Opening a restaurant or boba shop in San José

San José · Restaurant / boba shop

Verified 2026-06-11 · 10/18 verified · 8 Pending verification

Total estimated cost

$415–$829

+ Pending verification

+ ABC Type 41 Beer & Wine license (if serving alcohol)from $1,135
+ ABC Type 47 Full liquor license (if serving spirits)from $19,840

Realistic timeline

60–215days

Permits & registrations

Selling alcohol?

Hot cooking?

Hiring employees?

Step-by-step walkthrough

In the order we recommend doing them. Steps with arrows depend on a previous step being done first.

Phase 1 · Paperwork (free / today)

Federal Employer Identification Number (EIN)

Internal Revenue Service (IRS)

Free0 d

Who this applies to

All businesses with employees or partnerships/corporations/LLCs. Sole-proprietor with no employees may use SSN — confirm with CPA.

Always free. The IRS warns: 'You never have to pay a fee for an EIN. Beware of websites that charge for an EIN.'

Open the official form →Open the agency page →

California Seller's Permit

California Department of Tax and Fee Administration (CDTFA)

Free0–1 d

Do this first → Federal Employer Identification Number (EIN)

Who this applies to

Anyone selling tangible personal property in California (food, drink, retail goods). Restaurants and boba shops always need this. Salons selling retail products (shampoo, polish, tools to customers) also need this — confirm with CDTFA for service-only businesses.

No application fee. CDTFA may require a security deposit in some cases; amount depends on the case.

Open the official form →Open the agency page →

if hiring

California Employer Payroll Tax Account (EDD)

California Employment Development Department (EDD)

Free0–7 d

Do this first → Federal Employer Identification Number (EIN)

Who this applies to

Required within 15 days when you 'pay more than $100 in wages in a calendar quarter'. Household employers: $750/quarter threshold. Most restaurants and salons hit this threshold the first pay cycle.

No registration fee.

Open the official form →Open the agency page →

Fictitious Business Name (FBN / DBA) filing

Santa Clara County Clerk-Recorder

1 d

Who this applies to

If your business operates under any name other than the owner's legal name. Required for almost all DBAs and most LLCs/Corps operating under a name different from the registered entity name.

Fee was $40 (first name + first owner) + $7 (each additional) per a 2021 source. Current 2026 fee NOT verified — owner to confirm via phone (408-299-5688) or the official fee schedule before publication.

Open the official form →Open the agency page →

FBN newspaper publication

Adjudicated newspaper (private, choose from county list)

30–60 d

Do this first → Fictitious Business Name (FBN / DBA) filing

Who this applies to

Required for every FBN/DBA filing.

Newspaper-set; typically $30–$80. Owner must choose adjudicated newspaper from county list.

Open the agency page →

Phase 2 · Location & build-out

Zoning verification (before signing lease)

City of San José Planning Division

0–5 d

Who this applies to

Always — verify the address allows your business type BEFORE signing a lease. Critical to avoid signing a lease at a non-conforming address.

Informal zoning check at the Permit Center is free. Formal Zoning Verification Letter has a fee — owner to confirm current rate.

Open the agency page →

Building tenant improvement (TI) permit

City of San José — Building Division

30–120 d

Do this first → Zoning verification (before signing lease)

Who this applies to

Any new restaurant/salon/boba opening typically requires TI for hood, plumbing, electrical, accessibility. Some pre-existing food-permitted spaces may skip if no construction needed.

Plan Review: $325/hour (15-min minimum over-the-counter, 1-hour minimum for full review intake). Permit fees scale with project valuation and square footage. Use the city's online Building Fee Estimator at permits.sanjoseca.gov/fee-estimator/building.

Open the official form →Open the agency page →

Fire Department occupancy inspection / permit

San José Fire Department — Fire Prevention

7–30 d

Do this first → Building tenant improvement (TI) permit

Who this applies to

All new commercial occupancies. Mandatory for restaurants (cooking) and any change-of-use.

Fire permit fees vary by occupancy type and hazard class. Restaurant (Type 1 hood, cooking) is most expensive; salon (low hazard) is less.

Open the agency page →

Sign permit (storefront signage)

City of San José — Planning, Building & Code Enforcement

14–60 d

Do this first → Zoning verification (before signing lease)

Who this applies to

Required for any new storefront sign (wall, window, awning, monument, projecting). Replacing or significantly modifying an existing sign also triggers a permit. Commonly overlooked — installing signage without a permit can result in fines and forced removal.

Sign permit fees vary by sign type, size, illumination, and location (historic district, downtown, etc.). Owner to verify current rate via SJ Building Fee Estimator or call (408) 535-3555.

Open the official form →Open the agency page →

if hot cooking

Grease trap / FOG (Fats, Oils, Grease) permit

San José Environmental Services Department

14–30 d

Do this first → Building tenant improvement (TI) permit

Who this applies to

Restaurants with cooking that produces grease (fryers, hood). Most boba shops can skip if drinks-only.

Restaurants discharging FOG must install a grease interceptor and may need a FOG permit. Fee depends on facility size. Boba shops typically NOT required unless preparing fried foods.

Open the agency page →

Phase 3 · Open & operate

San José Business Tax Certificate

City of San José — Finance Department

from $219.601–14 d

Who this applies to

All businesses operating in San José city limits.

Base tax effective July 1, 2025: $219.60 for 1–2 employees. Plus mandatory $4 SB-1186 state fee. Higher employee counts have incremental amounts — owner to confirm the 3+ employee tiers from sanjoseca.gov before publication.

Open the official form →Open the agency page →

if hiring

Workers' compensation insurance

California private insurance carriers / State Compensation Insurance Fund

from $8001–7 d

Do this first → Federal Employer Identification Number (EIN)

Who this applies to

Every California employer with one or more employees — full-time, part-time, or temporary. No exception for family members. Sole-proprietors with no employees are exempt.

Premium varies widely by payroll size and trade — typical $800–$3,000/year for small restaurant or salon with 2–5 employees. State Fund accepts new businesses turned down by private carriers. Required by California Labor Code §3700 from your very first employee — criminal penalties for non-compliance.

Open the official form →Open the agency page →

if hiring

CalSavers retirement registration (or exemption)

CalSavers Retirement Savings Program (State of California)

Free1 d

Do this first → California Employer Payroll Tax Account (EDD)

Who this applies to

All California employers with at least one W-2 employee that don't already offer a qualified retirement plan (401(k), SIMPLE IRA, etc.). If you offer your own plan, file a one-time exemption with CalSavers.

Free for employers — no fees, no employer contributions. Employees contribute via payroll deduction; opt-in is automatic but employees can opt out.

Open the official form →Open the agency page →

Food Safety Manager Certification

ANSI-CFP accredited training provider (e.g. ServSafe, Prometric)

from $1950 d

Who this applies to

All restaurants and food facilities. Boba shops also require it if they prepare any food on site.

ServSafe Manager Exam typically $100–$200 (provider-set). Required by California Health & Safety Code §113947.1: at least one Certified Food Safety Manager per food facility.

Open the official form →Open the agency page →

Santa Clara County Food Facility Operating Permit

Santa Clara County Department of Environmental Health

30–90 d

Do this first → Building tenant improvement (TI) permit · Food Safety Manager Certification

Who this applies to

All restaurants, boba shops, food stores in Santa Clara County. Boba shops are typically permitted as 'Food Facility — Limited Food Prep' depending on equipment.

Plan check + operating permit fees scale with seat count and facility type. Operating Permit Facility Evaluation Fee is $423 (non-refundable) per a related SCC DEH page. Owner to confirm restaurant-specific tiers from the DEH Fee Schedule before publication.

Open the official form →Open the agency page →

if hiring

Food Handler Card (all food-handling staff)

ANSI-CFP accredited provider

$150 d

Who this applies to

Every employee who handles food or food-contact surfaces. Required within 30 days of hire.

$15/person typical. Per California Health & Safety Code §113948: each food handler must obtain a card within 30 days of hire. Valid 3 years.

Open the official form →Open the agency page →

Fees & timelines at a glance

Step	Agency	Processing time	Fee
Federal Employer Identification Number (EIN)	IRS	0 d	Free
California Seller's Permit	CDTFA	0–1 d	Free
Fictitious Business Name (FBN / DBA) filing	SCC Clerk-Recorder	1 d
FBN newspaper publication	Newspaper	30–60 d
San José Business Tax Certificate	City of SJ Finance	1–14 d	from $219.60
Zoning verification (before signing lease)	SJ Planning	0–5 d
Building tenant improvement (TI) permit	SJ Building	30–120 d
Fire Department occupancy inspection / permit	SJ Fire	7–30 d
Sign permit (storefront signage)	SJ PBCE	14–60 d
Food Safety Manager Certification	ANSI-CFP	0 d	from $195
Santa Clara County Food Facility Operating Permit	SCC DEH	30–90 d
Subtotal (default path)			$414.6
+ California Employer Payroll Tax Account (EDD)	EDD	0–7 d	Free
+ Workers' compensation insurance	Insurance carrier	1–7 d	from $800
+ CalSavers retirement registration (or exemption)	CalSavers	1 d	Free
+ Food Handler Card (all food-handling staff)	ANSI-CFP	0 d	$15
+ Grease trap / FOG (Fats, Oils, Grease) permit	SJ ESD	14–30 d

Make this your own to-do list

Open a personal checklist for this business type. Check off what you've done; save a share card to compare notes with a partner.

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Tools other owners use

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Common questions

Where do I start if I've never opened a business before?

Start with two things in parallel: (1) verify the address you want to lease allows your business type — call San José Planning before signing anything; (2) get your federal EIN (free, instant on the IRS site). Both block almost everything else and cost nothing.

Realistically, how long does the whole process take?

Most owners take 3–6 months from signing the lease to opening day. Plan check + tenant improvement (TI) is usually the slowest piece. If your space was previously the same kind of business (a former restaurant becoming a new restaurant), you can sometimes shorten by 1–2 months.

Is it worth paying a 代办 to handle the permits?

代办 typically charge $500–$1,500 to file the paperwork. The forms themselves are mostly free or cost a few dollars. The honest trade-off: paying for time and worry, not for the documents. If English is hard or you have no time, an agent can be worth it — but the public information is right here, free.

Does any agency provide help in 中文?

Some city/county counters have Mandarin or Cantonese-speaking staff (especially in Santa Clara County). Call ahead and ask. IRS and CDTFA also have Chinese-language phone lines. BBC examinations are available in multiple languages including Chinese.

Is a boba shop classified as a restaurant?

Boba shops are usually permitted as 'Food Facility — Limited Food Preparation' by Santa Clara County DEH. The category is lighter (lower fee, less plan check work) than a full restaurant with cooking. If you plan to fry, grill, or assemble hot food, you may be bumped to a full food-facility category — confirm with DEH during plan check.

I want to serve beer and wine — what does that add?

A California ABC Type 41 (On-Sale Beer & Wine — Eating Place) license: $1,135 application + $565 annual renewal. Plan for 2–4 months including a 30-day public posting period required by law. You must operate as a 'bona fide eating place' — food sales must outweigh alcohol sales.

What's the difference between Food Handler Card and Food Safety Manager?

Food Handler ($15, valid 3 years) — every employee who touches food needs one within 30 days of hire. Food Safety Manager ($100–200, valid 5 years) — at least one person per facility, more in-depth training. Many owners get the Manager cert plus Handler cards for all staff. PrepPass has free practice for both.

Do I need a grease trap?

If you cook with grease (fryer, grill, hood), yes — San José Environmental Services requires a grease interceptor. Boba shops usually don't unless they prepare hot food. The grease trap is part of TI plan check, not a separate application.