Governments require licenses and permits for two basic reasons.
One is to raise money; the whole point behind some licenses or
permits is to levy a tax on doing business. In a way, these are the
easiest to comply with - you pay your money and get your license.
The other basic purpose behind licenses and permits is to protect
public health and safety and, increasingly, aesthetics. A sign
ordinance that dictates the size and placement of a business sign or
an environmental regulation that prohibits you from releasing
sulphur dioxide into the atmosphere are two of many possible
examples. Complying with regulatory ordinances can often be far more
difficult than those designed simply to raise money.