Southaven Business License: Privilege License, Home-Based Licence and Transient Rules

If you are opening a business in Southaven, you will likely search for a Southaven MS business license. Mississippi does not issue a statewide general business license. Instead, the City of Southaven issues its own privilege license, and the fee depends on what your business does, where it operates, and how many full-time people work for you. This guide shows you what to gather, how to work out your fee, and how home-based and transient businesses are handled.

Informational content only. This article is not legal or tax advice. Fees and rules change, and the City of Southaven, the Mississippi Secretary of State and the Mississippi Department of Revenue have the final word. For complex situations, talk with a licensed attorney or CPA.

Skip the paperwork

Let a pro file your Mississippi business for you

Filing in Mississippi means state registration, an EIN, and a registered agent. These two services handle all of it, and here's our honest take on when to use each.

Top pick · Best value

Northwest Registered Agent

$39 + state fee

Keeps your home address private
Free registered agent for year one
Real US-based support, no upsell maze

Best for: most Mississippi founders who want privacy and value without the markup.

Form my Mississippi LLC →

BetterLegal

Fastest setup · premium

Business filed in about 2 business days
Bundles your EIN + operating agreement
One streamlined, hands-off checkout

Best for: founders who need it done fast with everything bundled.

Set up with BetterLegal →

Affiliate partners: we may earn a commission at no extra cost to you. Pricing is set by each provider and may change.

What Mississippi does not require: a state business license

Before you deal with the city, sort out three filings that people often mistake for a license:

Entity formation. An LLC files a Certificate of Formation (Form F0100) with the Secretary of State for a $50 filing fee. This registers the entity. It is not a license to operate.
Fictitious (assumed) business name. If you operate under a name other than your legal name, file a Fictitious Business Name Registration (Form F0070) with the Secretary of State for $25. It is filed with the state, not the county.
Sales tax permit. If you make retail sales, register with the Mississippi Department of Revenue. The permit carries no fee, although a bond may be required for applicants without a permanent Mississippi location. It is a tax registration, not a license.

Mississippi has no state minimum wage law. The state sales tax is 7%, and there is no county add-on. City sales tax levies apply only in Jackson and Tupelo, so for a Southaven business, plan on the 7% state rate and confirm the details with the Department of Revenue.

Materials and information to gather

Your legal business name and entity type, plus your Secretary of State filing details if the entity already exists
The physical address where the business will operate, confirmed as inside Southaven city limits
Your state sales tax permit number, if you already have one
A photo ID, if you are applying for the home-based license
Your count of full-time employees, for service licenses
The true value of your inventory, for retail licenses
For a home-based business: the signed Restrictions for Home Occupations form
For a transient business: proof of your other required permits
The City Clerk's phone number, 662-280-6554, for questions before you file

Step 1: Confirm you are inside city limits

Every city, town and village issues its own privilege license under Miss. Code 27-17. Counties license only businesses outside municipalities. A business inside Southaven's city limits licenses through the City Clerk. A business outside those limits licenses through the county instead, so do not pay the city for a location it does not cover. Confirm your address with the Clerk before you file.

Step 2: Identify your license category

The City Clerk issues and renews all city licenses. The city fee page lists the figures below as of 2026. Confirm each one before you pay, because schedules change.

Business type	Fee	How it is calculated
Service	$20 to $150	$20 for 1 to 3 full-time employees, $30 for 4 to 10, $3 per employee from 11, capped at $150
Retail	15% of inventory value	15% of the true value of inventory (Miss. Code 27-17-365)
Warehouse	$150	Flat fee
Pool and billiard	$50	Flat fee
Auto dealer	$50	Flat fee
New weapons dealer	$100	Flat fee
Pawn	$250, or $500 if it sells weapons	Flat fee by activity

For retail, the fee follows inventory value, and the valuation is the hard part. Ask the Clerk how inventory is valued before you file, because the number you report drives the fee.

Step 3: Work out your exact fee

For service businesses, count your full-time employees and write that number on the application. Part-time staff may be treated differently, so ask the Clerk. The schedule caps the service fee at $150, and the Clerk can confirm how the 11-and-over tier is totaled.

A license obtained from February 1 to December 1 is prorated. Every city license expires December 31, so you renew for the full year each year, whatever month you opened.

Step 4: File with the City Clerk

Call the City Clerk at 662-280-6554, or visit the office at 8710 Northwest Dr., to confirm your category, fee and documents.
Ask whether your application can be filed online. The city has an Online Payments page, but ask the Clerk whether applications can be submitted there rather than assuming they can.
Complete the standard application and attach the documents for your category.
Pay the fee and keep the receipt.
Put December 31 on your calendar and renew before the license expires.

Home-based business license: $20 flat

A home-based business in Southaven uses a flat $20 license. Your file includes:

The standard application
The signed Restrictions for Home Occupations form
A photo ID

Planning approval is usually granted the same day. The rule that catches people is that only family living on the premises may work in the home business. If you plan to hire someone outside your household, that person cannot work from the house under this license, so line up a separate work location before you bring on staff.

Transient business rules

A transient business operates in Southaven for less than six months a year. A seasonal vendor or event seller may fall into this group. Transient businesses do not follow the standard path. They file with the municipal tax collector under Title 8, Chapter 7 of the Southaven city code, and the filing must include proof of your other permits.

No transient fee is stated here. Check with the City Clerk for the current amount, and ask whether a transient business is handled differently from a standard privilege license, since the filing office may differ.

Tips for a smoother filing

Call the Clerk before you gather documents. Confirming your category and address first saves you from preparing the wrong file.
Write down the full-time employee count and the inventory value with the date you measured them, so your numbers match what you report.
Keep copies of everything you submit, including the signed home occupation form and your receipt.
If you operate both from home and from a rented space, treat each location as a separate question for the Clerk.

Common mistakes to avoid

Treating the Secretary of State filing as your license. The $50 LLC filing registers the entity. The city privilege license is a separate requirement.
Filing your fictitious name with the county. It is filed with the Secretary of State for $25.
Paying the city for a location outside its limits. Confirm the address first.
Miscounting employees. Service fees depend on the full-time count, and the bracket changes the amount.
Hiring outside the family at a home-based business. The home-based license limits work to people who live on the premises.
Assuming a fee for a transient filing. Get the current figure from the Clerk.
Missing the December 31 expiration. All city licenses expire that day, so renewal belongs on your calendar from the start.

Expected results

In most cases, a complete and accurate application should result in a City of Southaven privilege license for the current year, valid through December 31, which you renew each year. Timing, the final fee and any extra documents are set by the City Clerk, so treat this guide as a checklist rather than a guarantee. A short call before you file can prevent a second trip to the office.

When to talk to a professional

A licensed attorney can advise on entity choice, contracts and liability. A CPA can advise on taxes. The Mississippi franchise tax applies to corporations, not to an LLC taxed as a partnership, so your tax classification changes what you owe. Confirm that classification with a CPA before you file your first state returns.

Official resources

Mississippi Secretary of State, Business Services Division: https://www.sos.ms.gov/business-services
Secretary of State online filing portal: https://corp.sos.ms.gov/corp/portal/c/page/corpnewfilings/portal.aspx
Mississippi Department of Revenue: https://www.dor.ms.gov/
Sales and use tax registration: https://www.dor.ms.gov/business/sales-use-tax/registration-information-sales-and-use-tax-applicants
Mississippi Small Business Development Center Network: https://www.mississippisbdc.org/