Starting a service business in Nevada

Form your business in Nevada

A Nevada LLC starts with Articles of Organization filed with the Secretary of State. At the same time the company files an initial list of its managers or managing members and obtains a state business license. The fees are set by statute, and in October 2026 they read: $75 for the articles under NRS 86.561, $150 for the initial list under NRS 86.263, and $200 for the state business license under NRS 76.100. That puts the opening bill at $425 before any registered agent, name reservation or expedite charges. The Secretary of State's website blocks automated readers, so confirm current amounts and processing options on nvsos.gov when you file.

Ongoing state filings

Every year, by the last day of the month in which the LLC was formed, the company files an annual list of managers or managing members ($150 under NRS 86.263) and renews its state business license ($200 under NRS 76.130), both as the statutes read in October 2026. That is $350 a year to keep a basic LLC in good standing. Missing the list puts the company in default, and NRS 86.272 adds a $75 penalty on top of the fee.

Using a business name (DBA)

Assumed names are filed locally. NRS 602.010 requires anyone doing business under a name different from the owners' legal names to file a certificate with the county clerk of each county where the business operates, so a crew working in both Clark and Washoe counties files twice. Counties may make the certificate expire after five years under NRS 602.035, and the Clark County Clerk renews fictitious firm names every five years and takes original signed forms by mail or in person. Fees are set by each county, so check the clerk's fee page before you mail the form.

Not sure whether you need an LLC at all? Read LLC vs sole proprietor for contractors, then get your free EIN from the IRS.

Licensing for service trades

The Nevada State Contractors Board licenses contractors in three groups: A (general engineering), B (general building) and C, which the board describes as 42 specialty subcontracting fields including plumbing, electrical, carpentry, painting and concrete. NRS 624.700 makes it unlawful to act as a contractor or even submit a bid without an active license unless an exemption applies. The main small-job exemption in NRS 624.031 covers repair or maintenance work worth less than $1,000 in labor and materials, but it does not apply if the job needs a building permit, if it is plumbing, electrical, refrigeration, heating or air-conditioning work, or if it is part of a larger project worth $500 or more. In practice that means a handyman can take small repairs, while anyone touching wiring, pipes or HVAC needs a license from the first job. Cities and counties also issue their own business licenses, so check with the city or county where your shop sits.

• Nevada State Contractors Board: General engineering (A), general building (B) and 42 specialty (C) classifications, including plumbing, electrical and HVAC work
• Nevada State Contractors Board: Residential Recovery Fund: Homeowner recovery fund paid into by licensed residential contractors

Workers' compensation

The Division of Industrial Relations' employer FAQ says coverage is mandatory for any employer with one or more employees unless excluded by statute, and there is no waiting period: workers are covered from the moment they are hired, family members included. A sole proprietor with no employees may skip coverage on themselves, with one big exception for this audience: sole proprietors who are contractors under NRS 624.020, working within the scope of their license, must secure coverage. Coverage is bought from private insurance carriers, and the division notes that some employers are self-insured instead. An uninsured employer faces an administrative fine of up to $15,000, premium penalties and a possible order to close until insured.

More on coverage: business insurance for contractors.

Sales tax on services

Nevada's sales tax is a tax on retailers for selling tangible personal property, according to the Department of Taxation's sales and use tax general information. The department's sales tax FAQs say installation, repair and reconditioning labor is not taxable when it is listed separately on the invoice, while fabrication labor is taxable, and that services not tied to a sale of tangible goods, such as consulting, are not subject to sales tax. For a service company that means the parts and products you sell are taxed and the labor line is not, provided you itemize. If you sell goods, you need a seller's permit; the registration FAQ lists the fee as $15 per location, and you register online through My Nevada Tax after you have your EIN and state business license. Two other state taxes reach service businesses. Employers pay the Modified Business Tax on quarterly wages, with the first $50,000 of wages each quarter not taxable for general businesses, and registration happens automatically when you sign up with the Employment Security Division for unemployment insurance. The Commerce Tax return is only required once Nevada gross revenue tops $4,000,000 in a taxable year.

Recording business calls in Nevada

Nevada splits the rule. For conversations in person, NRS 200.650 bars secretly recording a private conversation unless one of the people in it authorizes the recording. For phone calls, NRS 200.620 covers wire communications, and in Lane v. Allstate Insurance Co. (1998) the Nevada Supreme Court issued split opinions, and justices in that case read the statute to bar recording a phone call without the consent of both parties. Because the court divided, treat every recorded business line in Nevada as needing everyone's consent: an automatic notice at the start of each call is the simple fix. Our guide on recording business calls explains how.

See our guide to recording business calls before you turn on call recording or an AI receptionist.

How the seasons shape the work

Most Nevadans live in the Las Vegas Valley or around Reno, and those two places run on different calendars. Southern Nevada summers routinely pass 110 degrees, which makes air conditioning repair an emergency trade and pushes outdoor crews to start at dawn, while hard water keeps plumbers, water heater installers and softener companies busy all year. Reno and Carson City see real winters with snow and freezing pipes, plus wildfire smoke and defensible space work in the foothills each summer.

Your ads need your license number

NRS 624.720 requires every ad by a licensed contractor to show the company name and license number, and an unlicensed person who advertises construction work must say in the ad that they are not licensed. If the Contractors Board finds unlawful advertising, it can order the phone number in the ad disconnected and ask the Public Utilities Commission to enforce that. Put your license number on your website, truck wraps, listings and every ad before you spend a dollar on marketing.

Residential Recovery Fund

Homeowners who hire a licensed residential contractor can claim up to $40,000 from the board's Residential Recovery Fund for certain losses, and every licensed contractor doing residential work pays a semi-annual assessment into it. It is a selling point worth mentioning to customers comparing you with an unlicensed bidder, since owners who hire unlicensed workers cannot use the fund.

Then set up the back end that gets you hired

The paperwork makes you legal. Customers still have to find you, reach you and pay you. Before your first job, set up a business phone number, email on your own domain, a Google Business Profile, a simple website, and a way to send quotes and take card payments. The launch checklist lays out the order.

Nevada questions