Planning a Business

The City of San Jose has the advantages of a big city, with fewer of the disadvantages. 

• It has one of the lowest crime rates of any major city in the U.S.
• The San Jose Metropolitan Area has a strong economic standing in technology (over 64,300 high technology companies employing over 245,000 people) and manufacturing (1 out of every 5 workers in Santa Clara County is employed in manufacturing).
• People living in the San Jose Metropolitan Area have money to spend. 

In light of the above, San Jose is a great place to live and work, and is an ideal place to establish a business. So what do you need to do to get started? Here you’ll find “nuts and bolts” information as well as resources that may prove valuable as your business grows. 

Any person or company conducting business within the City of San Jose must pay a business tax prior to beginning business activity in the City – this is required whether or not an office is located in San Jose. The amount of tax owed depends on the type of business and the number of owners and employees.

To find out more information about the business tax for the City of San Jose, please visit the City Finance Department.  

Once the City of San Jose business tax has been paid, a business tax certificate (business license) will be provided to the person or company. This certificate also serves as an official receipt showing that the tax was paid. The certificate must be displayed conspicuously in your place of business.

To find out more information about the business license for the City of San Jose, please visit the City Finance Department. 

Check with CalGOLD Business Permits Made Simple to learn if you’ll need any other state, county, or city permits or licenses based on your profession, type of business, and other considerations.

Whether you are leasing, buying, renovating, or building, the City of San Jose has special services to help small business owners find their way through the building and permitting process. Your Business Coaching Center links you with a single person who sees you through the entire process. A listing of available properties and information about permitted locations are also available.

For more information on regional resources to help you finance your business, visit the Finance section of the website.

The City of San Jose prides itself on providing leadership in “green” and sustainable practices, for both large and small businesses. Some programs that support a green agenda include the following:

• The Recycling Market Development Zone provides low-interest state loans of up to $2 million and also technical, marketing and location assistance to San Jose manufacturers using recycled feedstock (such as glass, paper, plastic, or used tires). To find out more, contact the Environmental Services Department at 408-975-2527.
• Special Tenant Improvement Program (STI) in vacant buildings encourages companies to locate in vacant buildings within industrial and research and development uses, as well as office space in the Downtown Core. The program offers expedited plan. For more information, contact the Building Department at 408-535-7765.
• Running a business from your home is encouraged in San Jose. Businesses can be operated from a single-family attached or detached dwelling, duplex, apartment, or mobile home. The business use must be clearly incidental to the residential use of the dwelling (Home Occupation). All home occupations must conform to criteria set forth in the City's Municipal Code. To find out the requirements for operating a business from a residence please visit the Home Occupations Brochure. 
• HomeBiz offers home-based businesses information on rebates, energy efficiency, indoor air quality and lowering utility bills.
• An extensive business recycling program includes free supplies to begin recycling, a construction and demolition recycling program, and lower business garbage service rates when recycling is included. For more information about recycling in San Jose, contact the Environmental Services Department.

For more questions about doing business in San Jose, visit the City of San Jose Business Information Website.