Business License — City of Annapolis

Start by picking your business type

Different types · Different requirements

The type of business you operate determines what licenses, inspections, and approvals you'll need. Select the closest match below — we'll show you the exact requirements for that type.

🛍

Retail store

Brick-and-mortar selling goods to consumers. Includes specialty stores, gift shops, clothing, etc.

~412 active$185/yr base

🍽

Restaurant or food service

Restaurants, cafes, food trucks, caterers. Requires health department approval.

~186 active$310/yr base

🍷

Bar / alcohol service

Restaurants & bars serving alcohol. Requires separate Maryland ABC license.

~78 active$510/yr base

💼

Professional services

Offices for legal, accounting, real estate, consulting, financial services, etc.

~684 active$185/yr base

💇

Personal services

Salons, barber shops, spas, fitness studios, massage therapy, tattoo parlors.

~218 active$235/yr base

🏨

Lodging

Hotels, inns, B&Bs, vacation rentals. Different rules apply to short-term rentals.

~32 active$640/yr base

🏠

Home-based business

Businesses operated from your residence. Subject to zoning and home occupation rules.

~840 active$110/yr base

🔨

Contractor / trades

General contractors, plumbers, electricians, HVAC, landscapers. State licenses also required.

~284 active$185/yr base

⚓

Maritime business

Boat sales/charter/rental, marinas, sailing schools. Coordinated with Harbormaster.

~62 active$410/yr base

Don't see your type? Browse all 24 license types → or call us at 410-260-2230.

The application process

Example shown · Restaurant

Restaurant / food service workflow. Restaurants require coordination across multiple agencies — the city for zoning and business licensing, the county health department for food safety, and (if serving alcohol) the state Comptroller and county liquor board. We've sequenced these in the order that minimizes back-and-forth.

Verify your zoning & location

Required first step

Confirm that your chosen address is zoned for restaurant use. The Office of Planning & Zoning can review your address for free — submit a zoning verification request before signing a lease.

Why first: Don't sign a lease until you know the use is allowed. Restaurants are permitted by right in C1, C2, MX, and WMX districts. Other districts may require a special exception.

Free
2–3 days

Verify zoning →

Form your business entity

Maryland SDAT

Register your LLC, corporation, or partnership with the Maryland State Department of Assessments & Taxation. Sole proprietors using their own name can skip this. You'll need this before applying for tax IDs.

External agency: Maryland SDAT (not the city). Most LLCs are formed online in under an hour.

$100+
1 day online

SDAT portal →

Get federal & state tax IDs

IRS & Comptroller

EIN from the IRS (free, instant online). Maryland Sales & Use Tax registration through the Maryland Comptroller. Required before you can legally collect sales tax.

Have these ready: SDAT entity number, owner SSN, business address, estimated annual revenue.

Free
Same day

IRS · Comptroller →

County health department food permit

Anne Arundel County Health

Food service facilities in Anne Arundel County require a separate food facility permit from the County Health Department. Plan review of your kitchen layout is required before opening.

External agency: AA County Health Dept (not the city). Allow 4–6 weeks for plan review and pre-opening inspection.

$250–$650
4–6 weeks

County Health →

Apply for city business license

City of Annapolis

Now you're ready for the actual city business license application. Submit through the CSS Portal with your SDAT entity #, tax IDs, lease, and county health permit application receipt.

City review: Building & Zoning verifies the location, Fire Marshal verifies occupancy & egress, Office of Community Services issues the license.

$310/yr
2–4 weeks

Apply online →

Alcohol beverage license (if applicable)

If serving alcohol

Applied for through the Anne Arundel County Board of License Commissioners (BLC). Required notice period, hearing, and consent from neighbors within 200 ft. Allow 60–90 days.

External agency: AA County BLC. Start this in parallel with city license — does not need city approval first.

$500–$2,000
60–90 days

County BLC →

Fire marshal occupancy inspection

Before opening

Final inspection by the Annapolis Fire Marshal verifies fire suppression, sprinklers, exits, occupancy limit, and life safety equipment. Required before the city issues a final certificate of use.

Schedule when: All buildout is complete, suppression system installed, hood & duct cleaning records on hand.

Free
1 week schedule

Fire Marshal →

★

Sign permit (if applicable)

If installing signage

Any business signage on the building exterior requires a separate sign permit. Historic District properties have additional design review by the Historic Preservation Commission.

$95
1–2 weeks

Sign permit →

⏰ Annual renewal · Due May 1

Renew your existing license in 4 quick steps.

If you already have an active Annapolis business license, renewal is fast. We pre-populate your existing info — you just confirm what's still accurate, update anything that's changed, and pay. Most renewals take under 10 minutes online.

Look up your license

Confirm or update info

Address, hours, owners, employee count.

Pay renewal fee

Same as base fee · paid online.

Receive new license

Emailed instantly · post visibly at business.

Renew now (sign in) → Set renewal reminder View past licenses

Missed the deadline? Late renewal incurs a 10% surcharge per month, capped at 50%. Licenses lapsed for more than 90 days may require re-application as new.

Fee schedule

All city business license categories

Business category	Base annual fee	Per employee (over 5)
Home-based business Limited scope, no walk-in customers, residential-permitted activities only.	$110Per year	N/A
Retail · standard Standard storefront retail. Includes most shops, galleries, boutiques.	$185Per year	$15
Professional services / office Law, accounting, consulting, real estate, financial services.	$185Per year	$15
Contractor & trades Building contractors, electricians, plumbers, HVAC, landscapers.	$185Per year	$15
Personal services Salons, barbers, fitness, spas, massage therapy, body art studios.	$235Per year	$20
Restaurant & food service Restaurants, cafes, takeout, caterers. County health permit required separately.	$310Per year	$22
Maritime business Boat sales, charters, rentals, marinas, sailing schools, marine services.	$410Per year	$28
Bar / alcohol service Restaurants and bars serving alcoholic beverages. Separate ABC license needed.	$510Per year	$32
Lodging Hotels, inns, B&Bs. Short-term rentals are licensed separately.	$640Per year	$38
Adult entertainment Subject to additional licensing standards and distance restrictions.	$2,400Per year	$60

Note on per-employee fees: Businesses with more than 5 employees pay the per-employee fee for each employee beyond the first 5. Part-time employees count as 0.5. Maximum employee fee cap is $2,500 annually. Veterans and small business set-asides may apply — see exemptions →

Other agencies you may need to work with

Beyond the city

Operating a business often involves licensing from agencies beyond the city. These are the ones our businesses interact with most frequently — we've linked directly to each agency's portal.

MD
SDAT