Many businesses must be licensed through the office of the Clerk of Circuit Court. Whether a business must obtain a license from the Clerk depends upon the nature of the business, and can sometimes be a quite complex question. If you are considering opening a business in Cecil County, or have questions about the licensing requirements for your existing business, please contact the Circuit Court Clerk's Office at (410) 996-5380 to determine what, if any, license you need to obtain from us. However, we cannot provide any legal advice or be responsible for determining the type of license you should purchase. The hours to obtain a business license from the Clerk of Court is 8:30 a.m. to 4:30 p.m. Monday through Friday.
Licenses available are:
- Construction (New Homes and Commercial Buildings only)
- Plumber & Gas Fitter
- Vending Machines
- Cigarette and Special Retail Cigarette
- Cigarette Vending Machine
- Cleaning, Dying, Pressing & Laundry
- Storage Warehouse
- Outdoor Music Festival
- Junk Dealer
- Trading Stamp
- Wholesale Farm Machinery
- Out-of-State Contractor
If you have more than one business location, you are considered a chain store.
The license year runs from May 1st through the following April 30th.
Persons Required to Obtain a Traders License
A person or business organization other than a grower, maker or manufacturer may not offer for sale, sell or otherwise dispose of any goods within Maryland, without first obtaining a license from the Clerk of the Circuit Court.
A private individual may conduct a public sale of personal effects on his or her own property without a license, provided that no more than one sale is conducted for a period not to exceed 14 consecutive days in any one calendar year.
An exhibitor who displays and sells goods at a show is not required to obtain any license if the show is promoted by:
- a church
- any government agency or unit
- an amateur radio organization
- an antique vehicle, machine and equipment organization
- a volunteer fire department or rescue squad
- a model train collectors ’ association
- or other non-profit organization
Any individual or business seeking a traders license must obtain a Sales and Use Tax Number from the Comptroller of Maryland prior to applying for the license. See information regarding same below in the section entitled “Before Applying for a Business License”.
Traders license fee is based on the wholesale value of your retail inventory. Please refer to the following chart for the fees. All licenses include a $2.00 issuing fee for each type of license.
Traders License Fees - All Counties Excluding Baltimore City
|0 - 1,000||$15|
|1,001 - 1,500||$18|
|1,501 - 2,500||$20|
|2,501 - 4,000||$25|
|4,001 - 6,000||$30|
|6,001 - 8,000||$40|
|8,001 - 10,000||$50|
|10,001 - 15,000||$65|
|15,001 - 20,000||$80|
|20,001 - 30,000||$100|
|30,001 - 40,000||$125|
|40,001 - 50,000||$150|
|50,001 - 75,000||$200|
|75,001 - 100,000||$250|
|100,001 - 150,000||$300|
|150,001 - 200,000||$350|
|200,001 - 300,000||$400|
|300,001 - 400,000||$500|
|400,001 - 500,000||$600|
|500,001 - 750,000||$750|
|750,001 and Over||$800|
Persons Required to Obtain a Construction License
Any person or business organization must obtain a construction license from the Clerk of the Circuit Court on an annual basis if it does work on new or commercial properties only. Any work performed on existing or residential property is considered home improvement, and requires licensing with the Maryland Home Improvement Commission. A contractor or subcontractor who holds a license under the Maryland Home Improvement Law is NOT required to hold a construction license issued by the Clerk of the Circuit Court. If an applicant uses a county construction license for any home improvement work, they may be subject to fines up to $5,000 and/or two (2) years imprisonment.
Out-of-State Contractor License
If you are a contractor located outside the State of Maryland and are performing construction work in Cecil County, Maryland, you must obtain an out-of-state contractor license. In order to obtain this license, you must first register your business with the Maryland State Department of Assessments and Taxation. You may access their website using the SDAT link below under “Before Applying for a Business License” or reach their office at (410) 767-1340 for additional information on the registration process. Once you have obtained your SDAT number, you can email the licensing department at email@example.com and we will send you a return email with the additional information necessary to process your license, to include the complete address of the job location in Cecil County. Please note that the entire application and license process can take place via email. Please further note that if your company performs an additional job in Cecil County and the gross amount of the contract for said job exceeds $1,000, you would need to obtain another out-of-state contractor license for that job as well (see Annotated Code of Maryland, §17-602(b)(2).
Before Applying for a Business LicenseAny new business in Cecil County should complete the following steps before its license is issued:
- If sole proprietor, apply for a “L” number from the local Department of Assessments and Taxation located on the 2nd Floor of the Cecil County District Court Building located a 170 East Main Street, Elkton, Maryland. If a sole proprietor, you do not require a Federal or Employer Identification Number from the IRS – you can use your Social Security Number.
- Register your business and establish the legal entity with the Maryland Department of Assessments & Taxation; phone: (410) 767-1340).
Download instructions and forms required for creating or starting a new business in Maryland (Department of Assessments & Taxation).
- Obtain a Federal Employer Identification Number from the IRS (www.irs.gov/pub/irs-pdf/fss4.pdf).
- File your combined registration form with the Comptroller of the Treasury to establish your tax accounts. Download the filing form (Maryland Comptroller’s Office).
- Open a Sales & Use Tax Account with the Comptroller's Office. Call 410-260-7980.
- Register the trade name of your business with the Maryland Department of Assessments & Taxation.
Download the instructions for trade name application and the form (Maryland Department of Assessments & Taxation).
- Learn about state and county licenses through the Business License Information System (http://choosemaryland.org/blis/).
For current applicable fees call the License Department for assistance. The number is 240-777-9460.
Please note: the Clerk’s Office can NOT put a business name on a business license until such time as that name has been registered in some fashion (Corp, Inc., LLC, Trade name) with the State Department of Assessments and Taxation.
There are three ways to obtain a business license from the Clerk of the Circuit Court:
- Apply online
- Apply by mail
- Apply in person
You can apply for a business license through Maryland Business Licenses Online. The site also allows you to search the licensing system of the Maryland Judiciary for issued licenses.
Apply by Mail or Fax
Download the Business License Worksheet form. The form is a fillable PDF which allows you to type directly into the document. You must have Adobe Reader version 5.1 or higher to use the fillable function. To download a free copy or upgrade to a newer version, visit the Adobe web site. Adobe Reader does not allow you to save the information you input into a form. Print an extra copy of the completed application form before exiting.
Mail the completed form to Clerk of the Circuit Court, Attn: Business License Department, 129 East Main Street, Elkton, Maryland 21921, or fax to the Business License Department at 1-800-569-0648.
Apply in Person
The business license can be obtained at the Business License office, 129 East Main Street, Room 108, Elkton, Maryland, between the hours of 8:30 a.m. - 4:30 p.m., Monday through Friday.
All licenses expire on April 30th regardless of when during the year it was purchased. All renewal licenses are effective on May 1st. The license cost is prorated in most cases if you start your business at a different time of the year.
Displaying a License
Please be sure to display the license, not the application, in plain view. Failure to do so may result in fines and/or penalties.
Maryland Laws Concerning Business Licenses
For Maryland laws concerning business licensing, including license fees see Maryland State Law Library (Maryland Codes, Title 17. Miscellaneous State Business Licenses and Title 16. Cigarette License). See below for specific Maryland Codes relevant to each licensing:
Traders: Subtitle 18. Traders and Chain Stores, §17-1801–16.
Cigarettes: Title 16. Cigarette Licenses, §16-101–508.
Construction (new homes and commercial construction only): Subtitle 6. Construction, §17-601–03.
Vending Machines: Subtitle 19. Vending Machines, §17-1901–07.
Dry Cleaners: Subtitle 11. Dry Cleaners, §17-1101–03.
Plumbers: Subtitle 15. Plumbers and Gas Fitters, §17-1501–04.
Storage Warehouses: Subtitle 12. Storage Warehouses, §17-1201–04.
Garages: Subtitle 8. Garages, §17-801–03.
For more information on business licenses and opening a Maryland business, please visit the following sites:
- Maryland Business Licenses Online (search the licensing system of the Maryland Judiciary for issued licenses and apply, edit and renew your Maryland business licenses online.
- Business License Information System (includes startup information and an alphabetized list of all State licenses and permits)
- Comptroller of Maryland - Business Information and Services (includes business license tips, frequently asked questions, employer withholding information, tax registration)
If you have any questions about obtaining a business license in Cecil County, please contact the Business License Department of the Clerk of the Circuit Court at 410-996-5380.