Step 3: Ensure Regulatory Compliance

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Virginia Tax

Generally, if you have business activity in the Commonwealth of Virginia, you need to register your business with Virginia Tax

Virginia Employment Commission (VEC) 

If you plan to hire employees, you can register with the VEC at the same time you register with Virginia Tax if you register online. VEC is responsible for collecting unemployment tax.

Food-Based Businesses (Service or Manufacturing)

State Corporation Commission (SCC)

The SCC regulates several industries including Insurance Companies, Real Estate Companies, Financial Companies, and Public Utility Companies.

Department of Professional and Occupational Regulations (DPOR)

DPOR issues professional credentials—licenses, certificates or registrations across several hundred license types, ranging from architects and contractors** to cosmetologists and professional wrestlers.

** About Contractor Licensure

The DPOR issues Contractor Licenses to business entities (regardless of the number of people employed by the business) and not individuals.

Contractor licenses consist of two parts, the class of the license, which determines what, if any restrictions are placed on the size of contracts/projects that may be performed and the classification/specialty, which determines what type of work the licensed contractor is allowed to perform.

License ClassSingle Project Total Value ORTotal Value of ALL PROJECTS within any 12 month period
Class A$120,000 or more OR$750,000 or more
Class BBetween $10,000 and $120,000 ORBetween $150,000 and $750,000
Class COver $1,000 but no more than $10,000 ORno more than $150,000

Note: Landscape Irrigation and Water Well contractors must be licensed as a Class A, Class B or Class C contractor regardless of the dollar amount of the project or contract.

The DPOR site offers an Introduction to Contractor Licensure document with more detailed information on requirements for licensure. 

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