How to Start a Funeral Home in Mississippi: State Board of Funeral Service Licenses

Opening a funeral home in Mississippi means working with several agencies, because the state does not issue one general business license. The Mississippi State Board of Funeral Service licenses the people and the establishment. The Secretary of State registers your business entity and handles preneed registration. Your city issues the local privilege license. This guide lists the steps in the order most owners tackle them, with the fees we could verify and a note wherever you need to confirm a figure with the agency.

Informational notice: This article is general information, not legal or tax advice. Funeral service is a licensed profession with specific rules, and requirements change. Talk with a Mississippi attorney about your entity and operating agreement, and with a CPA about tax treatment, before you commit to a structure.

Mississippi Has No Single State Business License

A funeral home usually needs several separate filings. Only some of them are licenses:

• Entity formation with the Secretary of State. This is a registration, not a license.
• Individual and establishment licenses from the State Board of Funeral Service.
• A sales tax permit from the Department of Revenue. This is a tax registration.
• A city privilege license. Every city, town and village issues its own under Miss. Code 27-17. Counties license only businesses located outside municipalities, so a funeral home inside city limits deals with the city.
• Zoning approval for the building and site.
• Preneed registration with the Secretary of State, if you plan to sell preneed contracts.

What to Gather Before You Start

Having these ready keeps the filings moving:

• Two or three name options, each checked against the Secretary of State business search
• A physical Mississippi street address for the registered office. A post office box will not work.
• A registered agent: an individual Mississippi resident, or an entity authorized to do business in Mississippi, with a business office at the same address as the registered office
• Full names and addresses of every owner and manager
• Licensing records for each person who will practice: education transcripts, apprenticeship documentation, exam results, and any out-of-state license numbers
• A federal Employer Identification Number (EIN) from the IRS. Banks and the Department of Revenue commonly ask for one.
• A budget that covers filing fees, licenses, insurance, equipment, and vehicles
• A decision on whether you will sell preneed contracts
• A computer with internet access and a payment card, since the Secretary of State takes most business filings online

Step-by-Step: Starting a Funeral Home in Mississippi

Step 1: Choose Your Legal Structure

Most owners choose a limited liability company (LLC) or a corporation. The tax consequences differ, so decide with your CPA before you file.

An LLC taxed as a partnership reports its income on the members' Mississippi returns and does not pay the franchise tax. A corporation pays Mississippi corporate income tax at 0% on the first $5,000 of taxable income, 4% on the next $5,000, and 5% on taxable income above $10,000. It also pays the franchise tax, which for tax year 2026 is $0.50 per $1,000 of capital above $100,000, with a $25 minimum. The franchise tax steps down to $0.25 per $1,000 for 2027 and is repealed effective January 1, 2028.

Step 2: Check and Reserve Your Name

Search the Secretary of State business database at corp.sos.ms.gov business ID search. An LLC name must contain the words limited liability company, L.L.C., or LLC. It must be distinguishable on state records from any registered corporation, nonprofit, partnership, LLC, or name already reserved. If you need time to finalize paperwork, you can reserve the name for 180 days for $25. Review the Secretary of State guidance on reservations at the LLC reservation guidance PDF.

Step 3: File the Formation Document Online

For an LLC, file the Certificate of Formation (Form F0100) through the Secretary of State online filing portal. The filing fee is $50. For a corporation, file Articles of Incorporation (Form F0001), also at a $50 filing fee.

Most documents paid for online are approved and filed immediately. Filings that need staff review are normally returned filed within 24 hours. Paper filings take significantly longer. The Secretary of State lists no paid expedite fee for formation filings, so be wary of anyone who offers to speed up a formation for a fee.

Every Mississippi LLC must keep a registered office and a registered agent in the state. A commercial registered agent files a listing statement with the Secretary of State for $100 and must accept or decline a representation within 14 days. A noncommercial agent is not registered with the state, but you must have that person's permission before you list them. Either way, the agent needs a physical Mississippi address.

Step 4: Get an EIN and Register Any Assumed Name

Apply for an EIN from the IRS. You will need it for your bank account, payroll, and the sales tax permit.

If you will operate under a name other than your legal entity name, such as a chapel or memorial name, file a Fictitious Business Name Registration (Form F0070) with the Secretary of State. The fee is $25. Do not file it with the county, since Mississippi handles assumed names at the state level. The fee schedule is at the Secretary of State fee schedule.

Step 5: Obtain Board Licenses for Each Person Who Will Practice

The Mississippi State Board of Funeral Service is located in Flowood. Call 601-932-1973 to confirm current requirements before you assemble your file. The Board licenses:

• Funeral service (embalming)
• Funeral directing
• Funeral establishments
• Certified crematory operators
• Resident trainee apprenticeships

Candidates for funeral director may sit the national exam or the Board's own Mississippi funeral director exam. The Board's FAQ lists the Mississippi exam fee as $175. Confirm the current fee before you register for the exam.

If you hold a funeral license from another state, the Universal Recognition of Occupational Licenses Act governs how out-of-state licensees are recognized. Ask the Board what documentation it needs to review your credentials, and get its decision in writing.

Staff who are still training can work through a resident trainee apprenticeship. Ask the Board which supervision and reporting rules apply to the apprentice and the sponsoring funeral home.

Step 6: Apply for the Funeral Establishment License

The establishment applies separately from the individuals who work in it. Check with the Board for the establishment application fee, the required forms, any inspection requirement, and whether the establishment must have a licensed funeral director in charge. Do not advertise services or take arrangements in the establishment's name until the license is issued.

Step 7: Register for Preneed Sales, If You Plan to Offer Them

Selling preneed contracts requires registration with the Secretary of State's Regulation and Enforcement Division under the Preneed Cemetery and Funeral Registration Act. The current figures are:

• $250 initial registration
• $50 annual renewal
• Registration expires March 31
• Each contract must use a form approved by the Secretary of State
• A $10 Loss Recovery fee applies to each trust-funded contract

If you do not plan to sell preneed contracts, you can skip this step. If you add preneed sales later, register before you sell the first contract.

Step 8: Get Your City Privilege License and Zoning Approval

Mississippi cities, towns and villages issue their own privilege licenses under Miss. Code 27-17. Fees and application steps vary by city, and this article does not list city fees. Call the city clerk or business license office before you sign a lease. Ask for the privilege license fee, the zoning classification that applies to funeral homes at the site, and any building or occupancy inspections the city requires.

Zoning approval is separate from the privilege license. Get both in writing before you buy equipment or announce an opening date.

Step 9: Register for a Sales Tax Permit

Register with the Department of Revenue at the DOR sales and use tax registration page. The permit carries no fee, although the DOR may require a bond from applicants with no permanent Mississippi location. The state sales tax rate is 7%. There is no county add-on, and city levies apply only in Jackson and Tupelo. Ask the DOR how each category of your sales is treated, since merchandise and services are not always handled the same way.

Step 10: Plan Payroll, Insurance, and Staffing Rules

Mississippi has no state minimum wage law, so federal minimum wage rules apply to your staff. Ask an insurance agent which coverage applies to the building, vehicles, and employees before you open. Keep records of each employee's licenses and apprenticeship status alongside payroll records.

Step 11: Calendar Your Annual Filings

An LLC files its annual report (Form F0108) online each year by April 15. It may be filed on or after January 1, and it carries no fee. Failing to file can lead to administrative dissolution. A profit corporation files its annual report (Form F0008) online by April 15 for $25. A nonprofit corporation files by May 15.

Costs at a Glance

Item	Amount	Agency	Notes
Name reservation	$25	Secretary of State	Holds the name for 180 days
LLC Certificate of Formation (F0100)	$50	Secretary of State	Filed online
Corporate Articles of Incorporation (F0001)	$50	Secretary of State	Filed online
Fictitious Business Name (F0070)	$25	Secretary of State	Only if operating under another name
Commercial registered agent listing statement	$100	Secretary of State	Paid by commercial agents only
LLC annual report (F0108)	$0	Secretary of State	Due April 15
Corporate annual report (F0008)	$25	Secretary of State	Profit corporations due April 15
Preneed registration	$250 initial, $50 renewal	Secretary of State	Expires March 31; only if selling preneed
Preneed Loss Recovery fee	$10 per trust-funded contract	Secretary of State	Only if selling preneed
Mississippi funeral director exam	$175	State Board of Funeral Service	Per the Board FAQ; confirm before paying
Establishment license	Check with the Board	State Board of Funeral Service	Confirm fee and requirements
Sales tax permit	No fee	Department of Revenue	A bond may be required
City privilege license	Set by each city	City	Confirm with the city clerk

Expected Results

Completing these steps may leave you with a formed entity, the Board licenses your staff and establishment need, and the local permits your city requires. Results depend on your county, your city, and how complete your paperwork is at each step. Online Secretary of State filings are often approved immediately or within 24 hours. Board licensing, establishment review, and city approvals can take longer, so ask each agency for its current timeline before you set an opening date. Once you open, your annual report and sales tax filings will follow a fixed calendar, so note those dates from the start.

Common Mistakes to Avoid

• Treating the Secretary of State registration as the license. Forming an LLC does not authorize you to operate a funeral home.
• Filing the assumed name with the county. Mississippi handles fictitious business names through the Secretary of State.
• Skipping the city privilege license because you think a state filing covers it. Cities issue their own.
• Assuming an out-of-state license transfers automatically. Ask the Board for its recognition decision in writing.
• Selling preneed contracts before the registration is approved, or using a contract form the Secretary of State has not approved.
• Missing the April 15 annual report. Administrative dissolution is a real consequence of a missed filing.
• Signing a lease before confirming zoning and the privilege license with the city.
• Paying a third party for a filing you can make yourself. Check the official fee on the Secretary of State schedule first.

Practical Tips

• Keep one tracking sheet with each agency, form, fee, submission date, and approval date.
• Call the Board, the city clerk, and the Secretary of State before you pay, and ask them to confirm each figure in this article.
• Set reminders for April 15 and March 31 as soon as your entity is formed.
• Save a copy of every approved filing and license with your company records.

When to Get Professional Help

Hire an attorney to draft your operating agreement or bylaws, review your lease, and check the preneed contract form before you use it. Hire a CPA to compare an LLC taxed as a partnership with a corporation and to estimate the franchise tax if you choose a corporation. Both professionals can catch errors before they become expensive to fix.

Informational notice: This article is not legal or tax advice. Confirm every figure with the agency listed before you file or pay, since rules and fees change.