Importing and exporting goods in the United States requires proper licenses and permits. This comprehensive guide will walk you through the key steps for applying online for an import export license with various US government agencies.
We’ll cover the essential information you need to know, including:
- Types of import export licenses
- Eligibility requirements
- Application process and documents
- Tips for new importers and exporters
Follow along and you’ll be prepared to get your business importing or exporting legally in no time!
Types of Import Export Licenses
There are a few main license types you may need, depending on your goods and activities.
Import Licenses
- Basic Import License: Required for most companies importing goods worth over $2,500 into the US. Easy to obtain.
- End-Use Based Licenses: For imports of sensitive items requiring verification of intended use/end user. Issues by Dept. of Commerce/Dept. of State/other agencies.
Export Licenses
- General Export License: For low-risk exports usable by most exporters.
- Special Export License: For sensitive/advanced exports with restrictions. Requires application and approval.
Eligibility for an Import Export License
To qualify for a US import or export license, you must generally meet criteria such as:
- Having a registered business in the United States
- Opening the business activity to US government verification
- Maintaining export management and compliance systems
- No recent customs violations on record
- No involvement in activities contrary to US national security/interests
Specific additional requirements apply depending on the license type sought.
How to Apply for an Import Export License
With the background above in mind, let’s run through the key steps to apply online for standard import and export licenses:
Import License Application
- Obtain an Importer of Record (IOR) Number Apply for and receive an IOR number, which identifies importers for clearing customs.
- Acquire a Dun & Bradstreet (DUNS) Number Register your business to get a unique 9-digit DUNS number.
- Register with the Automated Commercial Environment (ACE)As the CBP’s new import/export processing system, ACE registration is compulsory.
- Sign up for an ACE Portal Account This allows you to access ACE to manage new shipments and submit import license applications.
- File for Basic Importer Number (BIN) via ACE Portal Electronically submit a short online application for your BIN via the ACE portal. Check status until approved.
- Submit Import License Application Form Access the fillable PDF application for the basic import license and submit it via ACE with supporting documents.
- Complete CBP New Importer Course Take this CBP course online to improve compliance. Upload certificate of completion with application.
- Get Import License ApprovalIf meeting all criteria, you’ll typically receive approval within 5 business days.
You can now legally import goods into the US up to your approved license threshold!
Export License Application
- Apply for an Employer Identification Number (EIN)An EIN serves as a business tax ID you’ll need for exporting.
- Check if a General Export License Applies Review Commerce/State Department General Export Licenses lists to see if one fits your export needs without a special application.
- Understand Export Control Classification Numbers (ECCN) Identify the ECCN categories and codes for all goods you plan on exporting.
- Register with the Automated Export System (AES) Mandatory for most export shipments. Allows you to file Electronic Export Information (EEI).
- Determine if a Special Export License is Required If no General Export License applies and your ECCNs indicate license requirements, you’ll need to apply for a Special Export License.
- Prepare Export License Application for Submission Follow strict documentary guidelines for the inter-agency export license form to address all compliance aspects.
- Submit Export License ApplicationFile the completed application with AES record number via the SNAP-R online system alongside all supporting documents.
- Plan for Licensing Follow-UpExport licenses undergo thorough reviews, often requiring applicant follow-up to provide responses/modifications throughout the evaluation period to address concerns.
- Receive Export License ApprovalWait for application approval after responding to all requests. Strict compliance required once exporting.
Carefully following export regulations can require significant diligence. But once approved, you can legally export a wide range of goods from the US.
Tips for New Importers and Exporters
If taking on importing and exporting through proper licensing for the first time, keep these helpful suggestions in mind:
- Consult with an import/export specialist to ensure understanding of all technical steps and latest regulatory updates.
- Double check HS codes for each product when classifying items to avoid penalties.
- Carefully verify foreign buyers and end users to reduce export control risks.
- Institute an export compliance program (ECP) with internal controls through every order processing stage.
- Consider an import bond to improve customs entry liquidity.
- Study up on Incoterms to structure optimal shipment and liability terms.
- Watch out for deemed exports via transfers of controlled data/tech to foreign nationals even while still within the US.
- Keep explicitly organized records to streamline license renewal and demonstrate compliance at all times.
Staying up-to-date on variable import export protocols while focusing on attention to detail will help new entrants avoid major pitfalls.
Import Export License Application Document Checklist
Throughout the import and export license application process outlined above, expect to prepare and submit the following core documents:
Import Application Documents | Export Application Documents | Shared Documents |
---|---|---|
Basic Importer Number (BIN) Request | Exporter Statement | Business Credit Report |
Importer of Record (IOR) Confirmation | Purchase Orders from Foreign Buyer | Business Registration Certificate |
ACE Portal Account Registration | Export Item Classification | Previous Import/Export Licenses |
Online Importer Bond | Commodity Jurisdiction Requests | Company Operational & Financial Records |
CBP New Importer Course Certificate | End-Use Statement | Business Continuity Documents |
Import Compliance Program Manual | Export Technology Control Plan | Facilities, Packaging, and Transport Documentation |
Repair/Return Authorization Certificates | International Traffic in Arms Regulations (ITAR) Registration |
Have this comprehensive documentation assembled to smoothly finalize your application and have your import export license successfully issued on approval!
Conclusion
Handling logistics for goods in international trade requires core import and export licenses. By applying online while meeting eligibility criteria and going through the step-by-step application and submission processes, new importers and exporters can have their operations fully compliant and cleared for business!
The technical particulars around import export licenses can make for dense reading. But breaking down the terminology and essential protocols for securing US authorization makes the path forward accessible.
Hopefully this guide has served as a straightforward resource to equip you with everything required launch your own importing or exporting activities confidently and legally! Our team would be happy to offer any specific advice as you establish your international trade presence.
Let us know in the comments if you have any other import/export compliance questions!