Coffee Shop / Cafe Permits & Licenses in Orem, UT

Complete guide to permits and licenses required to start a coffee shop / cafe in Orem, UT. Fees, renewal cycles, and agency contacts.

Parking Plan Review / Permit

City/County Engineering/Planning
May Apply
Fee: $250.00-$1000.00
Renewal: one time
Type: permit

Traffic impact analysis may be required for high-volume locations.

Certificate of Occupancy

Local Building Official
May Apply
Renewal: one time
Type: permit

Verifies code compliance for commercial food space.

Utah LLC Registration (Certificate of Organization)

Utah Division of Corporations and Commercial Code
Required
Fee: $54.00-$54.00
Renewal: one time
Type: registration

Required for all LLCs. Annual renewal report also required (see separate entry).

Utah LLC Annual Renewal Report

Utah Division of Corporations and Commercial Code
Required
Fee: $18.00-$18.00
Renewal: annual
Type: registration

Applies to all LLCs; filed online via SilverFlume portal.

Assumed Name (DBA) Registration

Utah Division of Corporations and Commercial Code
May Apply
Fee: $22.00-$22.00
Renewal: one time
Type: registration

Renewal required before expiration (10-year term); searchable statewide database.

Utah Sales Tax License (Sales Tax ID)

Utah State Tax Commission
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

File via Taxpayer Access Point (TAP); monthly/quarterly returns required based on revenue.

Utah Prepared Food Certification

Utah State Tax Commission
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Certification allows charging full 7.25%+ sales tax on prepared items; display certificate at business.

Food Service Establishment Permit

Utah Department of Health and Human Services (local county health dept administers)
May Apply
Fee: $200.00-$500.00
Renewal: annual
Type: license

Issued by local health department (e.g., Salt Lake County Health); plan review required pre-opening. State rules at https://health.utah.gov/foodsafety/

Fire Safety Inspection / Permit

Local Fire Department
Required
Fee: $100.00-$400.00
Renewal: annual
Type: permit

Covers extinguishers, exits, kitchen suppression. Adopted IFC 2018.

Fire Alarm Permit

Local fire marshal
May Apply
Fee: $75.00-$250.00
Renewal: one time
Type: permit

Specific to assembly/food service occupancy.

Home Occupation Permit

Varies by city/county (e.g., Salt Lake City)
May Apply
Fee: $50.00-$150.00
Renewal: one time
Type: permit

Typically prohibits food sales/employees; not viable for full cafe.

Workers' Compensation Insurance

Utah Labor Commission - Division of Industrial Accident
May Apply
Fee: $1.50-$3.50
Renewal: one time
Type: certificate

Required for all employers with one or more employees, full- or part-time. Sole proprietors are not required to cover themselves unless they opt in. Exemption applies only if no employees are hired.

General Liability Insurance

Not applicable (no state mandate)
Required
Fee: $500.00-$2000.00
Renewal: one time
Type: certificate

Not legally required by Utah state law for coffee shops, but strongly recommended and often required by landlords, leases, or local health departments. May be mandated indirectly through municipal agreements or property contracts.

Retail Tobacco Specialty Business License (if selling tobacco products)

Utah Department of Agriculture and Food
May Apply
Fee: $200.00-$200.00
Renewal: annual
Type: license

Coffee shops typically do not sell these; included for completeness if applicable.

Liquor Agency License (if serving alcohol)

Utah Department of Alcoholic Beverage Services (DABS)
May Apply
Fee: $2000.00-$2000.00
Renewal: annual
Type: license

Standard coffee shop/cafe does not serve alcohol; requires location approval and training.

Utah Sales Tax License

Utah State Tax Commission
Required
Fee: $0.00-$0.00
Renewal: one time
Type: license

Required for all businesses selling tangible goods or certain services, including prepared food and beverages. Coffee shops must collect and remit sales tax on all taxable sales. The statewide rate is 4.85%, plus local option taxes (typically 1-3%).

Utah Withholding Tax Registration

Utah State Tax Commission
May Apply
Renewal: one time
Type: registration

Mandatory for employers in Utah. Employers must withhold state income tax from employee wages and remit it to the Utah State Tax Commission. Registration is done via Form TC-69.

Commercial Auto Insurance

Utah Department of Public Safety - Driver License Division
May Apply
Fee: $1200.00-$2500.00
Renewal: one time
Type: certificate

Required if the coffee shop owns or regularly uses vehicles for deliveries, mobile service, or employee transport. Applies to all registered vehicles under the business name.

Surety Bond – Sales Tax License Bond

Utah State Tax Commission
May Apply
Fee: $500.00-$2000.00
Renewal: one time
Type: certificate

A surety bond may be required when applying for a Sales Tax License if the business or owner has a history of delinquent taxes. Businesses with good credit may be exempt. Minimum bond amount: $1,000; typically $10,000.

Product Liability Insurance

Not applicable
Required
Renewal: one time
Type: certificate

Not legally required in Utah, but highly recommended for businesses selling food and beverages. Covers claims related to illness, contamination, or injury from products sold. Often included in general liability or umbrella policies.

Liquor Liability Insurance

Utah Department of Alcoholic Beverage Control (DABC)
May Apply
Renewal: one time
Type: certificate

Mandatory for any coffee shop that sells alcoholic beverages (e.g., wine or beer in the evening). Minimum coverage typically $1 million per incident. Required as a condition of liquor license issuance.

Food Service License & Health Inspection Compliance

Utah Department of Health
Required
Fee: $100.00-$300.00
Renewal: one time
Type: permit

Required for all coffee shops selling food to the public. Includes facility inspections, employee food handler certification, and adherence to health codes. Non-compliance may affect insurance validity and business operations.

Obtain Employer Identification Number (EIN)

Internal Revenue Service (IRS)
May Apply
Renewal: one time
Type: registration

While not required for all single-member LLCs with no employees, most coffee shops will need an EIN for banking and tax purposes. Application is free via IRS Form SS-4.

Federal Income Tax Filing Obligations for LLC

Internal Revenue Service (IRS)
May Apply
Renewal: one time
Type: filing

LLCs are pass-through entities by default. Coffee shop income flows to owners' personal tax returns. Multi-member LLCs must file Form 1065; single-member may file Schedule C.

Self-Employment Tax Payment

Internal Revenue Service (IRS)
May Apply
Renewal: varies
Type: permit

Owners must pay self-employment tax via Form 1040-ES. Applies even if no employees are hired.

OSHA Workplace Safety Compliance

Occupational Safety and Health Administration (OSHA)
May Apply
Fee: $100.00-$100.00
Renewal: one time
Type: permit

Requires maintaining a safe workplace, including proper handling of hot equipment (espresso machines, ovens), slip-resistant flooring, and accessible emergency exits. Injury logs required if 11+ employees.

ADA Title III Compliance for Public Accommodations

Department of Justice (DOJ)
Required
Fee: $1000.00-$5000.00
Renewal: one time
Type: permit

Applies to all public-facing businesses. Coffee shops must ensure accessible entrances, counters, restrooms (if provided), and seating. Includes digital accessibility if online ordering is offered.

FDA Food Facility Registration

Food and Drug Administration (FDA)
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

Coffee shops that serve food (pastries, sandwiches) or brew coffee for on-site consumption must register with FDA. Registration renewed every 2 years (odd-numbered years, next due 2025).

FDA Food Code Compliance (via state adoption)

Food and Drug Administration (FDA)
May Apply
Renewal: one time
Type: permit

FDA publishes the Food Code, which Utah adopts through its health regulations. Includes food handling, storage, cross-contamination prevention, and employee hygiene. Required for coffee shops serving food.

Federal Trade Commission (FTC) Advertising and Labeling Compliance

Federal Trade Commission (FTC)
Required
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Prohibits deceptive advertising (e.g., false claims about organic ingredients, origin of beans, health benefits). Applies to menus, websites, and social media. "Made with organic coffee" must meet USDA NOP standards.

Fair Labor Standards Act (FLSA) Compliance

Department of Labor (DOL)
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Sets federal minimum wage ($7.25/hr), overtime (1.5x after 40 hours), and recordkeeping requirements. Coffee shop employees must be properly classified (non-exempt).

Utah Unemployment Insurance Tax Registration

Utah Workforce Services
May Apply
Renewal: one time
Type: registration

Employers must register with Utah Workforce Services to pay state unemployment insurance (SUI) tax. New employers pay a standard rate of 2.7% on the first $40,500 of each employee's wages (as of 2024).

Utah State Income Tax Filing (Pass-Through Entities)

Utah State Tax Commission
Required
Fee: $0.00-$0.00
Renewal: one time
Type: filing

Utah does not impose a corporate income tax or franchise tax on LLCs. However, LLCs are pass-through entities; owners report income on personal Utah income tax returns (Form TC-40). No separate entity-level tax is due.

Local Business License or Privilege Tax

Varies by municipality
May Apply
Fee: $25.00-$100.00
Renewal: one time
Type: registration

Most Utah cities (e.g., Salt Lake City, Provo, Ogden) require a local business license or privilege tax. Fees and requirements vary. Coffee shops must check with the city or county clerk where they operate.

Utah Transient Room Tax (if applicable)

Utah State Tax Commission
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

Only applies if the coffee shop operates a bed and breakfast or similar lodging. Standard rate is 4.95% state tax plus local option taxes. Not applicable to typical cafes without lodging.

Federal EIN Registration

Internal Revenue Service (IRS)
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: registration

All LLCs must obtain a Federal Employer Identification Number (EIN), even without employees. Used for federal tax reporting. Required for opening business bank accounts and state tax registration.

City Business License

Various Utah Cities/Counties
Required
Fee: $100.00-$300.00
Renewal: annual
Type: license

Required in all Utah municipalities. Check specific city code (e.g., SLC Code 5.68). Fees from current schedules.

County Business License

Utah Counties (e.g., Salt Lake County)
May Apply
Fee: $50.00-$200.00
Renewal: annual
Type: license

Applies if operating outside city limits. Example: Salt Lake County requires for unincorporated areas.

Form I-9 Employment Eligibility Verification

U.S. Citizenship and Immigration Services (DHS)
May Apply
Renewal: one time
Type: permit

Must complete Form I-9 for every employee, verifying identity and work authorization. Employers must retain for 3 years after hire or 1 year after employment ends.

Family and Medical Leave Act (FMLA) Compliance

U.S. Department of Labor (DOL)
May Apply
Renewal: one time
Type: permit

Requires eligible employees (12 months, 1,250 hours) to receive up to 12 weeks of unpaid, job-protected leave annually. Most small coffee shops are exempt.

EPA Requirements for Coffee Roasting (if applicable)

Environmental Protection Agency (EPA)
May Apply
Renewal: one time
Type: permit

Small batch roasting (under 1,000 lbs/week) may be exempt. Larger operations may need Prevention of Significant Deterioration (PSD) permits or comply with New Source Performance Standards (NSPS).

Alcohol Beverage Licensing (if serving alcohol)

Alcohol and Tobacco Tax and Trade Bureau (TTB)
May Apply
Fee: $1000.00-$1000.00
Renewal: one time
Type: license

Requires TTB Basic Permit (Form 5630.5t) in addition to state and local alcohol licenses. Required even for limited beer/wine service.

Annual Report Filing for LLC

Utah Division of Corporations and Commercial Code
Required
Fee: $18.00-$18.00
Renewal: annual
Type: permit

All Utah LLCs must file an annual report by April 1st each year to remain in good standing. The report includes business address, registered agent information, and management structure. This is a state-level requirement for all LLCs regardless of industry.

Utah Sales Tax License Renewal

Utah State Tax Commission
Required
Fee: $0.00-$0.00
Renewal: annual
Type: license

The Sales Tax License (also known as a Seller’s Permit) is issued once and does not expire. However, businesses must remain compliant with filing and payment requirements. This applies to all businesses selling taxable goods or services, including coffee shops selling food and beverages.

Sales and Use Tax Filing

Utah State Tax Commission
Required
Renewal: one time
Type: filing

All coffee shops collecting sales tax must file returns electronically via TaxExpress. Filing frequency (monthly or quarterly) is assigned by the Tax Commission based on sales volume. Applies to all retail food service businesses.

Estimated Utah State Income Tax Payments (for LLC owners)

Utah State Tax Commission
May Apply
Renewal: varies
Type: permit

LLC owners (as pass-through entities) must make quarterly estimated tax payments on business income. This is a personal obligation of the owner(s), not the business entity.

Federal Estimated Tax Payments

Internal Revenue Service (IRS)
May Apply
Renewal: varies
Type: permit

Self-employed individuals, including LLC members, must make quarterly estimated tax payments for federal income and self-employment taxes. This is a federal requirement for all pass-through business owners.

Health Department Inspection and Permit Renewal

Local Health Department (e.g., Salt Lake County Health Department or equivalent)
May Apply
Fee: $150.00-$400.00
Renewal: annual
Type: permit

All coffee shops serving food or beverages must obtain and renew a food service license from the local health department. Inspections are conducted at least once per year, often more frequently for new establishments. Required in all Utah counties. Fees vary by jurisdiction.

Fire Department Inspection

Local Fire Department (e.g., Salt Lake City Fire Department)
May Apply
Fee: $0.00-$0.00
Renewal: annual
Type: permit

Commercial buildings with public occupancy are subject to annual fire safety inspections. Inspectors check for proper exits, fire extinguishers, suppression systems (if applicable), and compliance with NFPA codes. Required in all Utah municipalities.

Employer Withholding Tax Registration and Filing

Utah State Tax Commission
May Apply
Renewal: one time
Type: filing

Employers must register for Utah withholding tax, withhold state income tax from employee wages, and file returns. Deposit frequency (monthly or semi-weekly) depends on the amount withheld. Applies to all Utah employers.

Federal Employer Identification Number (EIN) Reporting

Internal Revenue Service (IRS)
May Apply
Renewal: one time
Type: filing

Single-member LLCs without employees may use the owner’s SSN, but most open a separate EIN for banking and liability purposes. EIN is required for all employers and remains valid indefinitely.

OSHA Poster (Job Safety and Health: It’s the Law)

Occupational Safety and Health Administration (OSHA)
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Federal law requires all employers to display the OSHA poster informing employees of their rights and responsibilities under the OSH Act. Can be downloaded free from OSHA website. Applies to all U.S. employers with employees.

Utah Labor Law Posters

Utah Labor Commission
May Apply
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Employers in Utah must display current state and federal labor law posters, including minimum wage, anti-discrimination, and family leave notices. Available for free download from the Utah Department of Workforce Services.

Zoning Compliance / Use Permit

Local City/County Planning Department
Required
Fee: $200.00-$500.00
Renewal: one time
Type: permit

Must verify commercial zoning allows food service. Specific to property location (e.g., SLC Zoning Code Title 21).

Building Permit

Local Building Department (e.g., Salt Lake City)
May Apply
Renewal: one time
Type: permit

Required for cafe build-out (e.g., counters, plumbing). Fees per adopted International Building Code schedules.

Sign Permit

Local Planning Department (e.g., Salt Lake City)
May Apply
Fee: $75.00-$300.00
Renewal: one time
Type: permit

Regulated by local sign ordinances (e.g., SLC Code 21A.26).

Retail Food Establishment Permit

Local Health Departments (e.g., Salt Lake County Health)
Required
Fee: $300.00-$800.00
Renewal: annual
Type: permit

Mandatory for coffee shops serving food/beverages. Complies with Utah Public Health Code R392-100.

Record Keeping for Sales Tax

Utah State Tax Commission
Required
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Businesses must keep records of all sales, purchases, tax returns, and supporting documents for a minimum of 4 years. Applies to all businesses with a Sales Tax License in Utah.

Federal Tax Record Retention

Internal Revenue Service (IRS)
Required
Fee: $0.00-$0.00
Renewal: one time
Type: permit

Step-by-Step Compliance Guide

  1. First, obtain a Federal Employer Identification Number (EIN) from the Internal Revenue Service (IRS); this is required even if you don't plan to hire employees.
  2. Next, fulfill Federal Income and Self-Employment Tax Filing obligations with the IRS, as these are required for all business structures.
  3. Ensure compliance with FTC truth-in-advertising and consumer protection regulations, which are enforced by the Federal Trade Commission (FTC).
  4. Register for Federal Income Tax Filing as an LLC with the IRS, even if there is no initial fee associated with this filing.
  5. Comply with federal tax filing obligations specific to LLCs, as determined by the IRS.
  6. Secure Product Liability Insurance, with costs ranging from $500.00 to $2500.00 through the U.S. Consumer Product Safety Commission (CPSC).
  7. Maintain accurate Record Keeping for Tax and Employment Purposes, as required by both the IRS and potentially other agencies.
  8. Understand your Federal Income and Self-Employment Tax Obligations for LLCs, which can vary depending on your specific circumstances.

Common Mistakes to Avoid

  • Assuming a DBA automatically grants all necessary permits for a coffee shop in Orem.
  • Ignoring federal tax requirements, believing only state and local permits are needed.
  • Failing to obtain an EIN, even if you are a sole proprietor or single-member LLC.
  • Neglecting to comply with FTC advertising standards, leading to potential fines.
  • Believing that one-time permit fees cover ongoing compliance requirements.

Frequently Asked Questions

What is an EIN and why do I need one?

An Employer Identification Number (EIN) is a unique tax ID number assigned by the IRS to businesses operating in the United States. You'll need an EIN to file federal taxes, open a business bank account, and potentially hire employees.

Are there any federal income tax filing requirements for an LLC in Orem?

Yes, even if your LLC is a pass-through entity, you still have federal income tax filing obligations with the IRS. The specific requirements depend on your LLC’s structure and how it’s taxed.

What does the FTC’s truth-in-advertising rule entail?

The Federal Trade Commission (FTC) requires all advertising to be truthful and not misleading. This includes claims about your coffee’s origin, ingredients, or health benefits; ensure all marketing materials are accurate and substantiated.

What is the cost of federal permits for a coffee shop?

The cost of federal permits varies significantly; some, like obtaining an EIN, are free, while others, such as Product Liability Insurance, can range from $500.00 to $2500.00. Federal Income and Self-Employment Tax Filing can vary greatly depending on your income.

How often do I need to renew federal permits?

Many federal permits, like the EIN and initial tax filings, are one-time requirements, but ongoing compliance with regulations like FTC advertising rules and annual tax filings are necessary. Some permits, like Product Liability Insurance, may require annual renewal.

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