How to Obtain a Business License on Guam

INFORMATION ABOUT HOW TO GET A GUAM BUSINESS LICENSE

Business licenses are exclusive to the person receiving it and cannot be transferred to someone else. According to Title 11 of Guam Code, Chapter 72, §7201, Every person engaged in or carrying on business in Guam for the sale or manufacturing of any tangible good or property, is required to obtain a commercial license and renew this license every year.

When are business licenses issued?

All licenses are issued on a fiscal year basis (between July 1 and June 30) and, regardless of when it was issued, your license will expire on June 30th every year and will need to be renewed.

Filing the application

Pursuant to §72104, everyone who wants to obtain a business license on Guam must file an application with the License Division of the Department of Revenue and Taxation. According to §72105, each application must contain evidence of your business’ compliance with all conditions and prerequisites required by Guam law. If your business is not compliant in any aspect of the application, then that is grounds enough to be denied a business license. There is a business license application available through the Department of Revenue and Taxation, with an attached form inquiring about your character that must also be filed. The application must contain this information:

  • You owe no tax obligation under the Business Privilege Tax Law to the government of Guam.
  • You are of good moral character, integrity, and general repute (there is an attached character application to the business application).
  • You’ll need your social security number, phone number, EIN, and GRT number (which is given to you upon your initial visit to the One Stop Licensing Center).
  • You’ll need to include your full name, file number, mailing address, business location address, and a description of business activity.
  • You must check one box showing which firm your business calls under.

Wholesale License

Pursuant to §72107, If you operate a business which sells tangible property for the purpose of resale, you must obtain a wholesale business license. The annual fee for your wholesale business license is based on the annual gross revenue of your business:

Annual Gross Revenue Annual Fee
$1-$100,000 $100
$100,001-$500,000 $200
$500,001-$1,000,000 $400
$100,000,001-2,000,000 $800
Exceeding $2,000,000 $1000

Retail License

According to §72108, those who operate a business that sells tangible property to others for consumption or use by the purchaser and is not for resale must obtain a retail business license. The annual fee for the renewal of the retail license is based on the annual gross revenue of each retail location operated by an applicant:

Annual Gross Revenue Annual Fee
$1-$250,000 $100
$250,001-$500,000 $200
$500,001-$1,000,000 $400
$100,000,001-2,000,000 $800
Exceeding $2,000,000 $1000

Vending Machine for Printed Materials

For business owners who operate a business that engaged in the selling of printed materials, such as magazine or newspapers, from a machine through a coin, token, or other monetarily-operated vending machine, the annual fee is $10 for each vending machine that is operated (according to §72109)

Manufacturers License

According to §72110, if you engage in the business of applying labor, by hand or with machinery, to raw materials or partially processed materials, resulting in substantial transformation of the materials into something useful, you’ll need a manufacturing license in order to operate. For a business where the manufacturing is done by hand, the fee is $25. For a machinery manufacturer, the fee is $80.

Temporary Commercial Licenses

Licenses may be issued temporarily, for a period of no more than seven days. At the end of the seven days, the license will expire and is not renewable. The fee for this type of license is one-fourth of the annual fee regardless of the quarter in which it was issued.

Special Commercial License Classes

Pursuant to §72150, if you run a business that requires a special commercial license, you must obtain the proper endorsements of government officials and comply with all of the rules and laws of Guam in regards to commercial licenses.

The special commercial license application

Every person who applies for a commercial license of a special class must so state in his application to the License Division, and file an application in the form required by the License Board (§72151).

Alcoholic beverage licenses

Special licenses are required for the sale of alcohol. The rules and regulations regarding the sale of alcohol are laid out in Title 11, Chapter 3 of Guam Code.

Other special licenses

Special licenses must be obtained for food preparation and dispensing, liquid fuel vending, firearm and ammunition vending, explosive vending, tobacco product vending, and home industry business.

Can I renew my license?

According to Title 11, Chapter 70, §70117 of Guam Code, a license can be renewed upon its expiration.

Do I need to register with the department of revenue and taxation before I get a business license?

No, you don’t need to register with the department of revenue and taxation before obtaining a business license. If your business is not registered, you are considered a sole proprietorship and you can get a business license without filing with the department. All applicants must obtain a business license before operating/conducting business in Guam, Title 11 GCA, Section 70130.