How to start a salon in Delaware (2026)
Everything a new salon in Delaware needs in the first months: registration, licenses, taxes, insurance and the yearly deadlines, with official links.
1. Register your business
Most owners form an LLC with the Delaware Division of Corporations. Once it's registered, find it here to claim a free website and see your exact dates.
2. Licenses
Stylists, barbers and nail techs need a license from Delaware Board of Cosmetology and Barbering, and many states also license the shop itself.
Your city or county may also require a general business license or tax receipt.
3. Taxes
Get a free EIN from the IRS first. How. Delaware has no statewide sales tax, though some local areas may.
If you expect to owe $1,000 or more in federal tax for the year, you pay estimated tax four times a year.
Delaware's yearly report
Delaware LLCs don't file a report; they pay a flat $400 annual tax by June 1 each year, starting the year after you form. The state fee is about $400.
Example: an LLC formed today would have its first one due Jun 1, 2027.
Your first-month checklist
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Check your cosmetology or barber licenses
Stylists, barbers and nail techs need a license from Delaware Board of Cosmetology and Barbering, and many states also license the shop itself.
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Get general and professional liability insurance
Covers a client who slips and a treatment that goes wrong. Chair-rental salons often require it. See options
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Get your EIN
Free from the IRS, online in about 10 minutes. Banks, clients and payroll all ask for it. You never need to pay a service for it. How to get it free
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Open a business bank account
Keeps the company's money separate from yours, which is what protects your LLC. See options
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Set up booking and invoicing
Online booking and automatic invoices get you paid faster. See options
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Register for sales tax if you sell taxable goods or services
Delaware has no statewide sales tax, though some local areas may.
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Payroll and workers' comp before your first hire
Most states require workers' comp once you have employees, and payroll software handles the tax filings. See options
What insurance costs
| Coverage | Median per month |
|---|---|
| General liability | $38 |
| Business owner's policy (BOP) | $79 |
| Professional liability | $50 |
| Workers' compensation | $66 |
Source: Insureon, Mar 2025. Your price depends on your work, location and history.
Other trades in Delaware
Sources: state agency sites linked above; annual report rules compiled from state sites (checked Oct 2026). Rules change, so confirm with the agency before filing.