Toronto's business licensing system is run by Municipal Licensing and Standards (MLS). It covers a long, oddly specific list of categories — and missing a required licence can mean fines and orders to stop operating. Here is a plain-English guide to Toronto business licence requirements in 2026.
Do You Actually Need a Toronto Business Licence?
Not every Toronto business needs a municipal licence. Generic service businesses (consulting, design, writing) usually don't. But anything public-facing, physical, or regulated probably does. The easiest way to check is the City of Toronto's business licence look-up tool on the MLS website — search your industry and it tells you exactly what's required.
Common Categories That Need a Licence
Categories regulated by Toronto MLS include:
- Food premises, food trucks, and mobile vendors
- Personal services — tattoo, nail, barber, esthetics
- Tow truck operators and vehicle-for-hire drivers
- Contractors (certain trades), electricians, plumbers
- Short-term rentals (Airbnb-style)
- Holistic practitioners and body rub parlours
- Second-hand goods and pawnbrokers
- Pet kennels, dog walkers, and boarding services
What Toronto Business Licences Cost
Fees vary widely by category. Typical ranges as of 2026:
- Food handlers / premises — $250-$600 initial + annual renewal
- Personal services — $300-$500 initial + inspection
- Short-term rental operator — $55/year (plus MAT remittances)
- Contractors & trades — $100-$400 depending on category
- Vehicle-for-hire — $70-$400 plus driver licensing
How to Apply
Most applications go through the Toronto Licensing Portal online. You'll usually need your Ontario business registration, your BN, proof of insurance, and a floor plan or vehicle details depending on category. Food and personal service businesses also require a Toronto Public Health inspection before approval. Plan for 2-6 weeks from application to approval.
Staying Compliant After You're Open
Toronto licences renew annually. Miss the renewal and you operate illegally, which can trigger fines and make insurance claims worthless. Set reminders. A CRM like Threecus can hold licence expiry dates alongside your client records so renewals don't slip.
Related reading