This article provides three key state business startup requirements for self-employed sole proprietors and general partners who run residential house cleaning businesses. Information from the Secretary of State, the Oklahoma Tax Commission and selected city and county government sources were used to research this article.
Be aware that sole proprietor and general partner startup requirements in this state are always changing. Some requirements even vary from county to county. It is important that you call or visit your local county or city government to find out local requirements for residential house cleaning businesses and home-based businesses. This article is not intended to be exhaustive or a substitute for qualified legal or tax advice.
Business Name Registration
Sole proprietors and general partners who want a business name that does not include the owner(s) full names (for example, Janice Smith’s Cleaning Service or Martha Harris and Tom Graham’s Maid Service) need to find out whether the name they want to use is available in the state. Start with a statewide corporate business name search to avoid legal problems and customer confusion.
Then do an online search for names similar to the one you plan to use. For example, if you want to use the name, Crystal Clean Maid Service, do simple Google searches for “Crystal Clean Maid Service+Oklahoma” plus Crystal Clean Maid Service+your county” and “Crystal Clean Maid Service+your town or city”. Search beyond the first page of results. Go at least five pages deep into the search results to see if the name you want or similar names are being used in your state, county or city.
Oklahoma recommends that sole proprietors officially reserve a Trade Name once the search is done. Just remember a name reservation is not a business registration, its only purpose is to reserve the business name with the state.
File a domestic Trade Name Report for sole proprietors and general partnerships with the state of Oklahoma:
• Domestic Trade Name for sole proprietors (including married couples in business together)
• Domestic Partnership Fictitious Name for general partners
In the state of Oklahoma, filing a Trade Name Report does not guarantee a business sole rights to the use of that name. Other businesses in the state may also register the same Trade Name. Registered businesses are expected to legally defend their Trade Names.
Business License Registration
Sole proprietors and general partners do not have to apply for a business license with the state of Oklahoma. Residential house cleaning businesses should check with the local city or county clerk’s office for licensing requirements.
In the state of Oklahoma, a sole proprietor can be an individual or a married couple in business together. General partners are generally not married couples.
In Oklahoma, a general partnership is created when two or more owners form an oral or written agreement to start a business together. General partners must file a Trade Name or DBA (“doing business as” name) with the state. A written partnership agreement drawn up by a lawyer is important for both or all partners. Partnership agreements do not have to be filed with the state.
Sole proprietors and general partners may apply for an Employer Identification Number (EIN) from the IRS even if they do not plan to hire employees. Getting an EIN may make it easier to open a bank account and reduce your risk of identity theft. You can apply for an EIN online. In addition, some business registration forms will require a NAICS business classification number for the house cleaning industry.
Business Tax Registration
Register through the Oklahoma Taxpayer Access Point online portal.
Residential house cleaning services are not taxable in the state of Oklahoma. House cleaning services do not have to collect and send sales taxes to the Oklahoma Tax Commission. House cleaning services do not need a state Sales Tax permit.
Sole proprietors and general partners pay tax on business income to the state of Oklahoma through their personal state tax return. Sole proprietors and general partners are responsible for paying estimated self-employment income taxes in Oklahoma (on Form OW-8-ES) similar to the way self employment taxes are paid to the federal government. Get more information about estimated tax requirements by calling the Oklahoma Tax Commission at (405) 521-3160.
Oklahoma general partnerships that file a Federal partnership information Form 1065, may need to file state income tax Form 514. Get more information from a CPA or qualified tax preparer to find out if your partnership must file those returns.
Selected City Licenses
Broken Arrow Business License: https://www.brokenarrowok.gov/business/business-registration-licensing
Edmond Business License: The city of Edmond does not require a business license for housecleaning services.
Lawton Business License: https://www.lawtonok.gov/departments/city-clerk
Midwest City Business License: Midwest City does not require a business license for housecleaning services.
Moore Business License: The city of Moore does not require a business license for housecleaning services.
Norman Business License: The city of Norman does not require a business license for housecleaning services.
Oklahoma City Business License: Oklahoma City does not require a business license for housecleaning services.
Tulsa Business License: The city of Tulsa does not require a business license for housecleaning services.