Starting a Business in Hawaii
Step-by-step guidance, licensing information, and trusted state resources to help you research, register, and operate your business with confidence
1. Research the Market
Before launching your business, thorough market research is essential to understand demand, competition, and opportunities in Hawaii’s unique economy.
This step helps validate your idea, identify target customers, and gather data on industry trends, demographics, and economic indicators.
2. Create a Business Plan
Banks often require business plans as part of their loan consideration process. These plans set forth the business’ goals, timelines, revenue projections, and other factors that can demonstrate the viability of your venture.
The following organizations offer free business counseling and assistance with drafting business plans:
You may also find sample business plans for various business activities on the
3. Choose a Legal Structure
When starting a business, make an informed decision on how you will own and operate your business. Your choice of entity (business structure) can affect personal liability, management of the business, tax filing responsibilities, as well as estate planning considerations.
We suggest you seek additional advice from a qualified attorney or accountant before making a selection. Here, we provide general information for you to consider.
The most common types of business structures are:
- Sole Proprietorship
- General Partnership
- Limited Partnership
- Limited Liability Partnership
- Limited Liability Limited Partnership
- Corporation
- S Corporation
- Limited Liability Company
For more discussion on entity types, visit the following sites:
- From the SBA Website
4. Choosing a Business Name
After selecting a legal structure, you may register your business with the Department of Commerce & Consumer Affairs’ Business Registration Division (downloadable forms are available on their site).
To check if the business name you want is available (not already registered by another business), click on the “Search for a Business Name” link on this page (right bar).
For more information, visit our Fast Facts on Trade Names and Marks
5. Permits and Licenses
The Business Action Center provides information on the various licenses and permits associated with specific business activities in Hawaii. We can also give you the contact information of the issuing agency.
Call one of our offices or search the links below to view some of the most common areas of licensing and permitting.
State of Hawaii Information
State tax licenses: Not sure if your license is still active? Search for your tax license on the Department of Taxation’s website.
Department of Agriculture
- Importing plants, animals, and microorganism to Hawaii
- Exporting plants and livestock
- Quality assurance
Department of Commerce & Consumer Affairs
- Professional & Vocational Licensing Division
- Real Estate Licensing Branch
- Public Utilities Commission
County Information
Call one of our offices for information on special permits and licenses required by the four county governments.
You can also view their websites by clicking a county here:
6. Tax Info
Taxes are levied by federal, state, and local (county) governments. Follow the links below to learn more about the different tax types and systems. The Internal Revenue Service is our federal taxing authority, while state taxes are (with a few exceptions) administered by the Hawaii Department of Taxation. County governments in Hawaii administer our Real Property Tax.
- Small Business/Self-Employed
- Hawai’i State Department of Taxation All persons doing business in Hawaii must obtain a General Excise Tax license. Contact us for more info on other tax licenses.
- Honolulu County Real Property Tax
- Maui County Real Property Tax
- Kaua’i County Real Property Tax
- Hawai’i County Real Property Tax
7. Employer Responsibilities
If you plan to hire employees, contact us on how to register with the Hawai’i Department of Labor and Industrial Relations.
Hawai’i State Department of Labor and Industrial Relations
Hawaii law requires payment of the Unemployment Insurance Tax and may require insurance coverage for employees (e.g., Workers’ Compensation, Temporary Disability, and/or Prepaid Health Care). For more information go to the FAQs link on DLIR’s website.
Administers employment standards and practices such those pertaining to child labor, minimum wages, overtime, the Federal Medical Leave Act information (FMLA), and more.
Contact us if you need to register for state income tax withholding for employees