Decide on the legal structure of your business. See our business tax structure page. Common options include:

• Sole Proprietorship
• Partnership
• Limited Liability Company (LLC)
• C-Corporation (C-Corp)
• S-Corporation (S-Corp)
• Nonprofit

For more information, see our Tax Structure Guide!

Maryland does not require you to reserve a business name before registration, but it’s a good idea to ensure your desired name is available:

• Check Name Availability: Maryland Business Entity Search
• Reserve a Business Name: Fee: $25.
  • File Online

Submit the necessary formation documents based on your business structure to the Maryland State Department of Assessments and Taxation (SDAT):

• LLC: File Articles of Organization.

  • Fee: $100 (online), $110 (paper).
  • File Online
  • Download Forms 

• Corporation: File Articles of Incorporation.

  • Fee: $120 (online), $140 (paper).
  • File Online
  • Download Forms

If operating under a name different from your legal business name, register a Trade Name (DBA) with SDAT:

• Fee: $25 (online), $75 (expedited service).
• File Online

If your business will hire employees or sell goods, register with the Maryland Comptroller’s Office:

• Sales and Use Tax License: Required for businesses selling taxable goods or services.
  • Register Online
• Employer Taxes: Register for withholding and unemployment taxes if you have employees.
  • Employer Registration

Certain businesses may require additional permits or licenses depending on their industry or location:

• Use Maryland’s OneStop Business Portal to identify required licenses:
  • https://onestop.md.gov/

Separate your personal and business finances by opening a business bank account using:

• Your EIN (Employer Identification Number).
• Formation documents or operating agreement.

• Annual Reports and Personal Property Returns: LLCs and Corporations must file these documents with SDAT to maintain good standing:
  • Fee: $300.
  • File Online

• Maryland State Department of Assessments and Taxation (SDAT): Visit here
• Maryland Comptroller’s Office: Visit here
• Maryland Small Business Development Center (SBDC): Visit here