Business Licenses

Business Licenses

Any individual or company conducting business within the City of Capitola whose projected annual gross revenues will be greater than $3,022 per year is required to obtain a business license.  (Capitola Municipal Code, section 5.04.010)

Business license tax calculation is based on the type of business being conducted.  Please refer to the appropriate application for tax rates for your business type. 

In addition to the basic business license tax, all businesses are required to pay a $4 fee mandated by the State of California for accessibility compliance through AB1379.  New businesses are charged a $25 new application fee.  All City business license tax rates and fees are authorized by Council Resolution 3532. 

To apply for a business license, please complete the Business License Application by clicking the link below.

Click here for the Business License Application

If this is a home-based business, a Home Occupation Permit may need to be obtained through the Community Development Department.  The Home Occupation Permit Application is available in the Applications and Forms section of the Community Development page.  

Please note:  Business License Renewal Notices are sent as a courtesy only.  Business licenses are valid for the calendar year only.  All business licenses expire on December 31st.  Business license tax for renewals must be paid by January 15th regardless of whether a renewal notice is received by the business owner.  Renewal payments received (or postmarked) after the January 15th due date will be assessed an administrative late fee and penalty.

Change in Business Information

To update your business information, please complete the Business License Information Update form by clicking the link below.  Business licenses are non-transferable and cannot be transferred to any person or company not named on the original business license.  

Click here for the Business License Information Update Form

Business License Termination

A licensee is required to notify the City no later than thirty days after ceasing to conduct business in the City.  Please complete the Business License Discontinuance form to cancel/close your business license by clicking the link below.

Click here for the Business License Discontinuance Form

All forms are also available in printable PDF format under the Supporting Documents section of this page.  If you choose to complete the PDF version, please submit the completed form and any required payment to:

City of Capitola, 420 Capitola Avenue, Capitola, CA 95010