How to Start a Barbershop in Michigan: Barber License, Shop License and Training Hours
How to Start a Barbershop in Michigan: Barber License, Shop License and Training Hours
If you want to open a barbershop in Michigan, start by understanding one thing: the state does not issue a general business license. Filing your LLC or corporation with LARA creates the entity, but it does not authorize anyone to cut hair. The shop needs its own license from the LARA Bureau of Professional Licensing, and every barber who works there needs an individual license. This guide covers the order that works, the fees as currently published, and the training hours that cause the most confusion. It is the page to read before you sign a lease.
Informational content, not legal or tax advice. This article describes how Michigan barbershop licensing is generally organized as of October 2026. Fees, forms and processes change. Confirm every figure on the agency pages linked below before you pay or file. Talk to a Michigan attorney about your entity and lease, and to a CPA about taxes and employees.
Michigan has no statewide business license, so plan for three layers
LARA's Corporations Division receives and files the documents that form a business entity. It does not license businesses. Registering an LLC or corporation through the MiBusiness Registry is a filing, not a license. Barbering licenses come from the Bureau of Professional Licensing within LARA. Zoning, certificate of occupancy and health approvals come from your city, township or county. Michigan has 83 counties, about 275 to 280 cities, about 255 to 258 villages and 1,240 townships, so the local office you deal with depends on where the shop sits.
- Entity filing: LARA for an LLC or corporation, or the county clerk for a sole proprietor's assumed name.
- Shop and individual licenses: LARA Bureau of Professional Licensing, which handles the barbershop license and each barber's license.
- Local approvals: your city or township for zoning and occupancy, and the local health authority where it applies to your build-out.
- Tax registration: Michigan Department of Treasury, if you sell retail products.
Materials and information to gather first
Assemble these before you file anything. Missing one item usually means a second trip to a government website, and sometimes a second fee.
- Your proposed business name, checked on the MiBusiness Registry business search.
- A Michigan street address for the shop. A P.O. box alone is not enough for a registered office.
- The shop's planned hours of operation.
- A floor plan of the shop showing the layout of chairs, sinks and workstations, because LARA requires one with the barbershop application.
- A Michigan resident agent for an LLC or corporation, which can be you if you live in Michigan.
- Name, education and training records for every barber and apprentice who will work in the shop.
- A credit or debit card for online LARA and MiPLUS payments, and a bank account in the entity's name.
- A federal employer identification number if you plan to hire staff.
Step-by-step: opening a barbershop in Michigan
Step 1: Choose your entity and file it
Your structure determines which office receives your filing. A sole proprietor who operates under a plain personal name files nothing with LARA. If you use a trade name, you file an assumed name certificate with the clerk of each county where you do business under MCL 445.1, and county fees are set separately by each clerk. Confirm the amount with the clerk before you pay.
For an LLC, file Articles of Organization (Form CSCL/CD-700) with a $50 filing fee. The name must include Limited Liability Company, L.L.C. or L.C. The articles must name a resident agent and registered office. The yearly filing is the Annual Statement (Form CSCL/CD-2700), which costs $25 and is due February 15 each year beginning the year after formation. An LLC formed or qualified after September 30 does not owe a statement on the February 15 immediately following.
For a corporation, file Articles of Incorporation for Profit Corporation (Form CSCL/CD-500) with a $60 filing fee. The Annual Report (Form CSCL/CD-2500) costs $25 and is due May 15 each year. Late fees escalate on a published schedule, from $35 for May 16 to May 31, up to a $75 maximum on or after September 1.
If you need time to secure financing or a lease, you can hold a name with Form CSCL/CD-540 for $25. The reservation lasts six months following the month of filing. Online filings go through the MiBusiness Registry Portal at mibusinessregistry.lara.state.mi.us. LARA does not publish a guaranteed standard review time, but optional expedited review is available. Form CSCL/CD-272 lists those fees, such as $100 for same-day review of a formation document.
Step 2: Confirm zoning and occupancy before you sign a lease
Ask your city or township three questions, in writing: Is a barbershop a permitted use at this address? Does the space need a certificate of occupancy? Which health approvals apply to the build-out? Local answers vary widely, and a lease signed before you get them is the most expensive mistake in this process. If you plan to work from a home, zoning is the first question to ask. Michigan's city income tax applies in only 24 cities, so if your shop is in one of them, ask your CPA how it affects your profit.
Step 3: Register with Treasury if you sell products
Most barbershops sell some retail products, such as shampoo, pomade or beard oil. A retailer must register separately with the Michigan Department of Treasury for a sales tax license. The registration is free and can arrive in as little as 7 business days. Michigan's state sales tax rate is 6%. Register online through the Treasury business registration page at michigan.gov/taxes. Ask Treasury how your service charges are treated, because the answer is not something to guess.
Step 4: Apply for the barbershop license through MiPLUS
The barbershop license is issued by LARA's Bureau of Professional Licensing and applied for online through MiPLUS. The $130 fee covers the application and a 2-year license. You must give the shop's hours of operation and submit the floor plan. Under MCL 339.1111, the shop must pass a pre-license inspection before it can conduct business. You may not open for business until the inspection passes and the license issues. Plan your build-out so the shop is ready for the inspector, not the other way around.
Two details catch owners off guard. First, a change of address or a change of ownership voids the license, and you must file a new application. If you plan to move or buy an existing shop, factor that in before you commit. Second, renewal costs $80 every 2 years. If the license lapses, relicensure costs $150.
Step 5: Get an individual barber license for every barber
The shop license does not cover the people who work in it. Each barber needs an individual license, and that includes you if you cut hair. To qualify, the applicant must:
- Be age 17 or older.
- Have completed 9th grade.
- Complete 1,800 hours of training, either through an 1,800-hour course at a licensed barber college or through 1,800 hours as an apprentice.
- Pass the practical and theory exams administered through PSI.
The barber exam application and 2-year license cost $63. Renewal costs $60 every 2 years, and relicensure after a lapse costs $100. Keep detailed hour logs for anyone training as an apprentice, and confirm with the Bureau of Professional Licensing what documentation it accepts before you count hours toward the 1,800 required.
Step 6: Register each apprentice before training begins
If the shop trains apprentices, the barbershop registers each apprentice through MiPLUS for a $20 processing fee. Before registering, the shop must check that the apprentice has a high school diploma or equivalent education. Register the apprentice before counting any hours toward that person's 1,800, and confirm the timing with the Bureau of Professional Licensing. A registration filed late can leave hours that will not count.
Step 7: Put every renewal on a calendar
Michigan's deadlines come from several agencies, and missing one is easy when the shop has several licensed people. Set reminders for each date below and check the exact expiration on your MiPLUS record, because the individual renewal date depends on when each license was issued.
- Barbershop license: renew every 2 years at $80.
- Each individual barber license: renew every 2 years at $60.
- LLC Annual Statement: $25 due February 15 each year.
- Corporation Annual Report: $25 due May 15 each year, with late fees after that date.
Fee summary
The table below lists the published fees in this guide. It does not include your lease, equipment, insurance, local permits or inspection charges, so budget for those separately and confirm each one with the agency that handles it.
| Item | Agency | Cost |
|---|---|---|
| LLC Articles of Organization | LARA | $50 |
| LLC Annual Statement | LARA | $25 each year, due February 15 |
| Corporation Articles of Incorporation | LARA | $60 |
| Corporation Annual Report | LARA | $25 each year, due May 15 |
| Name reservation (Form CSCL/CD-540) | LARA | $25 for six months |
| Assumed name certificate for an LLC | LARA | $25 |
| Barbershop license (application and 2-year license) | LARA Bureau of Professional Licensing | $130 |
| Barbershop renewal | LARA Bureau of Professional Licensing | $80 every 2 years |
| Barbershop relicensure after a lapse | LARA Bureau of Professional Licensing | $150 |
| Individual barber exam application and 2-year license | LARA Bureau of Professional Licensing | $63 |
| Individual barber renewal | LARA Bureau of Professional Licensing | $60 every 2 years |
| Individual barber relicensure | LARA Bureau of Professional Licensing | $100 |
| Apprentice registration | LARA Bureau of Professional Licensing (MiPLUS) | $20 per apprentice |
| Sales tax registration | Michigan Department of Treasury | Free |
Tips that save time and money
- Get zoning answers in writing. A verbal yes from a front desk clerk does not protect your lease.
- Build the floor plan once. Use the same drawing for the application, the inspection and any landlord approval, so the three documents match.
- Schedule the pre-license inspection as a milestone. Set the opening date only after the inspection passes, not before.
- Start individual licensing early. The 1,800-hour requirement is the longest step in the process for most barbers, and it cannot be shortened by paperwork.
- Keep training records like evidence. Hour logs, school transcripts and apprentice registration confirmations are the documents you will need if a license question comes up.
- Ask your CPA about city income tax. It applies in only 24 Michigan cities, but it can change your take-home profit.
Common mistakes to avoid
- Treating the LLC filing as the license. The LLC is a legal entity. The barbershop still needs its own license before it opens.
- Opening before the inspection passes. Michigan law prohibits conducting business until the inspection is passed and the license issues.
- Moving or changing ownership without a new application. A change of address or ownership voids the license.
- Using a P.O. box as the registered office. The registered office must be a physical location where the resident agent can be found.
- Letting a barber work on an expired individual license. Each person's renewal runs on a separate calendar, so check every one.
- Skipping the sales tax step. If you sell retail products, the free registration should happen before your first sale.
- Assuming the 1,800 hours count from any training. The hours must come from a licensed barber college or a registered apprenticeship, so confirm the source before you start.
What to expect when you finish
When the steps are complete, you may have an LLC or corporation on file with LARA, a barbershop license that reflects the inspected floor plan, individual licenses for each barber, and a sales tax registration if you sell products. Owners who follow the order in this guide often find the process goes smoother, because each filing supports the next one. Timing depends on LARA processing, the inspection schedule and each barber's training, and LARA does not publish a guaranteed review time. Expedited options exist for LARA filings, but they do not speed up the training hours or the inspection itself. Results will vary by location, staffing and how quickly each step is completed, so treat any timeline you build as an estimate to confirm with the agencies.
Official Michigan resources
- LARA Corporations Division: michigan.gov/lara/bureau-list/cscl/corps
- MiBusiness Registry business search: mibusinessregistry.lara.state.mi.us/search/business
- MiBusiness Registry Portal for online filing: mibusinessregistry.lara.state.mi.us
- Michigan Department of Treasury: michigan.gov/taxes
- Treasury online business registration: michigan.gov/taxes/business-taxes/new-biz/online-business-registration
- Michigan Small Business Development Center: michigansbdc.org
For barbershop and individual licensing details, navigate from michigan.gov/lara to the Bureau of Professional Licensing and use MiPLUS, and confirm each fee there before you pay.
Reminder: This article is informational content, not legal or tax advice. Verify fees, deadlines and requirements with LARA, the Department of Treasury and your local government, and consult a qualified Michigan attorney or CPA before you form your business or sign a lease.