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Expanding your business to Florida? Here is what you need to know

On Behalf of | Feb 6, 2026 | Business Formation & Planning

Expanding a business to Florida is an exciting step, but it requires more than just finding an office. If your company is headquartered elsewhere, you must officially notify the state before you start working. Failing to register can lead to fines or legal trouble if you ever need to defend your business in court.

Registering your business

The first step for most companies is “foreign qualification.” This simply means telling the Florida Department of State that your out-of-state business is now active here. You will need to provide a certificate from your home state proving your company is in good standing.

You must also appoint a registered agent. This is a person or service with a physical Florida address who can accept legal papers for you. For 2026, the state filing fees are $70 for corporations and $155 for limited liability companies (LLCs). These initial steps ensure your business has the legal authority to operate within the state.

Understanding state taxes

Florida is famous for having no personal income tax, but your business might still owe state taxes.

  • Corporate tax: C-corporations pay a 5.5% tax on Florida income, but there is a $50,000 exemption that helps many small businesses.
  • Pass-through entities: If you have an S-corp or an LLC, you generally do not pay this tax at the business level.
  • Reemployment tax: If you hire employees, you must pay into the state unemployment fund. New businesses start at a 2.7% rate, though approximately 65% of Florida employers qualify for a lower 0.1% rate in 2026.

Staying ahead of these tax obligations can help you maximize the financial benefits of moving to a tax-friendly state.

Following employment rules

Florida has specific laws for hiring and managing staff that vary based on your industry and size.

  • Work eligibility: Currently, private employers with 25 or more employees must use the federal E-Verify system. However, there is proposed legislation in the 2026 session that could expand this mandate to all private employers regardless of headcount as soon as July 1.
  • Minimum wage: The wage increases by $1.00 every Sept. 30 until it hits $15.00 in 2026. After that, the first inflation-based adjustment happens on Jan. 1, 2028.
  • Insurance: Coverage is generally required for general businesses with four or more employees. However, construction firms need it for even one worker, and agricultural businesses have a threshold of six or more.

Keeping a close eye on these shifting thresholds is vital for maintaining workplace compliance and avoiding penalties.

Getting local permits

Beyond state rules, most cities and counties require a local business tax receipt. You may also need special professional licenses if you are in a field like construction or healthcare.

Checking these local requirements early can prevent your grand opening from being delayed by missing paperwork. Because every business is different, consider speaking with an attorney to make sure your move to the Florida market is handled correctly.

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