How to Open a Barbershop in New Jersey: Barber License and Shop License

Opening a barbershop in New Jersey means working through two separate licensing tracks. You need an individual barber license for yourself and for every barber who cuts hair in the shop, and you need a shop license for the physical location. Both come from the same agency, the Board of Cosmetology and Hairstyling, which also licenses salons. If you have been searching for an NJ barber license or an NJ barber shop license, this guide puts the steps in the order most new owners run them, with the current state fees and the points you still need to confirm before you sign a lease.

Informational content only. This article is not legal or tax advice. Fees and rules can change, and the official agency pages control. Talk to a New Jersey attorney about your entity and lease, and to a CPA about taxes, before you commit money.

What You Need to Know Before You Start

New Jersey has no general state business license, and counties do not license businesses. Two items that show up early in the process are often mistaken for licenses:

• Business Registration Certificate (BRC). This is proof that your business completed tax and employer registration with the Division of Revenue and Enterprise Services. It is not a barbering or shop license.
• Formation documents. A Certificate of Formation (LLC) or Certificate of Incorporation (corporation) creates the legal entity. It does not authorize anyone to cut hair.

Your barbering and shop authority comes from the Board of Cosmetology and Hairstyling. Municipalities issue their own local permits, and that is where zoning comes in.

Materials and Documents to Gather

Pull these together before you file anything. Most delays come from missing paperwork, not from the state.

• A business name that carries a designator such as LLC, L.L.C., Limited Liability Co. or Limited Liability Company, and that is distinguishable from every other name on the state business database.
• A New Jersey street address for the registered office. A PO box may be listed only if the street address is listed as well.
• A registered agent, which can be an individual or a business entity registered and in good standing with the State Treasurer.
• Your school transcript showing 900 hours at a New Jersey licensed barber school, and your exam results once you have them.
• Government-issued photo ID and the personal information the Board asks for on its application.
• A signed lease or letter of intent for the shop, plus confirmation from the municipality of how the zoning applies to that address.
• A floor plan showing chair stations, sinks, sanitation areas and storage. It is useful for zoning questions and for planning your shop inspection.
• A federal Employer Identification Number (EIN) from the IRS, which the New Jersey tax registration typically asks for.
• A written list of owners and their ownership percentages, which your CPA will need for tax filings.

What a New Jersey Barber License Covers

A barber license authorizes shaving, cutting, coloring, and scalp and face massage. It does not cover nail services or skin care. If your concept includes those services, plan for them separately and confirm the scope with the Board before you advertise them.

Step 1: Form Your Business Entity

Most barbershops are formed as LLCs, though some owners choose a corporation. Formation runs through the Division of Revenue and Enterprise Services (DORES) in the Department of the Treasury, and the fastest route is the Online Business Entity Filing portal at njportal.com/DOR/BusinessFormation.

• LLC: The filing fee is $100. The formation document is the Certificate of Formation. Online filings are usually reflected in state records in about one business day, while mailed filings take longer.
• Corporation: The filing fee is also $100. The formation document is the Certificate of Incorporation.
• Annual report: Both entity types pay a $75 annual report fee every year, due by the last day of the month in which the business was formed. Two consecutive missed years lead to revocation.

Expedited service is available only for over-the-counter and fax filings and is added to the basic fee. For an LLC, 8.5 business hour service is $25 per request. Expedited service does not apply to annual reports. New Jersey does not require a newspaper publication for a new LLC or corporation.

Tax treatment also matters at this stage. An LLC has no franchise tax, and profits pass through to the members and are taxed under the New Jersey Gross Income Tax. If your LLC is treated as a partnership, has more than two owners and earns New Jersey source income, a partnership filing fee of $150 per owner applies, capped at $250,000, with a 50% installment prepayment reported on Form NJ-1065. Ask your CPA to model this before you add partners. An LLC that elects corporate treatment pays Corporation Business Tax instead.

Step 2: Check and Reserve Your Shop Name

Search the state database at the NJ business name search before you commit to a name. If you want to hold the name while you finish licensing, you can reserve it for 120 days for $50, and the reservation can be renewed.

Many barbershops operate under a shop name that differs from the legal entity name. For an LLC or corporation, file an Alternate Name Registration with the state for $50 per alternate name, with a $50 renewal. Sole proprietors and general partnerships file a trade name with the county clerk instead, and county fees are set by each county. Details are at business.nj.gov/pages/business-names.

Step 3: Complete Your New Jersey Tax Registration

Every business must complete tax and employer registration with the Division of Revenue (Form NJ-REG) after forming. The registration produces your New Jersey tax identification number and, where applicable, a sales tax certificate of authority. You can start it through the NJ Business Portal at njportal.com/DOR/BusinessRegistration.

Selling retail products such as pomade, razors or branded merchandise is a common reason a barbershop needs a sales tax certificate. The state sales tax rate is 6.625%. Confirm your obligations with the Division of Taxation at nj.gov/treasury/taxation.

Step 4: Complete 900 Hours at a New Jersey Licensed School

The barber license requires 900 hours of training at a school licensed in New Jersey. Before you enroll, confirm the school is licensed, ask for a written tuition and fee schedule, and ask how the hours are scheduled. At 40 hours per week, 900 hours is about 22 to 23 weeks of full-time attendance, so a part-time program will take longer. Tuition is not included in the state fee totals below, and it varies by school.

Step 5: Pass the Theory and Practical Exams

Applicants must pass both a written theory exam and a practical exam. The exam fee is $50. Confirm the scheduling process, retake rules and what you need to bring with the Board of Cosmetology and Hairstyling, since testing logistics can change.

Step 6: Apply for Your Individual Barber License

Once your training and exams are complete, apply for your barber license. The initial license fee is $90, or $45 if you apply in the second year of the Board's cycle. Licenses renew every two years for $90. Check with the Board which year of the cycle you are in, because that determines whether the reduced second-year fee applies.

Step 7: Secure a Location That Works for a Barbershop

This is the step most likely to change your timeline. Before you sign a lease, confirm with the municipal zoning office that barbershop use is permitted at that address. Ask about the certificate of occupancy (CO) process for the space, since a change of use can trigger requirements. Zoning and CO rules are set locally, not by the state, so they vary from town to town.

New Jersey does not allow chair or booth rental in a licensed shop. Plan staffing around that rule, and confirm the exact requirements with the Board before you draft any agreement with a barber who wants to work independently.

Step 8: Apply for Your Shop License

A shop license is issued by the same Board and is the same license a salon uses, so the fee schedule is identical. The requirements include:

• At least one licensee with three years of experience must oversee the shop.
• The application fee is $150, and it includes the shop inspection.
• The initial shop license fee is $200, or $100 if issued in the second year of the cycle.
• The shop license renews every two years for $200.

Ask the Board whether the inspection happens before you open and how it fits with your build-out schedule, so you do not invest in fixtures that fail review.

Step 9: Check Local Permits and Municipal Licenses

Because counties license nothing and the state issues no general business license, your town is the remaining layer. Municipalities issue their own local licenses and permits. Ask the town clerk and zoning office about any local business registration, signage permit, or health-related requirement that applies to a personal services business before you order sign work.

Step 10: Set Up Your Renewal Calendar

Put these dates on a calendar the day you open:

• Annual report ($75) every year, by the last day of your formation month.
• Barber license renewal ($90) and shop license renewal ($200) every two years.
• Alternate name renewal ($50) if you hold a registered shop name.
• Sales tax and other tax filings, as the Division of Taxation requires for your registrations.

Estimated State Fees at a Glance

The table below totals the state fees for a single-owner LLC that holds its own barber license and shop license at the initial rate.

Item	Fee	Notes
LLC formation	$100	Certificate of Formation, filed through the NJ Business Portal
Annual report	$75	Every year
Name reservation (optional)	$50	120 days, renewable
Alternate name (optional)	$50	Per name, with a $50 renewal
Barber exam	$50	Theory and practical
Barber license (initial)	$90	$45 in the second year of the cycle; $90 biennial renewal
Shop application	$150	Includes inspection
Shop license (initial)	$200	$100 in the second year of the cycle; $200 biennial renewal

The required items total $665, before optional name fees. That figure excludes school tuition, rent, equipment, insurance, partnership filing fees, and any expedited service. Confirm each fee on the agency page before you pay, since the Board and the state can update their schedules.

Common Mistakes to Avoid

• Treating the BRC as a license. It proves tax registration. You still need the barber and shop licenses.
• Signing a lease before the zoning and CO check. Confirm use and occupancy first, because local rules control the timeline.
• Training outside New Jersey or at an unlicensed school. The 900 hours must be completed at a New Jersey licensed school.
• Letting a barber rent a chair. Chair and booth rental is not permitted in a licensed shop, so set up staffing correctly from day one.
• Losing your three-year overseeing licensee. If the qualifying licensee leaves, confirm the replacement arrangement with the Board before the change takes effect.
• Missing the annual report. Two consecutive missed years lead to revocation, which can disrupt your bank accounts, leases and contracts.
• Operating under a shop name you have not registered. File the alternate name before you print signs or launch online listings.
• Budgeting only for state fees. Tuition, equipment, insurance and build-out costs often exceed the licensing totals.

What Results to Expect

Following these steps is designed to get your entity formed, your tax registration completed, your barber and shop licenses issued, and your location cleared for use. The timeline depends on your school schedule, the exam calendar, and the municipality's zoning and CO process, so build in slack. Revenue, client volume and profitability depend on your location, pricing, staffing and marketing, and nothing in this guide guarantees any of them.

Next Steps

Start with the name search and your school selection, since those two decisions shape everything else. Then get the zoning answer for your target address before you sign anything. For business planning help, the New Jersey Small Business Development Centers at njsbdc.com and the SBA's New Jersey district page at sba.gov/district/new-jersey are useful starting points. For your entity, lease and tax decisions, work with a New Jersey attorney and a CPA, since every barbershop's ownership and location is different.