Welcoming Center for New Pennsylvanians Join Our Team       contact us       site map photo
For Immigrants graphic

Starting Your Own Business in Philadelphia

Many newcomers to Philadelphia begin their careers as entrepreneurs. If they decide to open a deli or grocery store, in addition to the basic procedures for opening a small business in Philadelphia, operators of food establishments must consider special licensing and training requirements.

As every business is unique and regulations are subject to change, this is intended for use as a guideline, not a comprehensive resource. It is important that you work with appropriate city departments to make sure you are in compliance with current procedures.

The Managing Director's office of the City of Philadelphia has on staff a business development liaison named Shinjoo Cho who can help you with understanding the city regulations and steps and forms needed to start a business. You can reach her at 215-683-2073 or by email at shinjoo.cho@phila.gov.

Understanding the Regulations

Establishments that handle or sell food are highly regulated in the United States to prevent sickness. Many small business owners are surprised and frustrated by these regulations. It is important that business owners understand and comply with the regulations, for the protection of both their customers and their business investment.

Delis and groceries are subject to many regulations. The fewest regulations apply to food establishments that sell only prepackaged products, making this type of food establishment easier to start. If you wish to sell prepared foods, you must comply with complex Health Department regulations. Also, food establishments that sell food for take out must seek special zoning approval. Many food establishments work with an accountant or advisor to understand these regulations.

Every business location must be properly zoned. Before you purchase property or begin operations, check to see that the zoning code permits the type of business you plan to establish. Note that special zoning requirements regulate take out food establishments.

back to top

Important Resources and Phone Numbers

Licenses and Inspections (L&I)

1401 John F. Kennedy Boulevard
Public Services Concourse
Philadelphia, PA 19102
License Information - (215) 686-2490
Permit Information - (215) 686-2471
Contact the City's License Information unit for general license information and license renewals. Contact Permit Information for building and zoning permit information.

Mayor's Business Action Team (MBAT)

(215) 683-2100
MBAT is the City of Philadelphia's comprehensive business assistance resource. Call for information about City services, financing and regulations.

Department of Public Health

(215) 686-5000
Food establishments require Health Department approval. Understanding Health Department regulations before you invest in your business will save time and money in the long run.

Welcoming Center for New Pennsylvanians

(215) 557-2626
The Welcoming Center provides support to the Philadelphia region's growing immigrant community. Contact the Welcoming Center for referrals to immigrant-friendly business resources, assistance working with city departments, and for general immigration services and information.

back to top

Step 1: Planning Your Business

Before You Begin

Think about basic business operations, including:

Licenses and Inspections Application

Request an application package from Licenses and Inspections to find out what licenses you will need and any other conditions you may have to fulfill. Your application package will include an application for a Philadelphia Business Tax Number, an application for each type of license you seek, and instructions about how to complete the forms.

Zoning

In the United States, the government regulates how private property may be used through a system known as zoning. Zoning governs the "use" of property. For example, zoning indicates whether a property can be used as a restaurant, store, daycare, salon, home, or other function. Zoning also regulates the size, spacing and other characteristics of lots and buildings.

Before you invest in a property or business, check with the Licenses and Inspections Zoning Unit to see if the zoning code permits the type of business you plan to operate. If the location is not properly used, you may not be able to open the type of business you plan to operate or you may try to change the zoning by appearing before the Zoning Board of Appeal to seek a zoning variance.

back to top

Step 2: Building Approvals and Inspections

Before you start your business, you may need some of the following approvals.

Zoning

Zoning Division, call (215) 686-2434
Every business location must be properly zoned. Before you purchase property or begin operations, check to see that the zoning code permits the type of business you plan to establish. Note that special zoning requirements regulate take out food establishments.

Construction Permits

Building Permits, call (215)-686-2467
Plumbing Permits, call (215) 686-1409 or 215-686-2454
Electrical Permits, call (215) 686-2467
Be aware that a building permit is required for most new construction or structural alterations. The approval process may require the submission of maps, plans, drawings, and filing fees.

Certificate of Occupancy

Buildings Services, call (215) 686-2467
Some business licenses require that you have occupancy approval, usually when the building is new or where there is a change in use.

Business Compliance Site Inspection

Business Compliance, call (215) 685-3700
A site inspection is required for certain licenses including parking lots and garages, auto wrecking yards, and laundromats.

Fire Unit Site Inspection

Fire Unit, call (215) 685-3712
Businesses that use hazardous materials need this approval.

Streets Department

Streets Department, call 215-686-5560
Businesses that involve sidewalks and streets for uses including dumpsters, parking lots or newsstands, require Streets Department approval.

Art Commission

Art Commission, call (215) 683-2095
Signs, awnings, canopies or similar fixtures and structures that encroach on the public sidewalk or are located in certain zoning control areas may require Art Commission approval.

back to top

Step 3: Health Department Approvals

Heath Department

Plan Review Program, call (215) 685-7495
Leave a voice mail and a representative will return your call promptly.

The Health Department Office of Food Protection regulates food handling processes, as well as food establishment construction and alteration. Health Department approvals are complex, especially for food establishments that handle prepared foods.

Contact the Health Department's Plan Review Program to find out about the approvals you will need for your business. Forms and information can also be obtained by visiting the Health Department homepage on the City of Philadelphia website.

Be aware that the Health Department regulates these and other food establishment activities:

A Note About Building Plans

If a City official advises you that you will need detailed building plan drawings, find out why and get a second opinion. Often, building plans are preferred but not required. You may be permitted to draw the plans yourself. Make sure you know your options.

back to top

Food Safety Certification Program

Most food establishments, including delis, groceries and restaurants, are required to have one or more persons certified through a Food Safety Certification program. The certified person must be present whenever food is being handled, prepared, served or sold. So, depending on your hours of operation, you may need more than one person to be certified.

For business operators new to Philadelphia, there is a 90 day grace period from the time you open your business until you must show proof of Food Safety Certification.

Obtaining Certification

Most people meet certification requirements by completing a Food Safety course. This course is usually 16 hours long and typically completed in two days. In Philadelphia, a number of providers offer the course in languages including English, Spanish, Chinese and Korean. You may request a list of training providers by calling the Food Protection Office at (215) 685-7495.

Certification is good for 5 years, after which you may be re-certified.

Once the course is completed, you must fill out the City's "Application for Food Establishment Personnel Food Safety Certificate" and submit a $25 fee.

back to top

Basic Licenses for Delis and Groceries

Listed below are some of the most common business licenses needed to operate a deli or grocery in Philadelphia. Be aware that you will also be required to meet state and federal registration and licensing requirements.

Download the forms for these licenses.

Business Privilege License - $250
Every business operating or conducting business within the boundaries of Philadelphia must obtain a business privilege license and city tax number.

Food Preparation License - varies
Facilities that prepare and serve food for consumption on or office premise must hold this license, which requires a Health Department Inspection.

Dumpster License - $50 on private property, $300 on a public street or sidewalk
A license is required for any dumpster one cubic yard or larger.

Cigarette Dealers License - $25
This license is required if you are selling cigarettes at retail. Be aware that local, state and federal laws strictly control the sales of cigarettes and there are heavy fines associated with sale of cigarettes to minors, sale of individual cigarettes, and sale of cigarettes purchased in other states.

Retail Food License - $125 for businesses less than 5,000 square feet, $440 for businesses more than 5,000 square feet
This license is required for facilities that sell foods without further preparation or assembly.

Scales License - From $25 to $125 per scale
For scales that weigh meats and cheese, a license is required through the Weights and Measures Department of Licenses and Inspection.

Sales Tax License - No Fee
The Pennsylvania Sales Tax License is required for most retail establishments. For more information, call 1-888-PA-TAXES.

Use Registration Permit - $100
Every business must register its business activity for each location where it does business. A new business moving into an existing store must also obtain this permit.

back to top

Small Business Assistance

These organizations offer free or low-cost services to Philadelphia-area entrepreneurs.

Empowerment Group
(215) 427-9245
Nonprofit organization providing entrepreneurship education, on-the-job training, and business development

The Enterprise Center
(215) 895-4000
West Philadelphia-based nonprofit entrepreneur resource center offering a minority entrepreneurship program

The Merchants Fund
(215) 339-1339
A Philadelphia charity that provides charitable gifts to business persons facing financial hardship

Small Business Support Center
(215) 790-5000
City resource center offering consulting, a business information center, and video-conferencing and computer resources

Temple University Small Business Development Center
(215) 204-7282
Consulting and training services to plan and grow your business

Wharton Small Business Development Center
(215) 898-4861
Offering information, training and consulting to entrepreneurs

Women's Business Development Center
(215) 790-9232
Nonprofit organization providing financial, management, technical, procurement and certification assistance

Women's Opportunity Resource Center (WORC)
(215) 564-5500
Nonprofit organization offering training, individual business assistance, job placement, and access to business and financial resources

back to top