Complete guide to permits and licenses required to start a hotel / motel in West Fargo, ND. Fees, renewal cycles, and agency contacts.
Certificate of Authority (LLC Registration)
North Dakota Secretary of State
Required Fee: $135.00-$135.00
Renewal: one time
Type: registration
Required for all domestic LLCs; annual report required thereafter ($50 fee, due by anniversary date)
Annual Report (LLC)
North Dakota Secretary of State
Required Fee: $50.00-$50.00
Renewal: annual
Type: registration
Applies to all LLCs; filed online via SOS portal
Assumed Business Name Registration (if using DBA)
North Dakota Secretary of State
May Apply Fee: $25.00-$25.00
Renewal: one time
Type: registration
Not required if using exact legal name; searchable registry on SOS site
Hotel-Motel License
North Dakota Department of Health & Human Services (Health Regulation)
Required Fee: $100.00-$100.00
Renewal: annual
Type: license
Required for all hotels/motels offering sleeping rooms to transients; inspection required prior to issuance
Sales and Use Tax Permit
North Dakota Office of State Tax Commissioner
May Apply Fee: $0.00-$0.00
Renewal: one time
Type: registration
Rooms subject to 5% state sales tax + up to 2.5% local; monthly returns required
Lodging Gross Receipts Tax License
North Dakota Office of State Tax Commissioner
Required Fee: $0.00-$0.00
Renewal: one time
Type: license
2% tax on gross receipts from sleeping rooms; reported with sales tax returns
North Dakota Sales & Use Tax Registration (includes Lodging Tax)
North Dakota Department of Revenue
May Apply Fee: $0.00-$0.00
Renewal: one time
Type: registration
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North Dakota Income Tax Registration (Corporate or Personal)
North Dakota Department of Revenue
Required Fee: $0.00-$0.00
Renewal: one time
Type: registration
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North Dakota Withholding Tax Registration
North Dakota Office of the State Tax Commissioner
May Apply Renewal: one time
Type: registration
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North Dakota Unemployment Insurance (UI) Tax Registration
North Dakota Department of Labor and Human Rights – Unemployment Insurance Division
May Apply Renewal: one time
Type: registration
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North Dakota Lodging (Tourism) Tax – Local City/County Registration
City of Fargo – Finance Department (example; similar requirements exist in Bismarck, Grand Forks, etc.)
May Apply Fee: $0.00-$0.00
Renewal: one time
Type: registration
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City Business License (Fargo) – General Business Tax
City of Fargo – Finance Department
May Apply Fee: $50.00-$50.00
Renewal: one time
Type: license
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North Dakota Sales Tax on Prepared Food (Food Service Tax)
North Dakota Department of Revenue
May Apply Renewal: one time
Type: filing
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North Dakota Alcoholic Beverage Tax Registration
North Dakota Department of Revenue – Alcoholic Beverage Tax Division
May Apply Fee: $50.00-$50.00
Renewal: one time
Type: registration
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City Business License
City of Fargo
May Apply Fee: $50.00-$200.00
Renewal: annual
Type: license
Required for hotels/motels in most ND cities; check specific city code (e.g., Fargo Code Ch. 31-02)
Zoning Compliance / Use Permit
City of Bismarck Planning & Zoning
May Apply Fee: $200.00-$500.00
Renewal: one time
Type: permit
Hotels typically allowed in C-3/Commercial zones; Bismarck Ord. 9-08-01 et seq.
Building Permit
City of Fargo Inspections Division
May Apply Fee: $0.50-$2.00
Renewal: one time
Type: permit
Required per ND Uniform Construction Standards; local enforcement
Sign Permit
City of Fargo Planning & Development
May Apply Fee: $50.00-$50.00
Renewal: one time
Type: permit
Regulated by local sign ordinances (e.g., Grand Forks Code Sec. 36-51)
Workers' Compensation Insurance
North Dakota State Water Commission (Administered by the North Dakota Workers’ Compensation Bureau)
May Apply Fee: $500.00-$2000.00
Renewal: one time
Type: certificate
North Dakota law (ND Century Code § 38‑01‑01) requires all employers with ≥1 employee to carry workers’ comp. No statutory minimum dollar limit; policies must be sufficient to cover the state‑defined benefit schedule (e.g., up to $500 / week for temporary total disability).
General Liability Insurance
None (not state-mandated)
Required Fee: $500.00-$1500.00
Renewal: one time
Type: certificate
While North Dakota does not impose a statutory general‑liability requirement on hotels, local jurisdictions (e.g., city fire or health departments) often condition the issuance of a Lodging Establishment Permit on proof of $1 M general‑liability coverage.
Professional Liability / Errors & Omissions Insurance
None
Required Fee: $500.00-$1500.00
Renewal: one time
Type: certificate
Professional liability is not mandated for hotels in North Dakota, but may be prudent if the property offers services that could give rise to professional negligence claims.
Lodging Establishment Permit Surety Bond
North Dakota Department of Health – Division of Health Services (Lodging Regulation)
May Apply Fee: $5000.00-$10000.00
Renewal: one time
Type: certificate
North Dakota Administrative Code 10‑1‑03 requires a surety bond (minimum $5,000) as a condition of the Lodging Establishment Permit to ensure compliance with health‑safety standards.
Commercial Auto Liability Insurance
North Dakota Department of Transportation – Vehicle Registration Division
May Apply Fee: $25000.00-$25000.00
Renewal: one time
Type: certificate
North Dakota minimum liability limits for commercial vehicles are $25,000 per person for bodily injury, $50,000 per accident for bodily injury, and $25,000 for property damage.
Liquor Liability Insurance
None
May Apply Fee: $300.00-$1000.00
Renewal: one time
Type: certificate
North Dakota law (ND Century Code § 38‑31‑01) requires licensees to maintain liability insurance covering claims arising from the sale or service of alcoholic beverages.
Product Liability Insurance
None
Required Fee: $1000.00-$3000.00
Renewal: one time
Type: certificate
Product liability is not mandated by North Dakota law for hotels, but insurers and lenders often require it when the property sells tangible goods.
Fire & Safety Bond (Local Fire Department Requirement)
Local Fire Department / City of Fargo Fire Marshal (example city)
May Apply Fee: $2500.00-$2500.00
Renewal: one time
Type: certificate
Many North Dakota municipalities require a fire‑safety bond as part of the building‑occupancy permit process for hotels and motels. The exact amount varies by city and building size.
Employer Identification Number (EIN)
Internal Revenue Service (IRS)
May Apply Fee: $0.00-$0.00
Renewal: one time
Type: registration
All LLCs that will employ staff, open a business bank account, or file any federal tax return must obtain an EIN.
Federal Income Tax Filing (Partnership or Corporate) for LLC
Internal Revenue Service (IRS)
May Apply Fee: $300.00-$300.00
Renewal: annual
Type: filing
Default classification for multi‑member LLCs is partnership. Single‑member LLCs are disregarded entities unless electing corporate tax treatment.
Health Department Permit (Lodging)
North Dakota Department of Health & Human Services (local enforcement)
Required Fee: $100.00-$300.00
Renewal: annual
Type: license
Local health districts (e.g., Bismarck-Burleigh) inspect per NDAC 33-25-03
Fire Safety Inspection / Permit
City of Fargo Fire Department
Required Fee: $150.00-$150.00
Renewal: annual
Type: permit
Per IFC 2021 as adopted locally; occupancy load certificate issued
Certificate of Occupancy
City of Fargo Inspections Division
May Apply Renewal: one time
Type: permit
Confirms zoning/building/fire compliance; local code enforcement
Fire Alarm / Sprinkler Permit
Grand Forks Fire Department
May Apply Fee: $100.00-$300.00
Renewal: one time
Type: permit
Annual monitoring certification also needed; ND Fire Code Ch. 9
Parking Lot / Site Plan Approval
City of Minot Planning
May Apply Fee: $250.00-$250.00
Renewal: one time
Type: permit
Local zoning codes specify ratios for hotels/motels
Employment Tax Reporting (Federal Payroll Taxes)
Internal Revenue Service (IRS)
May Apply Renewal: one time
Type: filing
Even a single‑member LLC with employees must file these forms.
OSHA Recordkeeping & Workplace Safety (General Industry)
Occupational Safety and Health Administration (OSHA)
May Apply Fee: $100.00-$100.00
Renewal: one time
Type: permit
Hotels fall under the General Industry standards (29 CFR 1910).
Americans with Disabilities Act (ADA) – Title III Public Accommodation Requirements
U.S. Department of Justice, Civil Rights Division
May Apply Renewal: one time
Type: permit
Requires accessible guest rooms, bathrooms, common areas, and auxiliary aids (e.g., visual alarms).
EPA Section 608 – Refrigerant Management (Air‑Conditioning & HVAC)
U.S. Environmental Protection Agency (EPA)
May Apply Fee: $50.00-$50.00
Renewal: one time
Type: permit
Applies to all commercial HVAC units; documentation must be retained for 3 years.
Federal Trade Commission (FTC) – Truthful Advertising & Consumer Protection
Federal Trade Commission (FTC)
Required Fee: $200.00-$200.00
Renewal: one time
Type: permit
Hotels must ensure rate advertisements, “free” offers, and online listings are not deceptive.
Department of Labor – Fair Labor Standards Act (FLSA) Wage & Hour Rules
U.S. Department of Labor (DOL) – Wage and Hour Division
May Apply Renewal: one time
Type: permit
Includes housekeeping, front‑desk, food‑service, and maintenance staff.
Department of Labor – Family and Medical Leave Act (FMLA) Eligibility & Recordkeeping
U.S. Department of Labor (DOL) – FMLA
May Apply Renewal: one time
Type: permit
Hotels typically meet the employee count threshold.
Department of Labor – Form I‑9 Employment Eligibility Verification
U.S. Citizenship and Immigration Services (USCIS) under DOL
May Apply Renewal: one time
Type: permit
Electronic completion is permitted if the system meets DHS requirements.
Federal Reporting – Form 5500 (Employee Benefit Plans) if Offering Retirement or Health Plans
Department of Labor (DOL) – Employee Benefits Security Administration (EBSA)
May Apply Fee: $50.00-$50.00
Renewal: annual
Type: filing
Only required if the hotel maintains an employee benefit plan covered by ERISA.
Federal Alcohol Permit (if Hotel Serves Alcohol on‑Premises)
Alcohol and Tobacco Tax and Trade Bureau (TTB) – ATF
May Apply Fee: $0.00-$0.00
Renewal: one time
Type: license
Most hotels obtain the permit through the state’s liquor authority; the federal permit is required for manufacturers, importers, or wholesalers, but the TTB still requires a Basic Permit for any entity handling alcohol.
North Dakota LLC Annual Report
North Dakota Secretary of State
Required Fee: $50.00-$50.00
Renewal: annual
Type: filing
Report must include current address, registered agent, and members/managers. No separate filing for LLCs that are taxed as partnerships.
North Dakota Lodging (Hotel/Motel) License
North Dakota Department of Health
Required Renewal: annual
Type: license
License is required for any establishment offering overnight lodging for a fee. Renewal includes submission of a completed inspection report.
Annual Health Inspection for Lodging Establishments
North Dakota Department of Health
Required Renewal: annual
Type: permit
Inspection covers sanitation, food service (if applicable), and guest room conditions.
Annual Fire Safety Inspection
North Dakota State Fire Marshal’s Office
Required Fee: $50.00-$50.00
Renewal: annual
Type: permit
Includes verification of fire extinguishers, smoke detectors, egress routes, and occupancy limits.
North Dakota Sales and Use Tax – Lodging Tax
North Dakota Department of Revenue
May Apply Renewal: varies
Type: filing
All lodging charges (room rate, taxes, fees) are subject to sales tax. Returns filed electronically via the ND Taxpayer Access Point (TAP).
North Dakota Corporate/Partnership Income Tax Return (Form 65 or Form 20)
North Dakota Office of the State Tax Commissioner
May Apply Renewal: annual
Type: filing
Attach Schedule K‑1 for each member. Estimated tax payments may be required if tax liability > $500.
North Dakota Unemployment Insurance Quarterly Reporting
North Dakota Department of Labor & Human Rights
May Apply Renewal: varies
Type: filing
Report wages and pay employer UI contributions electronically via the ND UI portal.
North Dakota Workers’ Compensation Annual Premium Payment & Report
North Dakota Department of Labor & Human Rights – Workers’ Compensation Division
May Apply Renewal: annual
Type: certificate
Employers must maintain a Workers’ Compensation policy and submit the Annual Report of Payroll and Experience Rating.
North Dakota State Payroll Withholding Quarterly Returns
North Dakota Department of Revenue
May Apply Renewal: varies
Type: filing
File electronically via the ND Taxpayer Access Point (TAP).
Federal Employer Identification Number (EIN) Annual Confirmation
Internal Revenue Service (IRS)
Required Renewal: one time
Type: registration
EIN must be used on all federal tax filings and payroll reports.
Federal Form 941 – Employer’s Quarterly Federal Tax Return
Internal Revenue Service (IRS)
May Apply Renewal: varies
Type: filing
Report federal income tax withheld, Social Security, and Medicare taxes.
Federal Form 940 – Annual Federal Unemployment (FUTA) Tax Return
Internal Revenue Service (IRS)
May Apply Renewal: annual
Type: filing
FUTA tax is calculated on the first $7,000 of wages per employee.
Federal OSHA Workplace Safety Posters
Occupational Safety and Health Administration (OSHA)
May Apply Renewal: one time
Type: permit
Includes the OSHA Job Safety and Health – It’s the Law poster.
Federal Fair Labor Standards Act (FLSA) Minimum Wage & Overtime Poster
U.S. Department of Labor
May Apply Renewal: one time
Type: permit
Must be displayed in a conspicuous place where employees can see it.
North Dakota Minimum Wage Poster
North Dakota Department of Labor & Human Rights
May Apply Renewal: one time
Type: permit
Poster includes state minimum wage, overtime, and child labor provisions.
Local Business License (City of Bismarck) – General Business License
City of Bismarck, North Dakota
May Apply Fee: $50.00-$50.00
Renewal: annual
Type: license
Requires proof of state lodging license and fire inspection certificate.
Local Zoning/Occupancy Permit Renewal
County or City Planning Department (e.g., Cass County Planning)
May Apply Fee: $30.00-$30.00
Renewal: annual
Type: permit
Ensures the building meets local land‑use and occupancy classifications for lodging.
Record Retention – Tax and Financial Records
North Dakota Department of Revenue
Required Renewal: one time
Type: permit
Includes sales tax returns, payroll tax filings, and income tax returns.
Record Retention – Employment Records
North Dakota Department of Labor and Human Rights
Required Renewal: one time
Type: permit
Includes I‑9 forms, wage statements, UI reports, and workers’ compensation logs.
Record Retention – Health Inspection Reports
North Dakota Department of Health
Required Renewal: one time
Type: permit
Include copies of all health inspection reports and corrective action documentation.
Annual Report to North Dakota Department of Health – Lodging Statistics
North Dakota Department of Health
Required Renewal: annual
Type: filing
Report total rooms, occupancy rates, and any food service operations.
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