OFFICE OF SMALL BUSINESS
10 Key Steps to Starting a Business
(For Businesses within San Diego City Limits)
There are several key steps to starting a business in the City of San Diego. The steps may vary
according to the type of business you intend to start, but the following 10 steps will give you a general
idea.
Note: Many of the following steps can be researched and accomplished by first visiting the
respective web sites listed, rather than calling or visiting agency offices. For those business start-
ups that do not have access to the Internet, the Central Library and all Branch Libraries provide access
to the Internet during hours the library is open.
[Link] Basic Information
The City of San Diego’s Central Library provides significant resource materials, including information
on market research, trademark and service marks, how–to books on a variety of businesses and
industries, etc. The Central Library also offers workshops on patent, trademark and copyright issues.
For more information, contact:
City of San Diego Public Library/Central Library
330 Park Blvd, San Diego, CA 92101
(619) 236-5800 website: [Link]/public-library/
The U.S. Small Business Administration has a Business Resource Center which provides a one-stop
location for free access to a variety of information, education and training designed to help
entrepreneurs start, operate and grow their business. In addition, there is on-site free counseling
provided by the Service Corps of Retired Executives (SCORE). For more information contact:
U.S. Small Business Administration/San Diego District Office
550 West “C” Street, Suite 550, San Diego, CA 92101
(619) 727-4883 SBA San Diego website: [Link]
(619) 557-7272 SCORE San Diego website: [Link]
The City of San Diego’s Office of Small Business acts as an information clearinghouse for City
programs and services, and serves as a resource partner to a variety of business assistance agencies.
Information can be requested via e-mail or telephone, accessed online, or by visiting the office.
City of San Diego, Office of Small Business
1200 Third Avenue, Suite 1400, San Diego, CA 92101
(619) 236-6700 e-mail: sdbusiness@[Link]
website: [Link]
2. Create a Business Plan
A business plan is like a roadmap; it shows you where you are in relation to where you want to be.
Whether you believe in a business plan or not, starting a business involves many ideas that need to be
documented and actions that need to be taken. Many businesses fail without a business plan, and
furthermore, banks require one prior to being considered for a loan. Contact:
U.S Small Business Administration, Service Corps of Retired Executives
550 West C Street, Suite 550, San Diego, CA 92101
(619) 557-7272 website: [Link]
3. Determine a Business Name
The name you choose for your business is very important. If the name you choose is your own legal
surname and a one-word description (such as “John Smith Roofing”) then you are not required to
register a fictitious business name. If you choose a business name that does not meet these parameters
(such as JS Expert Roofing) and your business is not registered with the state then state law requires
you to file a fictitious business name statement with the County of San Diego. Please note that this
statement does not protect the business name.
County of San Diego, Assessor/Recorder/County Clerk’s Office
1600 Pacific Highway, Room 260, San Diego, CA 92101
(619) 237-0502 website: [Link]
4. Determine the Legal Structure of the Business
Several legal structures exist in the state of California. Your choice of legal structure will affect your
income taxes and personal liability. Most businesses start as a Sole Proprietorship or a General
Partnership and are generally the least complicated. Limited Partnerships, Limited Liability
Partnerships, Corporations and Limited Liability Companies must register with the Secretary of
State. You are strongly advised to contact your own accountant or attorney for advice and assistance in
determining the best legal structure for you and your business.
California Business Portal/Secretary of State
(916) 657-5448 website: [Link]/business/[Link]
IRS Business & Specialty Tax
(800)-829-4933 website: [Link]
5. Determine the Business Activity Type
There is a classification system for business activity types in San Diego, which identifies a business
activity and determines many of the start-up requirements and where the business can be located.
Determine the general business activity type from the list below. The same list is also provided with
the Business Tax Certificate application.
Agriculture (11) Transportation and Warehousing (48-49) Educational Services (61)
Mining (21) Information Services (51) Health Care/Social Assistance (62)
Utilities (22) Finance and Insurance (52) Arts/Entertainment/Recreation (71)
Construction (23) Real Estate/Rental/Leasing (53) Accommodation/Foodservices (72)
Manufacturing (31-33) Professional/Scientific/Technical (54) Other Services (81)
Wholesale (42) Management Services (55) Public Administration (92)
Retail (44-45) Administrative Support (56)
City of San Diego Revised July 2014
Economic Development Department Page 2
For more information on business activity type contact:
City Treasurer’s Office/Business Tax Division
1200 Third Ave., First Floor, San Diego, CA 92101
(619) 615-1500 website: [Link]
6. Select a Site and Determine Zoning and Site Permit Requirements
Determining zoning requirements prior to signing a lease or contract is imperative. You must check
with the City to see if the type of business you plan to operate is legal in the desired location. You can
usually receive same day information on the status of your location if you have the proposed business
address and a description of the business when you contact:
City’s Development Services Department
1222 First Avenue, Third Floor, San Diego, CA 92101
website: [Link]
General Information - (619) 446-5000
If operating from home, you must follow the requirements for Home Occupations and may need to
obtain a Neighborhood Use Permit. You can obtain this information by contacting:
City’s Development Services Department
(619) 446-5000 website: [Link]
Information about Home Occupations and the Neighborhood Use Permit is also available via website:
[Link]
7. Obtain Any Special Licenses and Permits
The business activity type chosen determines the licenses and permits needed to operate a business
legally. Some of the key contacts are listed below.
The CalGOLD database provides detailed information on the business permit, license and registration
requirements from all levels of government. The information includes a description of the requirement,
the name, address, and telephone number of the agency, and frequently, a direct link to that agency's
Internet web pages. The information identified is specific to the type of business and its location in
California.
CalGOLD
(877) 345-4633 website: [Link]
For a list of more than 200 regulated Occupations and Professional Services, contact:
State Department of Consumer Affairs
(800) 952-5210 website: [Link]
For the list of Police Regulated Business within the City of San Diego, contact:
San Diego Police Licensing Division
(619) 531-2250 website: [Link]
Hazardous materials and some issues regarding high occupancy require permits from the San Diego
Fire-Rescue Department. For more information, call (619) 533-4400.
Permits: [Link]
Hazardous Materials: [Link]
City of San Diego Revised July 2014
Economic Development Department Page 3
Businesses selling tangible personal property in the state of California must apply for a
Seller’s Permit/Resale Number
State Board of Equalization
(Consolidated San Diego Office as of February 27, 2012)
15015 Avenue of Science, Suite 200, San Diego, CA 92128
(858) 385-4700 website: [Link]
Businesses engaged in selling goods by weight or volume must register the devices with the County
Agriculture, Weights and Measures Office. Permits must usually be obtained by: import/export
businesses, agricultural-related production, and businesses using pesticides.
County - Agricultural, Weights and Measures Department
9325 Hazard Way, Suite 100
San Diego, CA 92123
(858) 694-2739 website: [Link]
Business engaged in: selling or handling food products, operating a pool or spa, handling hazardous
materials, underground storage tanks, medical wastes, x-ray equipment, or waste handling must contact
the Department of Environmental Health at the County. Please note, this department operates from
four locations, which each provide a different combination of services.
County - Environmental Health
Tel: (619) 338-2222, Fax: (619) 338-2377 website: [Link]
Other permits and licenses may also be required.
8. Get Tax Information
Several types of taxes may be levied on businesses including income tax, unsecured personal property
tax, employment tax and the City’s Business Tax. For City tax information contact:
City Treasurer’s Office
(619) 615-1500 website: [Link]
For unsecured property tax information, contact:
San Diego County Treasurer – Tax Collector
(877) 829-4732 website: [Link]
For state taxes visit the California Tax Information Center that is sponsored by California’s tax
agencies (Board of Equalization, Employment Development Department, and Franchise Tax Board)
and the IRS.
California Tax Information Center website: [Link]/
For a copy of “Striking Gold in California”, which outlines state taxes for businesses, contact:
State Board of Equalization (800) 400-7115
website: [Link]
For federal tax information specific to businesses, contact:
Internal Revenue Service
(800) 829-1040 website: [Link]
City of San Diego Revised July 2014
Economic Development Department Page 4
9. Employer Responsibilities
A whole new set of responsibilities arises when a business hires employees. Employers must register
as an employer and obtain a federal Employer Identification Number (EIN), pay additional taxes,
withhold, match and submit employee withholdings, must obtain worker’s compensation insurance and
adhere to employee eligibility regulations.
The EIN, also known as a Federal Tax Identification Number, is a nine-digit number that the IRS
assigns to business entities. The IRS uses this number to identify taxpayers that are required to file
various business tax returns. EINs are used by employers, sole proprietors, corporations, partnerships,
non-profit organizations, trusts and estates, government agencies, certain individuals and other
business entities. Federal Employer ID numbers can be obtained by completing form SS-4 online or
calling:
Internal Revenue Service
(800) 829-4933 website: [Link]
Employed/Employer-ID-Numbers-EINs
Get information on state requirements, taxes and services for employers by contacting the State’s
Employment Development Department:
10636 Scripps Summit Court, Suite 202, San Diego, CA 92131
(888) 745-3886 and (858) 880-2500 website: [Link]
10. Apply for a Business Tax Certificate (License)
Any person or entity doing business in the City of San Diego for more than six days in one calendar
year must have a business tax certificate. Home-based businesses, self employed persons and
independent contractors are also required to have a business tax certificate. The applications can be
obtained and filed at the following locations or downloaded from the City’s website:
City Treasurer’s Office, Business Tax Division
1200 Third Avenue, First floor, San Diego, CA 92101
(619) 615-1500
website: [Link]
By following these key steps, the process should run more smoothly. If you do encounter obstacles
with the process, or with permitting, zoning, etc., contact the City of San Diego’s Office of Small
Business. The office maintains a small business advocacy/ombuds program, which is designed to
provide zoning, permit, and regulatory assistance to small businesses.
City of San Diego, Office of Small Business
1200 Third Avenue, Suite 1400, San Diego, CA 92101
(619) 236-6700 e-mail: sdbusiness@[Link]
website: [Link]
City of San Diego Revised July 2014
Economic Development Department Page 5
Additional Resources and Information
Financial Resources
Several financial resources exist for small businesses in San Diego. However, loans are generally
not available to start-ups. Most loan programs require that businesses have at least one year of
history.
Gap Financing/Business Expansion Loan Programs
City of San Diego CDC Small Business Finance Corporation
Economic Development Department Tel: (619) 291-3594, Fax: (619) 291-6954
Business Finance Section California Southern Small Business
1200 Third Ave, Suite 1400 Development Corp./State of California Loan
San Diego, CA 92101 Guarantee Program
(619) 236-6700 Tel: (619) 232-7771, Fax: (619) 232-6743
[Link] [Link]
development/business/financing/[Link]
Micro Loans Matching Grant/Incentive Programs
ACCION San Diego Storefront Improvement Program
404 Euclid Avenue, Suite 271 City of San Diego
San Diego, CA 92114 Office of Small Business
Tel: (619) 795-7250, Fax: (619) 795-7260 Tel: (619) 236-6460, Fax (619) 533-3219
[Link] [Link]
development/[Link]
Certification and Contracting Opportunities
Certification for City Contracts Contracting with City of San Diego
City of San Diego City of San Diego Purchasing Division
Equal Opportunity Contracting 1200 Third Avenue, Suite 200
1200 Third Avenue, Suite 200 San Diego, CA 92101-4195
San Diego, CA 92101-4195 Tel: (619) 236-6000, Fax: (619) 236-5904
Tel: (619) 236-6058 [Link]
[Link]
State Certification as a Small Business Contracting Opportunities Center
Office of Small Business & DVBE Services San Diego Contracting Opportunities Center
California Department of General Services (Procurement Technical Assistance Center)
(800) 559-5529 4007 Camino Del Rio South, Suite 210
[Link] San Diego, CA 92108
[Link] Tel: (619) 285-7020, Fax: (619) 285-7030
[Link]
Small Business Registration
Small Business Administration
550 West C Street, Suite 550
San Diego, CA 92101
(619) 727-4883
[Link]
certification-0
City of San Diego Revised July 2014
Economic Development Department Page 6
County of San Diego Resources
County Property Tax Information County Air Pollution Control
Assessor, Recorder, County Clerk County Small Business Assistance Program
1600 Pacific Highway, Room 103 10124 Old Grove Road
San Diego, CA 92101 San Diego, CA 92131
(619) 236-3771 Tel: (858) 586-2600, Fax: (858) 586-2601
[Link] [Link]
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County Zoning Information
County Treasurer/Tax Collector County Planning & Development Services
1600 Pacific Highway, Room 162 5510 Overland Avenue
San Diego, CA 92101 San Diego, CA 92123
(877) 829-4732 (858) 565-5920
[Link] [Link]/dplu/
State of California Resources
Many City of San Diego businesses will need to work with state agencies if they intend to
incorporate their business, sell alcohol and other goods, hire employees, etc.
State Payroll Taxes State Alcohol Sales Licensing
State Employment Development Department State Alcoholic Beverage Control
10636 Scripps Summit Court, Suite 202 1350 Front Street, Suite 5056
San Diego, CA 92131 San Diego, CA 92101
Tel: (888) 880-2500 Tel: (619) 525-4064, Fax: (619) 231-1171
[Link] [Link]
State Worker's Compensation State Incorporation Information
State Compensation Insurance Fund California Secretary of State
(888) 782-8338 (916) 657-5448
[Link] [Link]
U.S. Federal Government Resources
The federal government provides a host of pertinent information and services to small businesses,
including consulting services, tax information, export information and wage and hour information.
Income Tax Information Export Information
Internal Revenue Service Department of Commerce
880 Front Street, First Floor International Trade Administration
San Diego, CA 92101 [Link]
Information: (800) 829-1040
Forms and Publications: (800) 829-3676
[Link]
City of San Diego Revised July 2014
Economic Development Department Page 7
Import & Customs Social Security Information
U.S. Customs & Border Protection Social Security Administration
Airport and Seaport (619) 685-4304 1333 Front Street
Otay Mesa Border (619) 671-8064 San Diego, CA 92101
Tecate Border (619) 938-8300 Tel: (800) 772-1213
[Link] [Link]
Wage & Hour Information Internet, Mail, or Telephone Order
U.S. Department of Labor Business Regulations
550 West “C” Street, Suite 990 Federal Trade Commission
San Diego, CA 92101 1-877-382-4357
(619) 557-5110 [Link]/
(866) 487-9243
[Link] and [Link]
Market Research, Technical Assistance and Networking Opportunities
General Information, Research and Small Business Consulting
Networking Small Business Development Center (SBDC)
San Diego Regional Chamber of Commerce 880 National City Boulevard, Suite 103
402 West Broadway, Suite 1000 National City, CA 91950
San Diego, CA 92101 Tel: (619) 482-6391, Fax: (619) 216-6692
Tel: (619) 544-1300 [Link]
[Link] Center for International Trade Development
[Link]
Demographics
San Diego Association of Governments Fermanian Business & Economic Institute
401 “B” Street, Suite 800 Point Loma Nazarene University
San Diego, CA 92101 2600 Laning Road
Tel: (619) 699-1900, Fax: (619) 699-1905 San Diego, CA 92106
[Link] (619) 849-2692
[Link]
Business Improvement Districts
BID Council Entrepreneur Clinic – USD School of Law
P.O. Box 70169 University of San Diego
San Diego, CA 92167 5998 Alcala Park
Tel: (619) 239-2437, Fax: (619) 239-0714 San Diego, CA 92110-2492
[Link] (619) 260-7470
[Link]
Food & Beverage Association of S.D. County l_education/clinics/[Link]
3110 Camino Del Rio South, Suite 315
San Diego, CA 92108
(619) 228-2291 Fax: (619) 228-2297
[Link]
City of San Diego Revised July 2014
Economic Development Department Page 8
