14 permits · verified 2026-09-08
What permits do you need to open a coffee shop in Birmingham?
In short
A coffee shop in Birmingham, AL has 7 permits that apply to every business of this type, plus 7 more that depend on your premises, signage or how you are set up. City of Birmingham Department of Planning, Engineering and Permits charges $150 flat; a new Certificate of Use and Occupancy triggered by a change of occupancy or tenant is a $300 inspection fee instead for the certificate of occupancy. 8 of the 14 are charged as a range or formula rather than a flat fee. Verified 2026-09-08 against the issuing agencies’ published fee schedules.
The permits at a glance
| Permit | Issuing agency | Fee | Renews | Last checked |
|---|---|---|---|---|
| Municipal Business Licence — Restaurants and Cafes | City of Birmingham Finance Department, Tax and License Administration Division | Schedule 216, graduated by prior-year gross receipts: under $5,000 $60, rising in steps to $720 at $90,000–$100,000; above $100,000, $720 plus 0.2% of the excess. No licence is issued without a current, valid health department permit on file at application. | annual — calendar year, all licences expire December 31 regardless of purchase date | 2026-09-08 |
| Food Establishment Permit | Jefferson County Department of Health, Food Protection Division | $250–$650 a year, by risk level — Level 1 $250, Level 2 $350, Level 3 $550, Level 4 $650; a mobile food service permit is $250 for Levels 1–2 or $550 for Levels 3–4 | annual | 2026-09-08 |
| Sign Permit | City of Birmingham Department of Planning, Engineering and Permits | $175.00 application fee per sign, plus $1.50 per square foot of sign face. | one-time, per sign | 2026-09-08 |
| Certificate of Occupancy | City of Birmingham Department of Planning, Engineering and Permits | $150 flat; a new Certificate of Use and Occupancy triggered by a change of occupancy or tenant is a $300 inspection fee instead | one-time, per issuance | 2026-09-08 |
| Zoning Certificate or Information Letteronly if it applies to you | City of Birmingham Department of Planning, Engineering and Permits | $50–$100 a Zoning Certificate Letter (zoning classification and flood plain status only) is $50; a more detailed Zoning Information Letter is $100 or more depending on scope | one-time, per request | 2026-09-08 |
| Commercial Building Permit | City of Birmingham Department of Planning, Engineering and Permits | $9.50 per $1,000 of valuation for the building permit itself, and identically for HVAC, sprinkler/fire detection, awnings, and parking lot installation; plumbing, gas, electrical and mechanical permits are the same $9.50 per $1,000 with a $125 minimum each. Plan review (commercial): $150 up to $10,000 valuation, $350 for $10,001–$50,000, $700 for $50,001–$100,000, then $700 plus $1.50 per $1,000 above $100,001. A $1.00 per $1,000 state craft-training-fund surcharge applies to nonresidential permits. Reinspection is $125; weekend/after-hours inspection is a $300 minimum for the first four hours. | one-time, per project | 2026-09-08 |
| State and County Business Privilege Licenceonly if it applies to you | Alabama Department of Revenue, Business and License Tax Division | Priced trade by trade — a restaurant by town population and seats from $8.50 to $76, a garage by headcount, a barber shop by chairs, a contractor by contract value to $376 — plus 50% for the county and a $1 issuance fee | annual — 1 October to 30 September, delinquent 1 November | 2026-09-03 |
| Certificate of Formation (LLC)only if it applies to you | Alabama Secretary of State, Business Services | $200 one-time filing | perpetual — Alabama abolished the annual report in 2024 | 2026-09-03 |
| Certificate of Incorporationonly if it applies to you | Alabama Secretary of State, Business Services | $200 one-time filing | perpetual — Alabama abolished the annual report in 2024 | 2026-09-03 |
| Corporation Annual Report (abolished)only if it applies to you | Alabama Secretary of State, Business Services | No fee | not applicable — the filing no longer exists | 2026-09-03 |
| Business Privilege Taxonly if it applies to you | Alabama Department of Revenue, Sales and Use Tax Division | Nothing at all where the computed tax is $100 or less, and no return is due; above that, $0.25 to $1.75 per $1,000 of Alabama net worth, capped at $15,000 for most entities | annual — due when the matching federal return is due | 2026-09-03 |
| Sales Tax Licence | Alabama Department of Revenue, Sales and Use Tax Division | No fee | annual — renew online between 1 November and 31 December | 2026-09-03 |
| Food Establishment Permit | Alabama Department of Public Health, Division of Food, Milk and Lodging | $50–$650 a year, set by the county health department, not by the state | annual — expiring when the privilege licences expire, or on a date the health officer sets | 2026-09-03 |
| Certified Food Protection Manageronly if it applies to you | Alabama Department of Public Health, Division of Food, Milk and Lodging | No fee | 5 years for a certification; 12 months for attendance without certification | 2026-09-03 |
Fees shown as a range or formula are set that way by the issuing agency — we do not average them into a single number.
How much does it actually cost to permit a coffee shop in Birmingham?
There is no single figure, and any site quoting one is rounding away the part that matters. Of the 14 records listed for a coffee shop in Birmingham, AL, 7 apply to every business of this type and 7 are conditional. Adding every fee on the page together would overstate what most operators pay, because it would include permits they never need.
Of the 7 that always apply, 1 carry a flat fee, coming to $150.00. That is a floor, not a total. 8 of the 14 are charged as a range or a formula set by the issuing agency, and 3 have no fee published at all. The ones that vary:
Municipal Business Licence — Restaurants and Cafes: Schedule 216, graduated by prior-year gross receipts: under $5,000 $60, rising in steps to $720 at $90,000–$100,000; above $100,000, $720 plus 0.2% of the excess. No licence is issued without a current, valid health department permit on file at application.
Food Establishment Permit: $250–$650 a year, by risk level — Level 1 $250, Level 2 $350, Level 3 $550, Level 4 $650; a mobile food service permit is $250 for Levels 1–2 or $550 for Levels 3–4
Sign Permit: $175.00 application fee per sign, plus $1.50 per square foot of sign face.
Zoning Certificate or Information Letter: $50–$100 a Zoning Certificate Letter (zoning classification and flood plain status only) is $50; a more detailed Zoning Information Letter is $100 or more depending on scope
Commercial Building Permit: $9.50 per $1,000 of valuation for the building permit itself, and identically for HVAC, sprinkler/fire detection, awnings, and parking lot installation; plumbing, gas, electrical and mechanical permits are the same $9.50 per $1,000 with a $125 minimum each. Plan review (commercial): $150 up to $10,000 valuation, $350 for $10,001–$50,000, $700 for $50,001–$100,000, then $700 plus $1.50 per $1,000 above $100,001. A $1.00 per $1,000 state craft-training-fund surcharge applies to nonresidential permits. Reinspection is $125; weekend/after-hours inspection is a $300 minimum for the first four hours.
State and County Business Privilege Licence: Priced trade by trade — a restaurant by town population and seats from $8.50 to $76, a garage by headcount, a barber shop by chairs, a contractor by contract value to $376 — plus 50% for the county and a $1 issuance fee
Business Privilege Tax: Nothing at all where the computed tax is $100 or less, and no return is due; above that, $0.25 to $1.75 per $1,000 of Alabama net worth, capped at $15,000 for most entities
Food Establishment Permit: $50–$650 a year, set by the county health department, not by the state
Which offices issue these permits in Birmingham?
Permits for a coffee shop in Birmingham, AL come from 7 separate offices: City of Birmingham Finance Department, Tax and License Administration Division, Jefferson County Department of Health, Food Protection Division, City of Birmingham Department of Planning, Engineering and Permits, Alabama Department of Revenue, Business and License Tax Division, Alabama Secretary of State, Business Services, Alabama Department of Revenue, Sales and Use Tax Division, Alabama Department of Public Health, Division of Food, Milk and Lodging. No single office issues them all, which is why an opening means filing in several places rather than one.
- City of Birmingham Finance Department, Tax and License Administration DivisionIssues 1 permit on this page: Municipal Business Licence — Restaurants and Cafes710 North 20th Street, Room TL-100, Birmingham, AL 35203 · (205) 254-2198www.birminghamal.gov/government/city-departments/finance/tax-license-division
- Jefferson County Department of Health, Food Protection DivisionIssues 1 permit on this page: Food Establishment Permit(205) 930-1260www.jcdh.org/SitePages/Programs-Services/EnvironmentalHealth/FoodProtection/FoodProt.aspx
- City of Birmingham Department of Planning, Engineering and PermitsIssues 4 permits on this page: Sign Permit, Certificate of Occupancy, Zoning Certificate or Information Letter, Commercial Building Permit(205) 254-2478www.birminghamal.gov/government/city-departments/planning-engineering-permits
- Alabama Department of Revenue, Business and License Tax DivisionIssues 1 permit on this page: State and County Business Privilege Licence2545 Taylor Road, Montgomery, AL 36117 · (334) 353-7827www.revenue.alabama.gov/business-license
- Alabama Secretary of State, Business ServicesIssues 3 permits on this page: Certificate of Formation (LLC), Certificate of Incorporation, Corporation Annual Report (abolished)770 Washington Avenue, Suite 580, Montgomery, AL 36104 · (334) 242-5324www.sos.alabama.gov/business-entities
- Alabama Department of Revenue, Sales and Use Tax DivisionIssues 2 permits on this page: Business Privilege Tax, Sales Tax LicencePO Box 327710, Montgomery, AL 36132-7710 · (334) 242-1490www.revenue.alabama.gov/sales-use/business-tax-online-registration-system
- Alabama Department of Public Health, Division of Food, Milk and LodgingIssues 2 permits on this page: Food Establishment Permit, Certified Food Protection Manager201 Monroe Street, Suite 1250, Montgomery, AL 36104 · (334) 206-5373www.alabamapublichealth.gov/foodsafety/food-and-lodging.html
Is anything about these requirements changing?
Renewal is due January 1, delinquent after February 15 for general business licences. A new business's first-year fee is based on a sworn affidavit estimating the first 90 days' gross receipts; later years use the prior year's annualised figure. The ordinance document carries a static 'effective 01/01/16' header despite plainly containing content added well after that date, so no per-amendment revision date could be confirmed — treat these figures as current as of April 2026 publication by the Alabama Department of Revenue and confirm with the Tax and License Division (205-254-2198) for a large or unusual filing.
Jefferson County runs its own independent health department rather than being run by the state, and this is the only fee document JCDH currently publishes for this program — but the PDF's own metadata shows it was created April 24, 2017 with no visible revision since. Confirm current figures directly with JCDH Food Protection (205-930-1260) before relying on them. Plan review is separate and additional: $250 for a restaurant under 75 seats, $500 for 75 or more.
Historic Preservation Review or Commercial Revitalization District design review, where applicable, adds a further $35 each.
A duplicate certificate is $150. Where a building permit for alterations exceeding $10,000 is already being issued, the occupancy inspection appears to be folded into that permit process rather than charged as the separate $300 change-of-occupancy fee, though the city's fee document does not state this explicitly.
The city's own request form does not state whether this letter is a mandatory prerequisite to opening or an optional due-diligence document a business can request; several municipal business licence schedules (auto repair, parking, junk yards) do separately condition licence issuance on zoning sign-off from this department. Confirm with the Zoning Division (205-254-2478) before treating this as a required step for every business type.
A citywide minimum permit fee of $125 applies regardless of the calculated amount for any individual trade permit.
This is the licence people mean when they say Alabama has a state business licence, and it has no single price because the statute enumerates business types one by one — around a hundred and twenty of them — each with its own schedule. A restaurant is banded by the population of the town and then by seats, running from $8.50 in a small town with ten seats to $76 in a city over forty thousand with more than thirty-five. A garage pays by the number of men, a barber shop by the number of chairs, a beauty parlour by the number of operators, a contractor by the value of the contract. Whatever the state levies, the county adds fifty per cent, and a $1 issuance fee goes on top of the first line. Three things trip people up. It is a tax licence, not a competence test — it sits on top of any professional board licence and replaces none of them, and the county need not even see the board certificate. It is needed in every county you do business in, and generally for each location. And a business that operates in more than one category needs more than one. New businesses starting after 1 April pay a half-year rate; renewals never do.
Two hundred dollars, of which the Secretary of State passes $100 to the treasurer of the county where the registered agent sits — which is why older material describes a two-stage filing. Since 1 January 2021 you file directly with the Secretary of State and pay nothing separately to the probate judge. Watch for stale forms: two older PDFs are still live on the Secretary of State's own site and both instruct filers to mail the document to the probate judge with a $100 fee. A name reservation is a prerequisite and costs $25 by post or $28 online. A corporation costs the same $200.
The same $200 as an LLC, with the same $100 passed to the county treasurer. Alabama calls this a certificate of incorporation rather than articles, following the title 10A-2A recodification, and calls the LLC equivalent a certificate of formation. Amendments and dissolutions are $100 each; registering a foreign entity is $150.
No fee, because the filing was abolished — the Secretary of State states plainly that corporations authorised to transact business in Alabama are no longer required by law to file an annual report. It cost $10 and disappeared on 1 October 2024. The history is worth knowing because it explains the confusion: the report used to ride along with the business privilege tax return, was detached into a standalone $10 filing at the start of 2024 when the minimum tax went, and was then repealed outright nine months later. One live trap remains — the revenue department's forms CPT and PPT are still titled business privilege tax return and annual report, and that internal annual report is a different thing that has not been abolished.
Alabama used to charge every entity a $100 minimum whether or not it had made a penny. That minimum was phased down to $50 for 2023 and to nothing from tax year 2024, and the exemption is total: where the computed tax is $100 or less there is no tax and no return. Above the threshold the tax is real — a rate per thousand dollars of Alabama net worth, set by a band keyed to apportioned federal taxable income, capped at $15,000 for most entities, $3 million for financial institution groups and insurers paying premium tax, and $500 for an electing family limited liability entity. A new entity files an initial return within two and a half months of organising, but again only if the tax computes above $100.
No fee to obtain and none to renew — the revenue department says so in as many words. The catch is that renewal is compulsory and annual, which surprises businesses used to a licence that simply persists: every sales, rental, sellers use, lodgings, utility gross receipts and simplified sellers use licence must be renewed online each November or December, and a licence not renewed by 31 December expires. An expired licence cannot be used for tax-exempt transactions, which is the practical bite — your suppliers can no longer sell to you free of tax. Renewal is a verification exercise rather than a payment: you confirm the legal name, the owners and officers, and every location and trading name. Extensions of up to sixty days are available for reasonable cause.
There is no state food permit fee at all — the health department's own rule listing every fee it collects at state level covers lead contractors, milk plants and cluster wastewater, and the word food does not appear in it. The permit comes from the county health officer and the price is the county's. That split is fiscal rather than regulatory: all sixty-seven counties enforce the same state rule, but the state runs sixty-five of the county health departments while Jefferson and Mobile elect their own health officers, hire their own staff and set their own fees, which run several times higher. Russell County charges $75 to $350 by priority category, with a mobile unit at $50 and a temporary at $10 a day; Chilton charges $50 to $100 by seats or floor area; Jefferson charges $250 to $650 by level; Mobile charges $410 or $615 by square footage. Ask your own county rather than working from a statewide figure, because none exists. A restaurant must also produce the health certificate before the county will issue its privilege licence.
No state fee, because Alabama neither examines nor registers anyone — the certificate comes from an accredited private programme at that programme's price. Two limits define who actually needs it. It applies only to priority category 3 and 4 establishments, broadly those handling raw animal foods, cooking to reduce pathogens, or cooling and reheating, plus anyone operating under a variance or a food safety plan; categories 1 and 2 and temporary establishments are exempt. And within those categories it is a hard requirement rather than one option among several, because Alabama expressly declines to adopt the two federal food code paragraphs that would otherwise let a person in charge demonstrate knowledge by other means. Since 2020 a certified or attendance-verified person in charge must be present during all hours of operation. There is no statewide food handler card — the phrase appears nowhere in the rules — though Jefferson and Mobile counties each issue one locally.
Sources
Every figure above was read from one of these government pages on the date shown. Confirmed by Editorial Team.
- City of Birmingham Business Licence Code, Ordinance 97-183 as amended, listing of schedules by number (hosted by the Alabama Department of Revenue)City of Birmingham, republished by the Alabama Department of Revenue · primary source · retrieved 2026-09-08
- City of Birmingham — business licence year, renewal, and delinquency datesCity of Birmingham, Finance Department · primary source · retrieved 2026-09-08
- Jefferson County Department of Health — Food and Lodging Fee CodesJefferson County Department of Health · primary source · retrieved 2026-09-08
- City of Birmingham — Permit and Inspection Fees, articles V and VIICity of Birmingham, Department of Planning, Engineering and Permits · primary source · retrieved 2026-09-08
- City of Birmingham — Zoning Letter Request Form and feesCity of Birmingham, Department of Planning, Engineering and Permits · primary source · retrieved 2026-09-08
- Alabama Department of Revenue — Handbook of Privilege and Store Licenses, October 2022, with the fee schedule for each business typeAlabama Department of Revenue · primary source · retrieved 2026-09-03
- Alabama Department of Revenue — business privilege licence briefing, on the $1 issuance fee and county-by-county issuanceAlabama Department of Revenue · primary source · retrieved 2026-09-03
- Alabama Secretary of State — domestic LLC certificate of formation, showing the $200 fee and the $100 remitted to the countyAlabama Secretary of State · primary source · retrieved 2026-09-03
- Alabama Secretary of State — filing fee schedule, revised 23 August 2023Alabama Secretary of State · primary source · retrieved 2026-09-03
- Alabama Secretary of State — domestic entity name reservation request formAlabama Secretary of State · primary source · retrieved 2026-09-03
- Alabama Secretary of State — domestic business corporation certificate of incorporationAlabama Secretary of State · primary source · retrieved 2026-09-03
- Alabama Secretary of State — business entities page, stating corporations no longer file an annual reportAlabama Secretary of State · primary source · retrieved 2026-09-03
- Alabama Department of Revenue — notice on the full exemption from business privilege tax where the tax due is $100 or lessAlabama Department of Revenue · primary source · retrieved 2026-09-03
- Alabama Department of Revenue — 2026 business privilege tax quick preparation reference, confirming no filing requirement below the $100 thresholdAlabama Department of Revenue · primary source · retrieved 2026-09-03
- Alabama Department of Revenue — FAQ confirming there is no cost to renew an Alabama tax account licenceAlabama Department of Revenue · primary source · retrieved 2026-09-03
- Alabama Administrative Code rule 810-6-5-.01.01 — annual licence renewal for sales and use tax accountsAlabama Legislature · primary source · retrieved 2026-09-03
- Alabama Administrative Code chapter 420-1-5 — the exhaustive list of fees the health department collects at state level, which contains no food establishment feeAlabama Department of Public Health · primary source · retrieved 2026-09-03
- Alabama Administrative Code chapter 420-3-22 — food establishment sanitation, permits issued by the county health officerAlabama Department of Public Health · primary source · retrieved 2026-09-03
- Russell County Health Department — environmental fee schedule, revised 27 March 2025, an example of a state-run county's food permit feesAlabama Department of Public Health · primary source · retrieved 2026-09-03
- Mobile County Health Department — board of health fee schedule, 5 December 2025, an independent county department's food permit feesMobile County Health Department · primary source · retrieved 2026-09-03
Related
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Commercial Compliance Hub publishes information, not legal advice. Requirements change — confirm anything you rely on with the issuing agency before you file.
