Licensed businesses

If a business requires a business license, you must apply for one from the District Commissioner of Greater Reykjavík, in addition to an operating permit from Reykjavík Public Health.

Both the Reykjavík Public Health operating permit and the District Commissioner's business license must be displayed prominently on the premises.

Change of ownership

New applications for both a business license and an operating permit are required upon ownership changes or significant modifications to the business operation or premises.

It is prohibited to begin operations that require a business license without having the license in advance.

Applying for a business license

The licensing department of the District Commissioner sends requests for official statements to the local government (Reykjavík City Hall), the Occupational Safety and Health Authority, and the police. The local government seeks official statements from the following entities, then submits a collective official statement to the District Commissioner regarding the business license application:

  • The building commissioner confirms that the operation complies with building permits, planning conditions, and that a final inspection of the premises has been conducted.
  • The planning officer confirms that the operation's service hours and location comply with the municipality's rules and planning guidelines.
  • Reykjavík Public Health confirms that the operation complies with health and pollution prevention laws, food laws, and, when applicable, the Public Health Committee's assessment of community impact, including noise levels.
  • The Capital Region Fire Service confirms that fire safety requirements are met, according to the fire department's evaluation.

Which businesses need a business license?

Lodging establishments Restaurants
Hotel Restaurants in categories II or III
Large guesthouse Entertainment venues in categories II or III
Smaller guesthouse Fast casual restaurants and takeout outlets in categories II or III
Lodge Catering services and takeout outlets in categories II or III
Mountain lodges Cafés in categories II or III
Dwellings Pubs in categories II or III
Holiday homes Event halls in categories II or III

What equipment do I need?

The premises and equipment of businesses requiring a license are based on the type of activity to be conducted in the particular premises. The premises, equipment, and food safety systems (internal control) must ensure the safety of food and customers/guests at all times, even during peak periods. Refer to the Guidelines for Good Practices in Food Businesses and the harmonized operating permit conditions of the Environmental Agency and the Municipal Public Health Authority.

Attention is drawn to Regulation No. 1277/2016 on restaurants, accommodations, and entertainment, specifying the requirements for businesses covered by the Regulation and Act No. 85/2007. Reykjavík Public Health does not supervise the provisions of the Regulation.

Food

The premises, equipment, and food safety systems (internal control) must ensure the safety of food and customers/guests at all times, even during peak periods.

Fast casual restaurants and takeout outlets

In everyday language, both fast casual restaurants and takeout outlets are collectively referred to as fast food places. In a fast casual restaurant, there's a requirement for guests to have access to a special restroom, which must accommodate the needs of disabled people. A takeout outlet is a place where food sales occur primarily for off-premises consumption. There is no requirement for a special restroom for customers.

Restaurants and eateries that do not serve alcohol (fall under category I, according to Act No. 85/2007 and Regulation No. 1277/2016) do not need an operating permit.

Inquiries and/or suggestions

Further information is provided by the license department of the District Commissioner of Greater Reykjavík.

  • Further definitions of the classification and types of accommodation and dining places can be found in Articles 3, 4, 17, and 18 of Regulation No. 1277/2016 on Restaurants, Accommodations, and Entertainment.
  • The District Commissioner of Greater Reykjavík's licensing department
  • Hlíðasmári 1, 201 Kópavogur
  • Phone 458 2000
  • leyfi@syslumenn.is

You can find the standardized operating conditions set by the Municipal Public Health Authority and the Environment Agency for guesthouses, lodges, hotels, and community centers on the Environment Agency's website.