(1) The department shall issue a license to a barbershop which fulfills all of the following requirements:
  (a) Has made, through its owner, application to the department. The application shall include a description of the premises for which licensure is sought.
  (b) Has satisfactorily passed an inspection to determine that the barbershop has met sanitation and establishment standards prescribed in rules promulgated under this article.
  (2) A barbershop shall be completely partitioned from a dwelling and shall not be occupied for lodging or residential purposes.
  (3) The transfer of ownership or location of a barbershop shall automatically revoke its license. A new license shall not be granted to a new owner or at a new location unless the requirements of subsection (1) have been fulfilled.
  (4) The licenses of the barbershop and all barbers working in the barbershop shall be displayed in a prominent place visible to the public at all times. The license of an individual barber may be posted at the barber’s work station.