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Bill to cut first-year state business license fee for small businesses (<50 employees) draws broad support
Summary
Senate Bill 240 was presented May 26, 2025 to reduce the state business licensing fee for entities with fewer than 50 employees in their first year. Sponsors and business groups said the change will lower entry costs for startups; questions focused on drafting and scope.
Carson City — The Assembly Government Affairs Committee heard Senate Bill 240 on May 26, 2025, a measure sponsored by Sen. Julie Pizzina that would reduce the state business license issuance fee for entities with fewer than 50 full- or part-time employees for their first year of operation.
"The intent of Senate Bill 240 is to help small businesses succeed in Nevada," Sen. Julie Pizzina said at the hearing. She introduced the bill as targeted relief for entrepreneurs, saying high licensing fees are a barrier to startups.
Paul Moradkin of the Vegas Chamber said the measure is designed to reduce upfront costs and help businesses invest capital back into operations. Supporters told the committee the reduction applies only to state business licensing and does not alter local (county or city) licensing fees.
Assemblymember DeLong asked where the bill text limits the reduction to the first year; sponsors replied that the drafting places the first-year relief in a separate section and had been checked with the Legislative Counsel Bureau to avoid unintended multi-year effects. The sponsor cited Bureau of Labor Statistics data indicating roughly 4,793 Nevada establishments with fewer than 50 employees as context for the measure.
Support came from business groups including NFIB Nevada, the Reno Sparks Chamber of Commerce, the Las Vegas Global Economic Alliance, the Nevada Franchise Auto Dealers Association, the Henderson Chamber of Commerce and the Latin Chamber of Commerce; witnesses said the policy would encourage licensing compliance and reduce administrative friction for startups.
Supporters and the sponsor said the state-level reduction is limited to the first year and applies only to entities that meet the employee-size threshold; they also said the bill excludes corporations and does not create a fiscal impact for local governments.
The committee did not take a vote on SB 240 during the hearing.
