Maryland Business License: Who Needs One & How to Apply (2025)

What Is a Business License in Maryland?

A business license is a permit issued by a local, state, or federal body in order to allow businesses to perform a specific business activity and/or operate legitimately.

So, if there isn’t a “general business license” in Maryland, what exactly is there?

Well, Maryland — like the vast majority of states — imposes different requirements depending on where you’re located and what you actually do.

For example:

• A restaurant in Baltimore will need a Trader’s License from the Baltimore City Circuit Court Clerk and health permits from the Baltimore City Health Department, plus a Sales and Use Tax License from the Maryland Comptroller.
  
• A barbershop in Rockville will need professional cosmetology licenses from the Maryland Department of Labor, Division of Occupational and Professional Licensing, a Trader’s License from the Montgomery County Circuit Court Clerk, and must check with the Montgomery County Department of Permitting Services for any local zoning requirements.
  
• An HVAC contractor in Frederick will need a Master HVACR License from the Maryland Board of Heating, Ventilation, Air Conditioning and Refrigeration Contractors and a Construction License from the Frederick County Circuit Court Clerk.
  
• A home-based accounting business in Annapolis will need professional licensing if offering CPA services, and should verify home occupation permit requirements with the Anne Arundel County Circuit Court Clerk’s Office for zoning compliance.

Do I Need a Maryland Business License? 

Well, the answer to this will ultimately depend on your business’s situation. You can have a look at our table below in order to get a general idea:

Maryland Business Licensing at a Glance

Jurisdiction	Business Licenses	Who Needs It & Where to Apply
Local	Health Permits, Zoning Permits, Occupancy Certificates, Industry-Specific Permits, etc.	Varies by location. For comprehensive local government information, visit the Maryland State Archives Local Government portal.
State	Retailer Certificate	Businesses selling tangible personal property, digital property, or certain taxable services. Apply through the Comptroller of Maryland via Maryland Business Express.
	Professional Licenses	Required for regulated professions (e.g., healthcare, contractors, real estate, etc.) Apply through the Maryland Department of Labor, Division of Occupational and Professional Licensing.
	Industry-Specific State Licenses	Businesses in regulated industries (e.g., food establishments, liquor, childcare, environmental permits). Most business licenses are obtained through your County Clerk of Circuit Court. Specialized licenses may require applications to specific state agencies.
Federal	Industry-Specific Licenses	Businesses involved in federally regulated activities such as agriculture, aviation, firearms, alcohol, broadcasting, or wildlife. Apply through the relevant federal agency (e.g., USDA, FAA, ATF, FCC, FWS)

*While this table is meant to give you a general idea, it’s by no means exhaustive. For all your licensing needs, we suggest either going with a professional licensing service or consulting with a business attorney.

How to Get a Business License in Maryland

The process of obtaining a business license in Maryland will depend on the permit in question, but generally involves completing the following steps:

1. Form a Business Structure & Obtain an Employer Identification Number (EIN)

We recommend formalizing your business before acquiring a business license in order to avoid potentially having to repeat this process again later down the line. 

This also gives other benefits depending on the business model, such as:

• Personal liability protection
• Improved legitimacy 
• Larger access to loans and corporate finance

We generally recommend almost all small business owners to form a limited liability company (LLC). This offers personal liability protection, is extremely affordable, and offers a ton of flexibility when it comes to how it can be taxed and managed. 

Note: You should obtain an EIN after forming your LLC. See our How to Get an EIN overview for more information. 

2. Apply for the Right Business License in Maryland

This step will depend on the business license in question.

Maryland Local Business Licenses

Many Maryland cities and counties require local business licenses or permits to be obtained. This can be in addition to the common state-wide licenses talked about above.

Here are some common local permits you may need:

• General Business License: Most Maryland businesses need a Trader’s License issued by the Circuit Court Clerk in the county where they operate. This is Maryland’s equivalent to a general business license and is required for most retail businesses selling goods (e.g., if your business is based in Baltimore, you would apply through the Baltimore City Circuit Court Clerk).
• Industry Permits: This includes health permits required for restaurants, food trucks, and businesses handling food products. These are typically issued by local health departments (e.g., if your business is based in Frederick, you would obtain food service permits from the Frederick County Health Department).
• Zoning Permits: You may need this to ensure that your business’s location is zoned appropriately and complies with local laws (e.g., if you were based in Montgomery County, you would check with the Montgomery County Department of Permitting Services).
• Fire Department Permits: These can be necessary for businesses with public access, including Use and Occupancy permits for commercial buildings. Fire safety inspections are typically required annually for most commercial occupancies (e.g., if your business is in Baltimore, you would work with the Baltimore City Fire Department).
• Certificate of Occupancy: Required for most businesses before they can legally occupy a building or space. This verifies that the structure meets building codes and is safe for the intended use (e.g., if your business is in Anne Arundel County, you would apply through the Anne Arundel County Circuit Court).
• Home-Based Business Permits: Required for businesses operating out of a residence. Home occupation permits ensure compliance with local zoning laws and may have restrictions on the type and scale of business activities (e.g., if operating a home business in Prince George’s County, you would check requirements with the Prince George’s County Department of Permitting, Inspections and Enforcement).

To find your local county or city’s official contact information and licensing requirements, you can visit the Maryland State Archives Local Government portal or the Maryland Municipal League for municipal information.

Maryland State Business Licenses

Below we’ve included the most common business licenses that are required on a state level. 

Maryland Seller’s Permit

You can register for a Maryland sales tax permit online or by mail.

Apply Online With the Comptroller of Maryland

Apply Online

– OR –

Apply by Mail

Download Form

Fee: $0

Mailing Address:
Central Registration
Comptroller of Maryland
Revenue Administration Division
110 Carroll St.
Annapolis, MD 21411-0001

Maryland Professional Licenses

If you’re interested in a professional license, you’ll need to head over to the relevant state commission, as this is not handled on a local level. We’ve provided the licensing boards of a few of the most common professions below to get you started:

• Maryland Department of Labor, Division of Occupational and Professional Licensing: Oversees 21 licensing boards, commissions and programs regulating over 255,000 individuals and businesses across 25 professions. This includes contractors, electricians, plumbers, HVACR technicians, real estate agents, appraisers, architects, landscape architects, locksmiths, and many others.
• Maryland Real Estate Commission: Regulates real estate agents, brokers, and salespersons. Handles examination, licensing, and regulatory activities for real estate professionals in Maryland.
• Maryland Home Improvement Commission: Licenses and regulates home improvement contractors and salespersons. Required for contractors performing alteration, remodeling, repair or replacement work on residential properties.
• Maryland Board of Public Accountancy: Establishes educational and professional standards for Certified Public Accountants (CPAs) providing financial services in Maryland. Handles CPA examination, licensing, and continuing education requirements.
• Maryland State Board of Law Examiners: Coordinates bar admission applications, administers the bar examination, and investigates character and fitness of persons seeking to practice law in Maryland state courts.
• Maryland Board of Physicians: Licenses physicians, physician assistants, respiratory care practitioners, and other medical professionals. Responsible for medical licensing, examinations, and regulatory oversight.
• Maryland Board of Nursing: Regulates the practice of nursing and issues licenses to qualified registered nurses, licensed practical nurses, and advanced practice registered nurses.

For more information on how to go about getting licensed, you can have a look at StateRequirement’s in-depth licensing guides. 

Industry-Specific State Licenses

Some Maryland businesses require additional licenses based on the specific industry they operate in.

Here are some common examples of industry-specific state licenses in Maryland:

• Alcoholic Beverage License: Required for businesses that manufacture, distribute, or sell alcoholic beverages. Regulated by the Maryland Alcohol, Tobacco, and Cannabis Commission (ATCC). Maryland offers various license types including Class A (off-premises consumption), Class B (on-premises consumption), and specialty licenses for breweries, wineries, and distilleries.
• Food Service Facility License: Required for restaurants, food trucks, and businesses that prepare, serve, or sell food to the public. Regulated by local health departments under Maryland Department of Health oversight. Includes requirements for certified food service managers and regular health inspections.
• Motor Vehicle Dealer License: Required for businesses selling, displaying, or offering motor vehicles for sale. Regulated by the Maryland Motor Vehicle Administration. Different license types are available for new car dealers, used car dealers, and specialty vehicle dealers.
• Child Care License: Required for child care centers, family child care homes, and providers caring for children. Regulated by the Maryland State Department of Early Childhood. Includes background checks, health and safety requirements, and staff training standards.
• Cannabis Business License: Required for businesses cultivating, processing, dispensing, or transporting cannabis products. Regulated by the Maryland Cannabis Administration. Maryland offers various license types for medical and adult-use cannabis operations.
• Food Processing License: Required for businesses that process, manufacture, or package food products for wholesale or retail sale. Regulated by the Maryland Department of Health Office of Food Protection. Includes requirements for HACCP plans and facility inspections.

Maryland Environmental Permits

If your business’s industry will mean that it could negatively impact the environment, there’s a good chance you’ll need some sort of license or permit from the Maryland Department of the Environment.

Examples of industries regulated here include:

• Underground Storage Tank Registration
• Air Quality Permits
• Surface Water Discharge Permits (NPDES)
• Stormwater Permits
• Hazardous Waste Generator Registration
• Aboveground Storage Tank Registration
• Wetlands and Waterways Permits
• Water Appropriation Permits
• Groundwater Discharge Permits
• Solid Waste Facility Permits
• Waste Oil Recycling Permits
• Asbestos Abatement Permits

Federal Business Licenses for Maryland LLCs

If your business is in a federally regulated industry (which is uncommon), it’ll need to acquire the appropriate business license from the right body before starting to operate. 

A full list of industries regulated at a federal level can be found below:

• Agriculture: Overseen by the U.S. Department of Agriculture
• Alcoholic Beverages: Overseen by the Alcohol and Tobacco Tax and Trade Bureau and the Local Alcohol Beverage Control Board
• Aviation: Overseen by the Federal Aviation Administration.
• Firearms, Ammunitions, and Explosives: Overseen by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
• Fish and Wildlife: Overseen by the U.S. Fish and Wildlife Service.
• Commercial Fishing: Overseen by the National Oceanic and Atmospheric Administration Fisheries Service.
• Maritime Transportation: Overseen by the Federal Maritime Commission.
• Mining and Drilling: Overseen by the Bureau of Safety and Environmental Enforcement.
• Radio and Television Broadcasting: Overseen by the Federal Communications Commission.
• Transportation and Logistics: Overseen by the U.S. Department of Transportation

Maryland Business License Renewal

Depending on your business license, you may need to renew it periodically — usually within one or two years. 

You do not need to renew your Maryland seller’s permit. 

Several of the local permits will need to be renewed annually; this includes health department permits, signage permits, and fire department permits, which generally all need to be renewed annually.

Having said that, this will depend on both your location and the license in question.

Maryland Business License FAQs

Quick Links

• Maryland Comptroller – Sales and Use Tax
• Maryland Business Express
• Maryland Department of Labor – Professional Licensing
• Maryland Municipal League
• Maryland Association of Counties