If the City does not have evidence of notification from you and records indicate your license was not inactivated,  then you must pay for last year’s business license, including penalties before you can obtain a license for the new year.

This would be done through the County of Sonoma. Additional information and forms can be found on the County of Sonoma website.

If you are doing any kind of business out of your home, you must obtain a home occupation permit from the City of Sonoma Planning Department. Apply Online.

Yes, you do need a City of Sonoma Business License. Even though you are not serving local customers, your business is operating within the City of Sonoma.

There is no specific category for home businesses, so you would select the classification/category that is applicable to the services you provide.

No, businesses are not required to pay both business taxes. If services are provided, then the business tax would only be calculated based on the services, not delivery.

For example: a business delivers furniture to a new restaurant, assembles, and installs the furniture. The business license tax would be calculated based on category “A” / “B”, which is determined using the average number of persons employed during the previous calendar year.

For each motor vehicle used for the delivery of goods, wares merchandise, or tangible property within the City of Sonoma from a supply or stock outside of the City, the business license tax shall be calculated according to the following:

1. Delivery for redistribution or resale: $44.00 for each vehicle
2. Delivery of construction materials to job sites: $60.00 for each vehicle
3. Delivery of goods to homes: $67.00 for each vehicle

The annual business license tax shall be based on the average number of persons employed during the previous calendar year (SMC 5.08). In this scenario, five employees would be used to calculate the business license tax.

To avoid penalties, license fees must be paid by February 1 of each year. If payment is received after the delinquent date with a late or missing postmark – the payment will be considered late, penalties will be added and a balance due email will be sent to you.

Yes. All businesses are required to pay the annual state-mandated fee. On September 12, 2012, Governor Brown signed Senate Bill 1186 (SB 1186) into law. SB 1186 is intended to increase disability access, encourage compliance with construction-related accessibility requirements, develop education resources for businesses, and facilitate compliance with Federal and State disability laws.

From January 1, 2013, until December 31, 2017, cities and counties were required to collect a State mandated fee of $1.00 from “any applicant for a local business license or equivalent instrument or permit, and from any applicant for the renewal of a business license or equivalent instrument or permit.”

Assembly Bill 1379 was passed on October 11, 2017, which extends the assessment of the fee indefinitely and also the State-mandated fee from $1.00 to $4.00 from January 1, 2018, until December 31, 2023. The fee will go towards increasing disability access and compliance with construction-related accessibility requirements and developing educational resources for businesses to facilitate compliance with federal and state disability laws, as specified.

Business Licenses must be renewed annually. The City mails courtesy renewal notices in December for the following calendar year. It is the business’s responsibility to ensure their license is renewed on an annual basis prior to the due date.

Business Licenses are valid from January 1 through December 31 of each year. Businesses that start operating after July 1 are prorated.

Once a complete application/renewal is received and payment has been processed, the hard copy business license will be mailed to you in about 2 weeks.

The business license fee is based on the type of business. Please refer to the full business license fee schedule for a full list of fees. Business Licenses are valid from January 1 through December 31 of each year. Businesses that start operating after July 1 are prorated. To avoid penalties, license fees must be paid by February 1 of each year.

Applications can be picked up in person at City Hall (No. 1, The Plaza, Sonoma, CA 95476) or downloaded from the City’s website. You also have the option of fully applying online. Once you’ve submitted an application online, you will receive an email with instructions on how to complete payment.

Anyone who plans on conducting business within the City of Sonoma is required to apply prior to starting a business.

A business license is a permit issued by a government agency that grants you the right to operate a business within their geographical jurisdiction.

The City of Sonoma’s Minimum Wage Ordinance (Sonoma Municipal Code Section 2.80) was adopted in 2019.  It established a minimum wage to be paid to any person who in a particular week performs more than two hours of work within the geographic boundaries of the City of Sonoma for an employer.  Learn more about the Minimum Wage ordinance here.

The City of Sonoma’s Living Wage Ordinance (Sonoma Municipal Code Section 2.70) was adopted in 2004. The Living Wage applies only to a limited number of entities, and only if they employ more than six employees. These include the City of Sonoma itself and organizations that receive funding or financial assistance above certain levels from the City.  Learn more about the Living Wage ordinance here.

Sonoma’s minimum wage does not allow for a tip credit or deduction, nor does it allow an employer to offset the minimum wage by the costs of housing or meals provided or paid for by the employer. Employers may not fund any increase in compensation required by Sonoma’s minimum wage through charges or wage deductions for parking, meals, uniforms or other items.

Commissions and guaranteed gratuities (not including discretionary tips or gratuities) may be counted toward payment of the minimum wage when they are earned and paid together with other compensation paid to an employee and together are equal to or greater than the current minimum wage.

The Minimum Wage ordinance originally included a medical benefit credit of up to $1.50 per hour to go into effect January 1, 2021 (Section 2.80.040(F) of the original ordinance).  However, at the meeting of November 16, 2020 the City Council voted to remove the Health Benefit Credit.

See Chapter 2.80 of the Sonoma Municipal Code (Minimum Wage) for further details.

Sonoma’s minimum wage rate makes an exemption for a “Learner”, an employee who is at least age 14 but not older than age 17 who meets to definition provided in California Welfare Commission Order No.. 4-2001.   A “Learner” may be paid not less than 85% of the local minimum wage (rounded to the nearest nickel) during his/her first 160 hours of employment, after which he/she shall be paid the applicable minimum wage.

Sonoma’s minimum wage ordinance also provides that any or all requirements may be waived in a bona fide collective bargaining agreement, but only if the waiver is explicitly and clearly set forth in that agreement.  Governmental agencies are exempt from the provisions of the local minimum wage ordinance.

See the Chapter 2.80 of the Sonoma Municipal Code for further details on the City’s minimum wage ordinance, including exemptions and exceptions.

Sonoma’s minimum wage ordinance sets different wage rates for Large Employers (an employer for which normally 26 or more persons work for compensation during a given week) and Small Employers (an employer for which normally 25 or fewer persons work for compensation during a given week).  Relevant guidelines for determining the number of persons performing work for an employer during a given week include:

• All persons performing work on a full-time, part-time, or temporary basis are counted, included persons working through the services of a temporary or staffing agency, regardless of whether the employees work inside or outside of the City.
• A Franchisee is not considered to be a Small Employer if associated with a Franchisor or network of Franchisees that employ more than 25 persons in aggregate.

For details and additional information, see Chapter 2.80 of the Sonoma Municipal Code (Minimum Wage).

Both the Sonoma minimum wage and current law for California minimum wage establish rates for large and small employers with annual increases at the beginning of each calendar year.  Under current State law, on January 1, 2023 the California Minimum Wage increases from $15.00 for large employers and $14.00 for small employers to $15.50 for both large and small employers. Sonoma’s minimum wage increases from $16.00 to $17.00 for large employers and from $15.00 to $16.00 for small employers effective January 1, 2023.  View more information on Sonoma’s minimum wage here.

Sonoma’s minimum wage applies to any person who in a particular week performs more than 2 hours of work within the geographic boundaries of the City of Sonoma for an employer.  The employee must be entitled to payment of minimum wage under the California minimum wage law (Section 1182.12 and Section 1197 of the California Labor Code) in order to be covered by Sonoma’s minimum wage.   Employees are covered for each hour worked within the City.  An employee who is typically based outside the City but works more than 2 hours within the City during a one-week period is covered for all time worked in the City in that one-week period.  See Chapter 2.80 of the Sonoma Municipal Code for details and exceptions.

The Sonoma City Council passed a local minimum wage ordinance in 2019.  Chapter 2.80 of the Sonoma Municipal Code establishes a minimum wage rate to be paid by Large Employers (26 or more employees) and Small Employers (25 or fewer employees) with annual adjustments.

Effective January 2023, the Sonoma minimum wage rate is $17.00/hour for large employers and $16.00/hour for small employers.

Effective January 2024, the Sonoma minimum wage is $17.60/hour for large employers and $16.56/hour for small employers (25 or fewer employees).

The annual schedule of wage rate increases can be found at the Sonoma Minimum Wage page, along with the official notice (poster) for Sonoma’s minimum wage which can be downloaded in English and Spanish.

The City of Sonoma’s Minimum Wage Ordinance (Sonoma Municipal Code Section 2.80) was adopted in 2019.  It established a minimum wage to be paid to any person who in a particular week performs more than two hours of work within the geographic boundaries of the City of Sonoma for an employer.  Learn more about the Minimum Wage ordinance here.

The City of Sonoma’s Living Wage Ordinance (Sonoma Municipal Code Section 2.70) was adopted in 2004. The Living Wage applies only to a limited number of entities, and only if they employ more than six employees. These include the City of Sonoma itself and organizations that receive funding or financial assistance above certain levels from the City.  Learn more about the Living Wage ordinance here.

Sonoma’s minimum wage does not allow for a tip credit or deduction, nor does it allow an employer to offset the minimum wage by the costs of housing or meals provided or paid for by the employer. Employers may not fund any increase in compensation required by Sonoma’s minimum wage through charges or wage deductions for parking, meals, uniforms or other items.

Commissions and guaranteed gratuities (not including discretionary tips or gratuities) may be counted toward payment of the minimum wage when they are earned and paid together with other compensation paid to an employee and together are equal to or greater than the current minimum wage.

The Minimum Wage ordinance originally included a medical benefit credit of up to $1.50 per hour to go into effect January 1, 2021 (Section 2.80.040(F) of the original ordinance).  However, at the meeting of November 16, 2020 the City Council voted to remove the Health Benefit Credit.

See Chapter 2.80 of the Sonoma Municipal Code (Minimum Wage) for further details.

Sonoma’s minimum wage rate makes an exemption for a “Learner”, an employee who is at least age 14 but not older than age 17 who meets to definition provided in California Welfare Commission Order No.. 4-2001.   A “Learner” may be paid not less than 85% of the local minimum wage (rounded to the nearest nickel) during his/her first 160 hours of employment, after which he/she shall be paid the applicable minimum wage.

Sonoma’s minimum wage ordinance also provides that any or all requirements may be waived in a bona fide collective bargaining agreement, but only if the waiver is explicitly and clearly set forth in that agreement.  Governmental agencies are exempt from the provisions of the local minimum wage ordinance.

See the Chapter 2.80 of the Sonoma Municipal Code for further details on the City’s minimum wage ordinance, including exemptions and exceptions.

Sonoma’s minimum wage ordinance sets different wage rates for Large Employers (an employer for which normally 26 or more persons work for compensation during a given week) and Small Employers (an employer for which normally 25 or fewer persons work for compensation during a given week).  Relevant guidelines for determining the number of persons performing work for an employer during a given week include:

• All persons performing work on a full-time, part-time, or temporary basis are counted, included persons working through the services of a temporary or staffing agency, regardless of whether the employees work inside or outside of the City.
• A Franchisee is not considered to be a Small Employer if associated with a Franchisor or network of Franchisees that employ more than 25 persons in aggregate.

For details and additional information, see Chapter 2.80 of the Sonoma Municipal Code (Minimum Wage).

Both the Sonoma minimum wage and current law for California minimum wage establish rates for large and small employers with annual increases at the beginning of each calendar year.  Under current State law, on January 1, 2023 the California Minimum Wage increases from $15.00 for large employers and $14.00 for small employers to $15.50 for both large and small employers. Sonoma’s minimum wage increases from $16.00 to $17.00 for large employers and from $15.00 to $16.00 for small employers effective January 1, 2023.  View more information on Sonoma’s minimum wage here.

Sonoma’s minimum wage applies to any person who in a particular week performs more than 2 hours of work within the geographic boundaries of the City of Sonoma for an employer.  The employee must be entitled to payment of minimum wage under the California minimum wage law (Section 1182.12 and Section 1197 of the California Labor Code) in order to be covered by Sonoma’s minimum wage.   Employees are covered for each hour worked within the City.  An employee who is typically based outside the City but works more than 2 hours within the City during a one-week period is covered for all time worked in the City in that one-week period.  See Chapter 2.80 of the Sonoma Municipal Code for details and exceptions.

In the spring of 2019 the City Council adopted an ordinance regulating wine tasting facilities that includes limits on the total number and location of tasting rooms in the Plaza Retail Overlay Zone, requires a conditional use permit for new tasting rooms, and puts in place certain other requirements.  Learn more on the Wine Tasting Room Regulation page and contact the Planning Department for details.

The Sonoma City Council has adopted regulations prohibiting new vacation rentals, which were effective in early 2018.  Existing, licensed vacation rentals are allowed to continue, provided they meet updated operating standards.  Under the new ordinance, vacation rentals are no longer a conditionally-permitted in the Mixed Use and Commercial zones (new vacation rentals were already prohibited in residential zones).  An exception provides that new applications for vacation rentals are limited to those involving the adaptive re-use of a historic structure. Learn more on the vacation rental regulation page. 

Contact the Planning Department for details.

The Sonoma City Council passed a local minimum wage ordinance in 2019.  Chapter 2.80 of the Sonoma Municipal Code establishes a minimum wage rate to be paid by Large Employers (26 or more employees) and Small Employers (25 or fewer employees) with annual adjustments.

Effective January 2023, the Sonoma minimum wage rate is $17.00/hour for large employers and $16.00/hour for small employers.

Effective January 2024, the Sonoma minimum wage is $17.60/hour for large employers and $16.56/hour for small employers (25 or fewer employees).

The annual schedule of wage rate increases can be found at the Sonoma Minimum Wage page, along with the official notice (poster) for Sonoma’s minimum wage which can be downloaded in English and Spanish.

The City has a formula business ordinance which places certain restrictions and requirements on chain and franchise businesses.  Learn more about the formula business ordinance and contact the Planning Department for more information.

If your business plans involve a major remodel, expansion, or new construction within the City of Sonoma, you can request (or staff may suggest) a meeting with the Project Advisory Committee (PAC). PAC meetings are also strongly suggested for any new or expanded restaurant business.

At the PAC meeting, City staff  from various departments provide early-stage input on development projects at no charge.  It can prove extremely valuable in giving you and your architect or project manager a sense of the process, any studies that may be required (traffic, drainage, etc.), timelines, and potential issues associated with your project.  Staff can also assist with identifying the agencies and departments that can provide you with an estimate of their respective fees for your project.

Contact the Planning Department for more information.

Many types of signs require a permit.  You can find links and additional information on our business signage page.  Contact the Planning Department for details.

Yes! The City contracts with the Sonoma Valley Chamber of Commerce for business assistance and economic development services.  For one-on-one assistance, contact the Chamber’s Executive Director at  707-996-1033.

The Sonoma Valley Chamber of Commerce manages the City-owned business wayfinding signs located at the corners of the Plaza, using our program guidelines. Please contact the Chamber  at (707) 996-1033 for more information.  The winery directional signs throughout the Valley are managed by the Sonoma Valley Vintners and Growers Association.

Yes, but there are some restrictions.  More information is available from the Planning Department.  A home occupation permit is required.

The City of Sonoma’s Living Wage Ordinance (Sonoma Municipal Code Section 2.70) was adopted in 2004. The Living Wage applies to a very limited number of entities, and only if they employ more than six employees. These include the City of Sonoma itself and organizations that receive funding or financial assistance above certain levels from the City.  Visit our Living Wage page to learn more.

The City of Sonoma also has a local Minimum Wage Ordinance, which was adopted in 2019 and applies more broadly.  Learn more at the Minimum Wage page.

Any person or company conducting business within the city limits of the City of Sonoma, whether ongoing or one-time only, is required to have an active business license. To apply for a business license, please download the business license application. You can determine the amount due for your license using the fee schedule listed on page 2.  Payment is due when you register for a  Business License and are renewed on an annual basis.   For more information, contact the City Finance Department at (707) 938-3681.

The City of Sonoma’s Minimum Wage Ordinance (Sonoma Municipal Code Section 2.80) was adopted in 2019.  It established a minimum wage to be paid to any person who in a particular week performs more than two hours of work within the geographic boundaries of the City of Sonoma for an employer.  Learn more about the Minimum Wage ordinance here.

The City of Sonoma’s Living Wage Ordinance (Sonoma Municipal Code Section 2.70) was adopted in 2004. The Living Wage applies only to a limited number of entities, and only if they employ more than six employees. These include the City of Sonoma itself and organizations that receive funding or financial assistance above certain levels from the City.  Learn more about the Living Wage ordinance here.

Sonoma’s minimum wage does not allow for a tip credit or deduction, nor does it allow an employer to offset the minimum wage by the costs of housing or meals provided or paid for by the employer. Employers may not fund any increase in compensation required by Sonoma’s minimum wage through charges or wage deductions for parking, meals, uniforms or other items.

Commissions and guaranteed gratuities (not including discretionary tips or gratuities) may be counted toward payment of the minimum wage when they are earned and paid together with other compensation paid to an employee and together are equal to or greater than the current minimum wage.

The Minimum Wage ordinance originally included a medical benefit credit of up to $1.50 per hour to go into effect January 1, 2021 (Section 2.80.040(F) of the original ordinance).  However, at the meeting of November 16, 2020 the City Council voted to remove the Health Benefit Credit.

See Chapter 2.80 of the Sonoma Municipal Code (Minimum Wage) for further details.

Sonoma’s minimum wage rate makes an exemption for a “Learner”, an employee who is at least age 14 but not older than age 17 who meets to definition provided in California Welfare Commission Order No.. 4-2001.   A “Learner” may be paid not less than 85% of the local minimum wage (rounded to the nearest nickel) during his/her first 160 hours of employment, after which he/she shall be paid the applicable minimum wage.

Sonoma’s minimum wage ordinance also provides that any or all requirements may be waived in a bona fide collective bargaining agreement, but only if the waiver is explicitly and clearly set forth in that agreement.  Governmental agencies are exempt from the provisions of the local minimum wage ordinance.

See the Chapter 2.80 of the Sonoma Municipal Code for further details on the City’s minimum wage ordinance, including exemptions and exceptions.

Sonoma’s minimum wage ordinance sets different wage rates for Large Employers (an employer for which normally 26 or more persons work for compensation during a given week) and Small Employers (an employer for which normally 25 or fewer persons work for compensation during a given week).  Relevant guidelines for determining the number of persons performing work for an employer during a given week include:

• All persons performing work on a full-time, part-time, or temporary basis are counted, included persons working through the services of a temporary or staffing agency, regardless of whether the employees work inside or outside of the City.
• A Franchisee is not considered to be a Small Employer if associated with a Franchisor or network of Franchisees that employ more than 25 persons in aggregate.

For details and additional information, see Chapter 2.80 of the Sonoma Municipal Code (Minimum Wage).

Both the Sonoma minimum wage and current law for California minimum wage establish rates for large and small employers with annual increases at the beginning of each calendar year.  Under current State law, on January 1, 2023 the California Minimum Wage increases from $15.00 for large employers and $14.00 for small employers to $15.50 for both large and small employers. Sonoma’s minimum wage increases from $16.00 to $17.00 for large employers and from $15.00 to $16.00 for small employers effective January 1, 2023.  View more information on Sonoma’s minimum wage here.

Sonoma’s minimum wage applies to any person who in a particular week performs more than 2 hours of work within the geographic boundaries of the City of Sonoma for an employer.  The employee must be entitled to payment of minimum wage under the California minimum wage law (Section 1182.12 and Section 1197 of the California Labor Code) in order to be covered by Sonoma’s minimum wage.   Employees are covered for each hour worked within the City.  An employee who is typically based outside the City but works more than 2 hours within the City during a one-week period is covered for all time worked in the City in that one-week period.  See Chapter 2.80 of the Sonoma Municipal Code for details and exceptions.

The Sonoma City Council passed a local minimum wage ordinance in 2019.  Chapter 2.80 of the Sonoma Municipal Code establishes a minimum wage rate to be paid by Large Employers (26 or more employees) and Small Employers (25 or fewer employees) with annual adjustments.

Effective January 2023, the Sonoma minimum wage rate is $17.00/hour for large employers and $16.00/hour for small employers.

Effective January 2024, the Sonoma minimum wage is $17.60/hour for large employers and $16.56/hour for small employers (25 or fewer employees).

The annual schedule of wage rate increases can be found at the Sonoma Minimum Wage page, along with the official notice (poster) for Sonoma’s minimum wage which can be downloaded in English and Spanish.

The current sales tax rate in Sonoma is 9%. More information on sales tax rates by city and county can be found here.

Last updated April 26, 2021.