What is considered a business?

February 20, 2025

A business is any activity carried on by a person predominately for economic profit or livelihood in the city.  Commercial/individual businesses are required to fill out a business license application.The City of Sherwood has four primary classifications of businesses:

  • Resident Commercial business – consists of any non-residential storefront location that resides within the City of Sherwood’s jurisdiction.
  • Home Occupation business – includes any business owner residing in the City of Sherwood, who is not opening a commercial location.  Includes Mobile Vendors residing in the City of Sherwood.
  • Non-Resident business – any person (s), company, or organization primarily based outside of Sherwood’s city limits, that travel into the City of Sherwood to conduct business or provide service.  Includes Mobile Vendors residing outside the City of Sherwood.
  • Non-Profit/Exempt Organization – any not for profit organization operating in the City of Sherwood that can claim tax exempt status and/or provide a 501(c)3 form.
     

Please Note: 
Depending on the nature of the business being conducted, a variety of other permits or licenses may be required, and it is the responsibility of the licensee to obtain them.