Last updated: September 2026. Tourism is not one regulated activity, so there is no single tourism licence. What you need depends entirely on what you actually do: accommodation, food, alcohol, transporting guests and guiding are each authorised separately, by different bodies, on different timelines. Most people who get stuck here assumed one application covered everything.
Work out which of the five below apply to you, then apply for those. Star grading, which everyone asks about first, is voluntary and comes last.
Accommodation: zoning first, always
A guesthouse, bed and breakfast, lodge or self-catering unit needs the property zoned or consented for that use. A house in a residential area generally requires consent use or a departure from the municipality, and the number of rooms you may let is often capped by that approval.
Confirm it in writing before buying or leasing anything. This is the single most expensive mistake in tourism, because a property bought to run as a guesthouse that cannot be approved for it is simply a house you overpaid for.
You will also need building and fire compliance, and where you serve food, the requirements below.
Food: the Certificate of Acceptability
Serving any food to guests, including breakfast, means handling food for sale. Premises handling food for sale require a Certificate of Acceptability from your municipality’s environmental health department, and in most municipalities the certificate itself is free.
A business licence under the Businesses Act is usually required as well for selling or supplying prepared foodstuffs. Our guide to food licence applications covers what inspectors check.
Alcohol: a separate application to your province
Serving or selling alcohol requires a liquor licence from your provincial liquor authority, not a national body. It is a separate process with advertising, an objection window and annual renewal, and it takes months rather than weeks.
Start it early. A lodge that opens without it either trades unlawfully or turns away the revenue that usually makes the difference between a viable season and a poor one. Our guide to liquor licence requirements sets out the process.
Transport and guiding: the two most commonly missed
If you move guests in your own vehicle for reward, that is regulated passenger transport and requires an operating licence. Tourist transport is applied for through the national regulator rather than your municipality, and vehicles must meet roadworthy and passenger liability requirements. Carrying guests on a hotel or lodge shuttle without one is unlawful, and it voids your insurance at exactly the moment you need it.
If you or your staff guide tourists, guides must be registered tourist guides with the provincial registrar, holding the relevant qualification and a valid badge. Using an unregistered guide is an offence, and tour operators buying from you will check.
The requirements for both, and the departments administering them, are set out by the Department of Tourism.
Star grading is voluntary, and worth it for some
Grading is assessed by the Tourism Grading Council of South Africa against category-specific criteria, with a fee based on the size of the establishment, renewed annually.
It is not a licence and you can trade without it. It earns its cost when you sell through channels that require or favour it: government and corporate travel bookings, inbound tour operators, and international booking platforms where the star rating drives placement. If your guests are walk-ins and direct bookings, the money may be better spent elsewhere.
Support and subsidised grading schemes are periodically available for smaller establishments and for black-owned businesses, so ask about current assistance before assuming the fee is a barrier.
The commercial realities nobody mentions
Seasonality. Most tourism businesses earn the year in a few months. Budget across twelve, not across the good ones.
Online reviews are your marketing. Ratings on booking platforms determine bookings more than any advertising you buy. Respond to every review, particularly poor ones.
Commission. Booking platforms take a significant cut. Build it into your rate, and give guests a reason to book directly next time.
Insurance. Public liability is essential, and guest transport needs specific cover. Confirm your policy actually covers what you do rather than assuming.
South African Tourism runs marketing platforms and trade programmes that small operators can list on, and getting onto them costs little beyond the effort.
Frequently asked questions
Is there a single tourism licence in South Africa?
No. Accommodation, food, alcohol, passenger transport and guiding are authorised separately by different bodies, and you apply only for the ones your activity requires.
What should I do first?
Confirm zoning or consent use for the property in writing, before buying or leasing. Everything else can be fixed; the wrong property usually cannot.
Do I need a licence to serve breakfast?
Yes. Serving any food to paying guests requires a Certificate of Acceptability for the premises, and usually a business licence as well.
Do I need a permit to drive guests myself?
Yes. Transporting guests for reward requires an operating licence, and driving without one is unlawful and will void your insurance.
Is star grading compulsory?
No, it is voluntary. It pays for itself where you sell through government, corporate or inbound operator channels that require or favour a grading.
Do guides need to be registered?
Yes. Tourist guides must be registered with the provincial registrar with a valid qualification and badge, and using an unregistered guide is an offence.
Further reading
Originally published in June 2018. Updated September 2026 to set out which authorisations a tourism business actually needs and in what order.
