Pawnshop Permits & Licenses in Memphis, TN

While Tennessee does not mandate product liability insurance for pawnshops, many lenders and landlords require proof of such coverage.

Most pawnshops do not sell alcohol; this requirement applies only if the business obtains a separate liquor license.

Required for all LLCs; online filing via Tennessee Secretary of State portal. Annual Report is separate (see below).

Applies to all LLCs; fee based on number of members as of January 1.

Specific to pawnshops; requires surety bond of $10,000, background check, and compliance with record-keeping/reporting to local law enforcement. Applications via board portal.

Required if using DBA; county-level publication may also be required in some cases (verify locally).

Online registration via Tennessee Taxpayer Access Point (TNTAP); monthly/quarterly filing based on revenue.

Pawnshops must collect and remit sales tax on all taxable retail sales of goods (including redeemed or forfeited items sold). Applies to all tangible personal property sold. Registration is mandatory for all businesses selling taxable goods in TN. Register via the Tennessee Taxpayer Access Point (TNTAP).

All Tennessee LLCs are subject to franchise and excise tax unless exempt. The tax is based on the greater of the company's net worth or real and tangible property in Tennessee. Must file annually using Form FAE-101. Due by the 15th day of the 4th month after the end of the tax year (e.g., April 15 for calendar-year filers).

Required if the pawnshop has employees. Employers must withhold state income tax from employee wages and remit it to the state. Registration is done through TNTAP. Filing frequency (monthly or quarterly) depends on the amount withheld.

All employers with employees in Tennessee must register for unemployment insurance (UI) tax. New employers typically pay a standard rate of 2.7% on the first $7,000 of wages per employee annually. Registration is through the Tennessee Workforce Online system.

Most Tennessee cities and counties impose a local business privilege tax based on gross receipts. Pawnshops must register with each local jurisdiction where they operate. Examples: Nashville, Memphis, Knoxville. Contact local clerk or finance office for exact rates and forms.

Required for all LLCs, even with no employees. Used for federal tax reporting, including income, employment, and excise taxes. Apply online via IRS website. Not a state requirement but mandatory for federal compliance.

Specific to pawnshops/dealers in Shelby County; requires state pawn license first. See Ordinance No. 1417.

All businesses, including pawnshops, require this. Pawnshops classified under "secondhand dealer.

Pawnshops require special use permit in C-3 zoning; home occupation prohibited.

Pawnshops often classified as mercantile/hazardous due to valuables.

Mandatory for all TN pawnshops. Local permits still required.

Tennessee law (T.C.A. § 50‑1‑101 et seq.) requires *all* employers with any employees to carry workers’ comp; sole‑owner operators with no employees are exempt.

State law does not mandate general liability for pawnshops, but it is strongly recommended to protect against third‑party bodily injury or property damage claims.

Professional liability is not a statutory requirement for pawnshops in Tennessee, but may be required by certain local ordinances or financing agreements.

Tennessee law (T.C.A. § 67‑11‑101) requires every pawnshop to post a $10,000 surety bond as a condition of licensure.

This is a federal requirement, not a Tennessee state mandate, but it is industry‑specific for pawnshops dealing in firearms.

All U.S. businesses, including pawnshop LLCs, must obtain an EIN for federal tax purposes.

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Pawnshops are places of public accommodation and must provide accessible entrances, counters, and services.

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All Tennessee LLCs must file an annual report to remain in good standing. The fee is calculated based on the number of members: $50 per member, capped at $3,000. Example: a 6-member LLC pays $300.

All pawnshops in Tennessee must obtain and renew an annual license from the Department of Safety. The application and renewal are handled through the agency. Renewal after January 31 incurs a $25 late fee.

Required under 18 U.S.C. § 923. Most pawnshops holding firearms for redemption do not need an FFL unless they resell firearms. If selling, a Type 02 FFL is typical. Renewal is triennial, not annual.

Tennessee does not have a state-level general business license, but most counties and cities require a business tax license. For example, Nashville (Davidson County) requires renewal by March 1. Fees are based on prior year’s gross receipts.

All pawnshops must collect and remit sales tax on sold items. The sales tax license does not expire but requires ongoing compliance. Filing frequency is determined by the Department of Revenue based on annual sales. Estimated payments not required; however, returns must be filed even if no tax is due.

Tennessee minimum liability limits for commercial vehicles are $25,000 per person, $50,000 per accident for bodily injury, and $25,000 for property damage.

Pawnbrokers are considered 'financial institutions' under the BSA. Must file Form 8300 for any single transaction or related transactions totaling over $10,000 in cash. Records must be kept for five years. Applies to all pawnshops regardless of size.

Tennessee law (TCA § 65-10-106) requires pawnbrokers to maintain a daily transaction record including customer ID, item description, loan amount, and redemption terms. Must be available for inspection by law enforcement. Electronic records acceptable if secure and accessible.

The state-issued pawnbroker license must be posted in a conspicuous location at the business premises. Additional required postings may include local business tax certificate and 'No Refund' signage if applicable.

Required under 29 CFR 1904.25. The OSHA Job Safety and Health – It's the Law poster must be displayed in a common area accessible to employees. Available in English and Spanish.

Employers must display current Tennessee labor law posters, including Minimum Wage, Workers' Compensation, and Equal Employment Opportunity. Updated versions are issued periodically; employers must update within 30 days of changes.

Most cities in Tennessee require annual fire inspections for commercial properties. The business must pass inspection to maintain a valid Certificate of Occupancy. Contact local fire department for exact schedule.

EIN itself does not require renewal, but associated tax filings do. Employers must file Form 941 quarterly and Form 940 annually. LLCs taxed as S-corps must file Form 1120S annually by March 15.

All Tennessee LLCs are subject to the franchise and excise tax unless they qualify as a 'pass-through entity' with no in-state activity. The excise tax is based on net earnings, and the franchise tax is based on net worth. Filed using Form FAE 170.

Some municipalities restrict pawnshops to certain zones or require a special use permit. Business must periodically verify zoning compliance, especially after local ordinance updates. Contact local planning office for specifics.