How to Open a Salon in Texas: 2026 Licensing Checklist

Opening a salon in Texas means stacking three layers of approval: a state license from the Texas Department of Licensing and Regulation (TDLR), a city level certificate of occupancy and trade permits, and basic business setup with the IRS, Texas Comptroller, and either the Secretary of State or your county clerk. Skip a layer and you cannot legally take your first client.

This checklist walks through the 2026 requirements with sources linked beside each step so you can verify everything yourself. We focus on Fort Worth and the wider DFW metro because that is where most readers of this guide are opening shop, but the state level steps apply anywhere in Texas.

Last updated: May 2026. Rules and fees can change. Always confirm current amounts on the linked official pages before paying.

The 8 layers of opening a salon in Texas

Hold a current personal license (cosmetology operator, barber, esthetician, or manicurist) issued by TDLR.
Pick a business structure (sole proprietorship, LLC, or corporation) and register if needed.
Get an EIN from the IRS (free).
File a DBA / Assumed Name Certificate if you will operate under a name different from your legal business name.
Apply for the TDLR establishment license, which is the license that lets the location offer services and is separate from your personal practitioner license.
Pass local zoning and get a Certificate of Occupancy from the city (Fort Worth, Arlington, etc.).
Register with the Texas Comptroller for a sales tax permit if you will sell retail products.
Set up your space to meet TDLR equipment and sanitation rules before your inspection.

The rest of this guide covers each step in detail.

1. Personal license (operator, barber, esthetician, or nail tech)

Texas requires the person performing services to hold an individual license issued by TDLR. This is separate from the establishment license. Owning a salon does not let you cut hair without your own credential. Even if you only plan to manage and not perform services yourself, every practitioner working at the location must hold a current TDLR license.

Categories of individual licenses include cosmetology operator, esthetician, manicurist, hair braider, and barber. Apply or check your status on the TDLR Barbering and Cosmetology homepage.

2. Choose your business structure

Texas recognizes several structures for salon owners. The most common are:

Sole proprietorship: the simplest setup. No state filing required to form it. You can operate under your own legal name with no extra paperwork. Per the Texas Secretary of State, this is the most common form for single owner businesses.
Limited Liability Company (LLC): formed by filing a Certificate of Formation with the Texas Secretary of State. An LLC separates business liability from your personal assets, which is the main reason most salon owners choose it once they sign a commercial lease.
Corporation: more complex, generally chosen by larger multi location operators or those bringing in outside investors.

Talk to a CPA or business attorney before locking in a structure. The right answer depends on your tax situation, your lease size, and whether you will have employees.

3. Get an EIN from the IRS

An Employer Identification Number (EIN) is a free federal tax ID. Per the IRS, you can apply online and receive your EIN immediately at no charge.

Sole proprietors with no employees: the IRS lets you use your Social Security Number instead of an EIN, but most banks ask for an EIN to open a business account.
LLCs: most single member LLCs classified as disregarded entities still need to obtain an EIN by filing Form SS-4.
Anyone hiring W-2 employees: EIN is required.

4. File a DBA / Assumed Name Certificate (if you need one)

If your salon's public name is different from your legal business name, you will file an Assumed Name Certificate (also called a DBA, "doing business as"). Where you file depends on your structure:

LLCs and corporations file with the Texas Secretary of State. The state filing fee is $25 and the certificate is valid for up to 10 years. Per House Bill 3609 (effective September 1, 2019), entities filing with the Secretary of State are no longer required to also file at the county level.
Sole proprietors and general partnerships file with the Tarrant County Clerk (or the county clerk of any other county where you maintain a business office). Most Texas counties require a notarized signature on the form. County filed terms typically run 5 to 10 years and renewal procedures vary by county. Verify yours on the county clerk's site.

5. Apply for the TDLR establishment license

This is the license that lets your physical location offer cosmetology or barbering services. Your individual practitioner license alone is not enough. The establishment itself must also be licensed.

Per the TDLR Barbering and Cosmetology Establishments page, the establishment license fee for a Full Service or Specialty Establishment (and Mobile establishments) is $78, effective September 1, 2023. The license is valid for two years from the date of issue.

There are several establishment types. Pick the one that matches how you will operate:

Full Service Establishment: offers any combination of barbering and cosmetology services.
Specialty Establishment: limited to a single specialty (for example, nail only or eyelash extensions).
Mini Establishment: a smaller licensed space inside a larger licensed gallery establishment. Per TDLR, a Mini Establishment must be located inside a licensed Full Service or Specialty Establishment, and can only offer services the gallery is licensed to offer. Either the room lessee or the gallery owner can hold the Mini Establishment license.
Mobile Establishment: a vehicle outfitted to provide services on location.
Dual Shop Permit: required if you employ both barbers and cosmetologists in the same shop (alternatively, you can hold both a barber shop permit and a cosmetology salon license).

Apply through TDLR's establishment license application page. Always verify the current fee and turnaround times on the official page before mailing payment. Fees do change.

Booth rental: no separate license required

Texas no longer requires a separate booth rental license. Per TDLR's updated booth rental policy, individual practitioners can rent booths inside a licensed establishment as long as their cosmetology, barber, or other practitioner license has not expired. The establishment owner who leases space must maintain a list of every independent contractor on the premises with their name and license number, and submit an Independent Contractor List with their establishment application.

6. Pass city zoning and get your Certificate of Occupancy

Before TDLR can license your space, your city has to confirm the location is allowed to operate as a salon. In Fort Worth and most DFW cities, that means a Certificate of Occupancy (CO).

Per the City of Fort Worth Development Services, every business with a physical location in the city requires a CO permit. For salons specifically, the city requires Building, Electrical, Plumbing, and Mechanical permits. If your space was previously used for a different type of business, you will need a Change of Use Certificate of Occupancy. You can apply online or in person at City Hall. Call (817) 392-2222 to confirm the current process.

If you are opening in Arlington, Mansfield, Keller, Grapevine, or another DFW city, contact that city's development services or permits department directly. Every city has its own forms, fees, and timelines. Arlington, Mansfield, and Keller are all common alternatives to Fort Worth proper.

7. Texas Comptroller: do you need a sales tax permit?

Here is the part most new owners get wrong. In Texas, cosmetology and barbering services are not subject to state sales tax. That means haircuts, coloring, blowouts, manicures, pedicures, facials, waxing, and similar licensed services are nontaxable.

The Texas Comptroller confirms this position via Sales Tax Rule 3.356, which excludes licensed cosmetology and barbering services from the list of taxable personal services. See Comptroller Publication 96-259 (Taxable Services) for the broader list.

However, and this is the part that catches owners, tangible products you sell are taxable. If your salon sells shampoo, conditioner, styling tools, brushes, lash serums, or any other physical product, those sales are subject to Texas sales tax. To collect and remit sales tax, you will need a Texas Sales and Use Tax Permit from the Comptroller.

If your salon will be services only (no retail), you do not need a sales tax permit. If you plan to sell even a single bottle of conditioner over the counter, register before opening.

8. Set up your space to TDLR sanitation standards

TDLR's establishment rules focus on health, safety, and sanitation, with the goal of preventing cuts, burns, infections, and the transmission of contagious diseases. Per TDLR's establishment rules, every licensed location must have:

Clean floors, walls, ceilings, shelves, furniture, furnishings, and plumbing fixtures kept in good repair.
Flooring that is non porous or non absorbent in all areas where services are offered.
A sink with hot and cold running water in the area where services are performed.
At least one restroom located on or near the premises.
An entrance that is separate and distinct from the residential entrance, if the establishment is attached to a residence.

Licensed premises cannot be used for living or sleeping or any other purpose that would make the space unsanitary or unsafe. Set up before your inspection. TDLR will check.

Quick budget reality check

This guide intentionally does not list a "total opening cost" because real numbers depend on your lease, build out, equipment, and city. The state level licensing fees are small compared to what you will spend on space and gear. The pieces we can cite from primary sources:

TDLR establishment license: $78 (2 year) per the September 2023 fee schedule.
Texas Secretary of State Assumed Name Certificate: $25 (10 year) for LLCs and corporations.
IRS EIN: Free.
City Certificate of Occupancy and trade permits: Varies by city and project scope. Fort Worth requires Building, Electrical, Plumbing, and Mechanical permits for salons. Call (817) 392-2222 for current fees.
Tarrant County DBA filing (sole proprietors only): Fee varies by county. Confirm with the Tarrant County Clerk.

Beyond licensing, you will spend on lease deposit, build out (plumbing for shampoo bowls is the big one), furniture, mirrors, equipment, retail product inventory, insurance, and marketing. Get three contractor bids before signing a lease. The build out almost always costs more than new owners expect.

Common mistakes new Texas salon owners make

Confusing the personal license with the establishment license. You need both. The location cannot legally operate without an establishment license, even if every stylist working there is individually licensed.
Signing a commercial lease before checking zoning. Confirm the address allows salon use before you commit. Some retail centers and HOAs restrict personal services.
Skipping the sales tax permit because services are not taxable. If you are selling any retail product, you need to register with the Comptroller and remit tax on those sales.
Filing a DBA in the wrong place. LLCs and corporations file at the state level only since 2019. Sole proprietors still file at the county level. Filing in the wrong place wastes the fee.
Underestimating build out. Plumbing for shampoo bowls, electrical for dryers, and ventilation for chemical services routinely push timelines and budgets past initial estimates.

Frequently asked questions

How much does it cost to license a salon in Texas?

The TDLR establishment license is $78 for a two year period (full service, specialty, or mobile), effective September 1, 2023. Personal practitioner licenses, city Certificate of Occupancy, trade permits, and any DBA filing are separate. Total state and local licensing costs are typically a few hundred dollars before lease and build out.

Do I need a separate booth rental license in Texas?

No. Per TDLR's updated booth rental policy, practitioners no longer need a separate booth rental license. Your current cosmetology, barber, or other practitioner license is sufficient. The establishment owner leasing the space must maintain a list of all independent contractors with names and license numbers.

Are hair salon services subject to Texas sales tax?

No. Cosmetology and barbering services (haircuts, coloring, manicures, pedicures, facials, waxing) are not taxable in Texas, per Comptroller Sales Tax Rule 3.356. However, any tangible products you sell (shampoo, styling tools, retail items) are taxable, so you will need a Texas Sales and Use Tax Permit if you sell retail.

What is the difference between a Full Service and a Mini Salon establishment?

A Full Service Establishment is a standalone licensed location that offers any combination of barbering and cosmetology services. A Mini Establishment (Mini Salon) is a smaller licensed space located inside a Full Service or Specialty Establishment. The Mini can only offer services the gallery is licensed to provide.

Where do I file a DBA in Texas?

If you operate as an LLC or corporation, file the Assumed Name Certificate with the Texas Secretary of State ($25, valid up to 10 years). If you are a sole proprietor or general partnership, file with the county clerk in each county where you maintain a business office. In Tarrant County, that is the Tarrant County Clerk.

Do I need a Certificate of Occupancy in Fort Worth?

Yes. Every business with a physical location in Fort Worth requires a Certificate of Occupancy permit per the City of Fort Worth Development Services. Salons additionally require Building, Electrical, Plumbing, and Mechanical permits, and a Change of Use CO if the space was previously used for a different type of business.

How long does the TDLR establishment license last?

Establishment licenses are valid for two years from the date of issue. Renew through the TDLR website before expiration to avoid a lapse.

About this guide

The Local Gem is a zero commission beauty services marketplace serving Fort Worth and the wider DFW metro. We built this checklist so new owners are not stuck piecing together licensing rules from a dozen different blog posts. Every concrete claim above is sourced to a Texas state agency, the IRS, or the City of Fort Worth. Links are inline so you can verify and read further.

Rules change. Always confirm current fees and procedures on the official agency pages before paying. If you spot anything outdated, email us at thelocalgem.com/contact and we will fix it.

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