Restaurant Compliance Checklist for 2025

Opening your first restaurant? That’s exciting. It can also feel overwhelming. Alongside perfecting your menu and designing the space, you’ve got restaurant compliance to deal with.

If you miss just one permit, inspection, or filing, you could face fines or delays — or worse, a forced closure. But don’t worry. We’re breaking restaurant compliance intricacies down for you. Let’s dive in.

Business License/Registration

Start by deciding your business structure:

• LLC
• partnership
• corporation
• sole proprietorship

Most restaurants don’t need to register federally to form a business. But if you’re starting a restaurant as a corporation, filing for tax-exempt status, or trademarking your restaurant name, register with the IRS or USPTO.

If you formed an LLC or corporation, you must report Beneficial Ownership Info (BOI) to FinCEN via fincen.gov/boi.

Then, register in the state where you conduct business through the Secretary of State. You'll need:

• Business name and address
• Ownership/management info
• Registered agent (required for LLCs, corps, partnerships)
• Type of structure
• Number/value of shares (for corporations)

Common documents:

• LLC: Articles of Organization + Operating Agreement
• Corporation: Articles of Incorporation + Bylaws
• Partnerships: Certificate + Partnership Agreement

Foreign qualification is needed if operating in multiple states. You’ll file a Certificate of Authority and may need a Certificate of Good Standing from your home state.

Some cities/counties require local licenses or DBA registration if using a trade name. Check with your local government.

Federal EIN (Employer Identification Number)

This is like a Social Security number for your restaurant. You can’t run payroll legally without it. You’ll need it to:

• Hire employees
• File business taxes
• Open a bank account

To get it, go to the IRS website, click “Apply for an EIN,” and follow the prompts. It’s free!

Sales Tax Permit/Seller’s Permit

Every state (except a few like Alaska, Delaware, Montana, New Hampshire, and Oregon) requires you to collect sales tax on food and drinks. To do that legally, you need a Sales Tax Permit, also called a Seller’s Permit in some states. 

How to get it? Search “[Your State] Sales Tax Permit registration.” You’ll fill out a form online, list your products, and receive a certificate. Some states offer same-day digital approval.

Food Service/Health Permit

Before starting your QSR, you need approval from your County or City Health Department. That means passing inspections, submitting your menu and layout, and proving you're following all health and safety regulations in a restaurant. This includes checks on:

• Equipment setup
• Ventilation
• Food storage
• HACCP plan (Hazard Analysis Critical Control Point)

To get it, visit your local Health Department site and look for “Food Establishment Permit.” You’ll likely need to:

• Submit floor plans
• Provide your menu
• Pass an inspection

Allow 2–4 weeks minimum.

Food Handler Certifications

All team members who handle food — from chefs to servers — must be certified. Uncertified staff can’t work with food. So, they’ll need food safety training. Failure to comply can result in fines.

• Common certification: ServSafe (offered nationwide)
• Deadline: Within 30 days of hire

Go to servsafe.com. Courses cost around $15–$25. Your staff can often complete these courses online in a couple hours.

Building Permits & Inspections

Doing any renovations? Installing new plumbing, HVAC, or a fire suppression system? You need a building permit.

Talk to your city’s Building Department before any work starts. Your contractor will likely pull the permit. But you’re responsible for making sure they do.

Zoning Approval

Some neighborhoods limit what kind of business you can operate or if you can serve alcohol outside.

You need zoning approval for food service, outdoor seating, and liquor sales. Otherwise, you could be barred from opening, fined, or forced to relocate.

Check your local zoning maps and contact your city’s Planning or Zoning Department. They’ll tell you if your site is restaurant-approved or if you need to apply for a zoning variance or hearing.

Fire Department Permit & Inspection

Before opening and often annually after, your local fire marshal will inspect your space for fire safety restaurant compliance.

What they’ll check:

• Fire extinguishers (up-to-date and correctly placed)
• Fire suppression system in hoods
• Sprinklers and alarms
• Occupancy signs and exit routes

What happens if you skip it? You may be shut down. In case of a fire, you could face criminal charges for negligence.

Contact your local Fire Department and schedule a pre-opening inspection. They’ll let you know what’s missing and when to fix it.

Sign Permit

Planning to hang a sign above your entrance? You’ll need to apply for a Sign Permit through your Planning or Zoning Department. Towns have strict rules about size, brightness, and placement.

How to get it? Submit design specs, dimensions, and possibly a rendering of the sign placement. You may also need landlord approval if you’re renting.

Sidewalk/Curb Café or Patio Permit

Want to serve lattes on the sidewalk or host a brunch on the patio? You need a permit for that too. It ensures pedestrian safety, accessibility, and proper use of public space.

Apply through your city’s Zoning or Public Works Department. You’ll usually need:

• A floor plan
• Proof of insurance
• ADA accessibility confirmation

Entertainment/Music License

Want to play music in your restaurant? Whether through speakers, TV, radio, or live performers, you need a public performance license from U.S. performing rights organizations like:

• ASCAP
• BMI
• SESAC
• GMR

Each PRO represents different songwriters. So, most restaurants need licenses from multiple organizations to cover a full playlist. 

Hosting live music or DJs? You’ll need a separate license for that too, even if the music is a cover. 

Note: Personal streaming services such as Spotify or Apple Music are not legally permitted for business use under copyright law.

State Liquor License

Selling alcohol, even just beer or wine, requires a State Liquor License, issued by your State Alcoholic Beverage Control (ABC) Board. The process is usually lengthy and detailed.

Here’s what you’ll need to submit:

• A detailed floor plan
• Zoning clearance
• Background checks
• Fingerprinting
• Application fees
• Community or public notice (some areas require public hearings)

What happens if you skip it? Serious legal consequences. You could face misdemeanor charges, fines over $1,000, or even jail time. Plus, you risk permanent revocation of any future alcohol rights.

Visit your state’s ABC Board website. Be patient; the process may take anywhere from 2 to 12 months depending on your location and license type. Fees also vary wildly: from $300 to over $250,000 in some cities.

Specialized Requirements

This part depends on how you operate, but don’t skip it just because it sounds “extra.”

FDA Food Facility Registration

Only required if you manufacture, process, pack, or store food for retail sale beyond your premises. So if you’re bottling your hot sauce or selling branded packaged cookies—this applies to you.

Go to the FDA’s Food Facility Registration page. The form is online and free. Renewal is required every two years.

Employment Compliance

Hiring staff? Of course you are. Then you need to be compliant with:

• Form I‑9 to verify employee identity & eligibility to work
• FLSA rules (Fair Labor Standards Act) for minimum wage, overtime, breaks and working hours, and workers’ Compensation Insurance (mandatory in most states)

How to get it:

1. Download Form I‑9 from uscis.gov
2. Contact your state labor department for wage law guidance
3. Purchase workers’ comp through a licensed insurance provider or state-administered fund

Ongoing Compliance & Renewals

Once you’re open, the restaurant compliance journey doesn’t stop.

Renewals & Inspections

Most licenses and permits like health, liquor, building, and signage need to be renewed annually or every few years. Some require scheduled or surprise inspections, especially health and fire.

Record-Keeping

You’re also expected to keep proper documentation on file, such as:

• Health inspection results
• Food temperature logs
• Staff training records
• Alcohol sales and incident logs
• Equipment safety checklists

Set up a secure digital filing system. You can use Google Drive, Dropbox, or an advanced restaurant POS system.

Business Insurance

Most insurers won’t give you coverage unless you’ve already received your:

• Health Permit
• Liquor License (if applicable)
• Certificate of Occupancy
• Fire Department Inspection clearance

Essential coverage includes:

• General Liability for slips, trips, burns, etc.
• Workers’ Compensation for staff injuries
• Liquor Liability if you’re serving alcohol
• Business Interruption for fire, flood, or forced closures

Talk to an insurance broker who specializes in food businesses. Ask about coverage bundles for restaurants and verify state minimums for workers’ comp.

The 2025 Restaurant Compliance Checklist

Business Setup

Tax & Legal IDs

Food & Health Compliance

Construction & Facility Approvals

Location Approvals

Fire Safety

Signage & Outdoor Space

Music & Entertainment

Alcohol Sales (if applicable)

Packaging & Distribution (if applicable)

Employment Compliance

Ongoing Restaurant Compliance

Recordkeeping

Insurance Coverage

OneHubPOS Makes Restaurant Compliance Easier

Running a restaurant is hard. Managing restaurant compliance? Even harder.

But OneHubPOS doesn't just help you take orders or process payments; this all-in-one POS solution also helps you stay compliant:

• Employee Management: Track food handler certifications and renewal deadlines
• Digital Filing: Upload permits, licenses, and inspection logs for easy access
• Daily Operations: Automate checklists for opening/closing duties and health safety
• Sales Reports: Organized for easy tax filing and audits

Let OneHubPOS manage the operational complexity so you can focus on your food, your team, and your guests. Book a demo today and see how simple restaurant compliance can really be with OneHubPOS by your side.