South African small business owner in a local shop

Business Licence

Quick Answer

What is Business Licence?

A business (trading) licence is municipal permission to operate certain businesses, issued under the Businesses Act.

Business Licence explained

Selling food, liquor and various trades require licences; health and safety inspections accompany them. Operating without one risks fines and closure.

Who it applies to: Food sellers, traders and regulated trades.

Cost: Municipal fees, varying by area.

Related terms and guides

Official source: Gov.za

Always verify this information with official South African government sources. Rules, fees and thresholds change. Check SARS, CIPC, the Department of Employment and Labour or gov.za before you act.

About BizAnswers: BizAnswers is a privately owned South African company – not a government department. Our guides are free to read and show you how to do things yourself through official channels. If you would rather have the paperwork handled for you, we assist individuals and businesses with filing their South African tax returns and staying compliant, which is a paid service, not a free government service. Contact us for help.


Last reviewed: September 2026 by the BizAnswers editorial team. How we write and check our guides.