Kit,
That was the cities primary concern in my area a well. When I made my posts above, for the sake of brevity, I jammed everything together like it was a single event.
Actually, it started with getting my Federal Tax ID -- no trouble there.
Then I had to go downtown and apply for a Certificate of Occupancy. I never completely understood what that one was about. I guess it was proof that I actually live in the city where I planned to start my business? It was also here that I was asked what type of business I was starting. That's where I used the *soft* words, which may not have even been necessary. No problem there either.
The next step was to go get the license. I presented the paperwork for the Certificate of Occupancy to the clerk and was asked what the name of the business was. I told her it was Primos Knives and waited for a funny look. No problem.
Two days later I got a call from a city rep. He was in his car on a cell phone and was on his way to my address. He said that he had to check out my office space and parking situation. That's where I mentioned that nobody would be parking and shopping here. I told him that all my business was run through the Internet, by phones, shows, etc. He said, in that case he wouldn't even have to come by. He drove back to his office and sent me my license.
---------------
Redneckidokie,
Even though the whole thing was time consuming, I didn't get any hassels at all. It wasn't really about getting permission to make sharpened implements. The city has to make sure that the proposed business is in an area zoned for that type of thing.
In other words, if you live in a quiet subdivision with neighbors all around you, you can't just cover your front yard with cement, put up a neon sign, and turn your house into a strip joint, or start up a place to design and test jet engines, etc.