require plumbing/electrical review for sinks, dryers.
Max size 1.5x building frontage; barber pole signs allowed as accessory.
Barber/cosmetology requires review of aerosols, electrical appliances, exits.
Focuses on sanitation, wastewater, sharps disposal.
Requires building, fire, zoning approval.
Most small barber shops exempt unless multi-tenant.
Sole proprietors with no employees are exempt. Coverage limits are set by the Workers’ Compensation Act, not by a dollar‑amount policy limit.
The bond amount is $5,000 for each individual cosmetology/barber license in North Dakota. The bond protects the state and the public against violations of the licensing statutes.
North Dakota law does not require general liability insurance for barbers, but the Board of Cosmetology recommends a minimum of $1 million per occurrence to protect against client injury claims.
Registration required before first taxable sale.
LLC members report income on personal returns; Schedule K‑1 issued by the LLC.
LLC taxed as partnership files Form 1065; if elected to be taxed as corporation, file Form 1120.
Required if tax liability expected to be $1,000 or more.
Report wages and pay UI contributions each quarter.
Submit proof of insurance and payroll summary.
Report federal income tax withheld, Social Security, and Medicare taxes.
Report FUTA tax.
Includes FLSA, OSHA, EEOC, Family & Medical Leave Act, etc.
Includes ND Minimum Wage, Workers’ Compensation, Unemployment Insurance, etc.
Includes time cards, wage statements, tax filings, and UI/WC reports.
Include copies of CE certificates, license renewal confirmations, and inspection reports.
While not mandated, many professional associations and client contracts request this coverage.
North Dakota requires at least $25,000 bodily injury per person, $50,000 per accident, and $10,000 property damage liability limits for commercial vehicles.
The Board advises a minimum $1 million aggregate limit to protect against claims arising from product use.
Most barber shops do not serve alcohol; this requirement is included for completeness should the business choose to add a bar area.
While not required for sole proprietors with no employees, most LLCs obtain an EIN for banking and liability protection. Form SS-4 is used to apply.
Single-member LLCs are disregarded entities for federal tax purposes and report income on Schedule C. Multi-member LLCs are treated as partnerships and must file Form 1065. All owners must pay self-employment tax on net earnings via Schedule SE.
Barbershops must comply with OSHA’s general duty clause and specific standards for bloodborne pathogens (29 CFR 1910.1030), personal protective equipment (PPE), and hazard communication (chemicals in dyes, disinfectants). Training and exposure control plans required for employees exposed to blood or other potentially infectious materials.
Requires accessible entrances, restrooms, pathways, and services for people with disabilities. New construction or alterations must meet ADA Standards for Accessible Design. Existing facilities must remove barriers if "readily achievable.
Most barbershops generate only small quantities of hazardous waste. If using chemical products regulated under RCRA (e.g., certain salon disinfectants), must follow storage, labeling, and disposal rules. Typically qualifies as a Conditionally Exempt Small Quantity Generator (CESQG) if <220 lbs/month.
Prohibits deceptive or misleading advertising (e.g., false claims about services, pricing, or results). Applies to all public marketing, including websites and social media. Also enforces the "Cooling-Off Rule" for door-to-door sales (not typically applicable to barbershops unless offering mobile services).
Form I-9 must be completed for every employee hired in the U.S. to verify identity and work authorization. E-Verify is not federally mandated for most small businesses unless in certain states or federal contractors.
No, there is currently no federal license required specifically for barbering or cosmetology services; however, you must adhere to all other applicable federal regulations like those from the FTC and IRS.
ADA compliance costs can vary significantly, ranging from $200.00 to $5000.00, depending on the necessary modifications to your business premises to ensure accessibility for individuals with disabilities.
The Federal Trade Commission (FTC) regulates advertising and consumer protection practices, ensuring truth in advertising and fair business dealings; fees associated with compliance vary.
An Employer Identification Number (EIN) is required if you plan to hire employees or operate as a corporation or partnership; it's free to obtain from the IRS.
If operating as an LLC, you'll have federal income and self-employment tax obligations, potentially incurring fees up to $168600.00, and must maintain accurate records for filing purposes.
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