MD Business License Basics
If you have a business in Maryland you'll need a license to operate. There are various types of Maryland business licenses and permits that are required by various government entities at federal, state and local levels. An operating license is the basic type of business license that most all businesses will be required to have.
Each level of government has specific regulations and requirements that need to be met before a business can get a license. If you don’t comprehend the licensing rules in Maryland and follow them it could lead to expensive fines and putting your business in jeopardy.
Types of Business Licenses in Maryland
Federal Business Licenses – The U.S. government has a number of agencies that regulate and supervise business activities. If your business takes part in any one of these federally regulated activities you will need to get a federal business license.
Activities that will be required to get a federal business license include:
- Alcohol manufacturing, importing and sales
- Agriculture
- Firearm dealing, importing and manufacturing
- Ammunition and Explosives dealing, importing and manufacturing
- Aviation
- Wildlife related activity
- Mining
- Drilling
- Commercial fishing
- TV and radio broadcasting
- Trucking
State Business Licenses – Many Maryland businesses must obtain some type of state business license to be able to legally operate. At the minimum a business will have to get a professional or occupational license. Maryland business licenses are typically used for tax purposes.
Local Business Licenses – Local Maryland governments and municipalities also grant business licenses. All businesses will be required to acquire some type of local business license in order to operate in Maryland.
Permits – Permits are more specific to a certain type of business within an industry. Permits have a wide selection of purposes from parking to product sales.
How to Get a Maryland Business License
The steps you will have to take to obtain a business license in Maryland will vary depending on what sort of business license you need. It doesn't matter what type of license you are trying to get you will need to fill out application form(s) and supply details about your business.
If you are starting a business or expanding your business you'll have numerous forms to fill out. Be ready to supply your Employer Identification Number (EIN).
The SBA (Small Business Administration) has great online tools for helping business owners determine exactly what type of Maryland business licenses they should get, links to websites, applications and instructions. If you’re just starting a business and need assistance with licensing, the SBA is the perfect place to get more info.
Maintaining Your Maryland Business License
Once you get your Maryland business licenses and permits you must still maintain them every year to keep them current. The guidelines below are recommended if you wish to ensure your business license is in good standing.
- Make copies of your business licenses and permits.
- Monitor when licenses and permits have to be renewed.
- Follow the regulations for displaying your business license.
- If you want to change or expand your business be sure to verify whether you need additional permits or business licenses.