5 Food Truck Licenses and Permits Required in Maryland: How to Start a Food Truck Business (2024)

Requirements for Opening a Food Truck in Maryland 

The U.S. food truck services market is expected to grow at an astounding 6.4% annually through 2030, meaning the number of food trucks will have more than doubled between 2020 and 2030. The appeal of food trucks lies in their ability to offer diverse, high-quality meals with the added convenience of mobility, catering to an on-the-go lifestyle. As the demand for quick, unique dining experiences continues to rise, food trucks are emerging as a key player in reshaping the restaurant landscape.

For contrast, the overall restaurant industry's five-year growth rate stands at approximately 4.9%, notably slower than the expansion seen in the food truck sector. This comparison highlights the growing appeal and increasing market share of food trucks as consumers seek more innovative dining options.

Part of the rise in popularity is also likely due to food trucks presenting a more accessible entry point for aspiring entrepreneurs compared to traditional restaurants. With lower upfront capital requirements and ongoing overhead expenses, they offer a viable alternative for those looking to break into the food industry without the substantial financial burden. Additionally, consumer preferences are increasingly embracing food trucks for their affordability, convenience, and often more adventurous menu offerings.

For prospective food truck owners, these trends paint an encouraging picture. However to make your concept a reality, navigating the regulatory landscape is crucial to turning a food truck dream into a thriving business. Securing the proper licenses and permits will be essential, as we'll explore in the following guide.

How to start a food truck business in Maryland

Starting a food truck in Maryland can take many months to over a year. 

The process involves building a strong food truck business plan, applying for all your licenses and permits, finding food truck funding, choosing a vehicle and ensuring it’s ready to prepare and serve food, renting an additional prep space, planning your ideal parking locations, building a food truck marketing strategy, finding and hiring a great team, creating your menu, stocking the ingredients you’ll need, receiving your permits, and finally, opening your (figurative) doors. 

If you’re savvy about your costs and you deeply research the market you want to reach, making sure you’re in high-traffic areas on each day that you operate, food truck businesses can reach the top end of the average restaurant profit margin range, which is 3-5%, or even exceed it. Food trucks have lower startup costs, smaller teams, and lower operational costs, so they can be more easily profitable than typical restaurants. 

And once you’re open, success can look different for various types of food truck businesses. Some restaurateurs aim to open just one food truck and keep their local community fed. Others aim to open a fleet of trucks to operate across the city or even across a whole region, or specialize in event catering. Others still use a food truck as a way to test their concept before opening a restaurant. 

No matter your ultimate goal, every food truck in Maryland will need specific licenses and permits to operate. Check out our guide to food truck opening and operation, and then read on for details on how to start a food truck in Maryland. 

Licenses and Permits Required to Open a Food Truck in Maryland

1. Business License
2. Mobile Food Facility Permit
3. Public Health Permit 
4. Food Seller's Permit
5. Liquor License 
6. Employee Health Permit

Business License in Maryland

What is it and why do you need it?

A business license is one of the first licenses you’ll need as you start laying the groundwork of your business. Also known as a business tax certificate, it helps your business stay compliant at tax season.

How to get a business license in Maryland

In Maryland, business licenses are controlled by the city or county you live in. If you operate a restaurant with multiple locations across cities and counties, it’s important to get a business license for each business in different jurisdictions. To get a business license in Maryland, you’ll need:

1. An EIN
2. To choose what classification of business you’ll be (LLC? Sole proprietorship? Partnership?)
3. A business name
4. An address and phone number,
5. A thorough restaurant business plan
6. A COI for your business insurance policy

How much does a business license cost in Maryland?

Maryland business license costs vary depending the county, type and scope of the business. Business licenses in Maryland need to be renewed and paid for regularly, so check with your jurisdiction about how often yours will need to be renewed.

Mobile Food Facility Permit in Maryland

What is it and why do you need it?

A mobile food facility permit ensures that the space where you plan to prepare and/or serve food is compliant with local food safety and worker safety standards. You cannot operate a food truck, food cart, or any other kind of mobile food business without one.

How do you get a mobile food facility permit license?

Different counties will dictate the factors that need to be considered, including what types of foods are prepared on the truck vs. at an offsite prep kitchen, what types of foods are sold (and how high-risk they are in terms of potential to cause food-borne illness), what kind of cooking will be done on the truck (Deep frying? Griddle only? Microwaving?), and how much preparation will need to be done at all (very little for ice cream vs. a lot for burritos).

In order to be approved, a mobile food facility will need to be able to show they are creating a safe and nonhazardous work environment for their workers, providing safe food for their customers, and following safe protocols for disposal of grease and other waste.

How much does a mobile food facility permit cost?

The cost of a mobile food facility permit will vary across cities and counties, and even within a city depending on the type of food truck operation. 

Public Health Permit in Maryland

What is it and why do you need it?

In most counties, food trucks will need to fill out a Public Health Permit/License application as food vendors, or risk being shut down for not being up to the Maryland Health and Safety Code. 

How do you get a public health permit/license?

Fill out the application from your local public health department, prepare your facility for inspection, and review all food safety requirements. Once you’ve passed inspection, you can obtain your public health permit.

How much does a public health license cost?

It depends on your risk level — selling prepackaged food is cheaper, and less risky, than preparing meats and other foods on your premises. These license costs vary by county and can range from $100 to over $1,000. 

Food Seller’s Permit in Maryland

What is it and why do you need it?

Any business that plans to sell tangible goods that are subject to sales tax needs a seller’s permit. This permit allows them to charge sales tax.

How to get a seller’s permit?

You can register for a permit online through the SBA License and Permits portal.

How much does a food seller’s license cost?

There’s no fee to apply for a seller’s permit, but you may be asked to pay a security deposit to cover unpaid taxes if the business eventually closes.

Liquor License in Maryland

Can food trucks get a liquor license in Maryland?

In most states, food trucks cannot obtain a full liquor license. The best they can do is to get short-term liquor licenses for special events, but selling alcohol regularly should not be part of your Maryland food truck business plan. 

How much does a liquor license cost in Maryland?

A liquor license in Maryland can cost from $110 - $500. See the full fees associated with different types of liquor licenses in Maryland here.

Employee Health Permit (also known as a Food Handlers License)

What is it and why do you need it?

A food service license, also known as an employee health permit, allows food trucks to safely sell and serve food onsite. These licenses ensure that every employee knows how to do their part to keep your diners safe from foodborne illness. They’re often referred to as ServSafe, after the company that administers most food handler’s tests, or as a Maryland Food Handler Card.

How to get a food handler’s license in Maryland

Every employee who prepares or serves food in Maryland must get their Food Handler’s license within 30 days of being hired 

And if managers have already gotten their Food Protection Manager Certification, they’re also exempt from getting a Maryland Food Handler card. Some jurisdictions have their own food safety training programs and standards, so they’re exempt from requiring employees to get a Maryland Food Handler card.

To get their food handler’s card, employees must pass a test about food safety and preparation with a grade of at least 70% (or higher in some jurisdictions).

How much does a food service license cost in Maryland?

Maryland state law requires that the test and license not cost more than $15, in order to make sure anyone working in a restaurant can afford to get certified.

Food Truck Laws and Regulations in Maryland

In addition to all the above permits and licenses, food trucks will need to comply with food safety ordinances, OSHA regulations, proper waste disposal regulations, driving regulations, public health laws, tax laws, regulations about temperature control for food (as well as for running water), parking regulations, drivers license laws, liquor laws, and many more. 

1. Secure the Proper Permits and Licenses

Operating a food truck requires obtaining a range of permits and licenses, which can vary significantly depending on the city, county, and state. In most cases, you’ll need a business license, a food handler’s permit, a health department certification, and a mobile vendor permit. Larger cities may also require a commissary agreement—an approved kitchen where you prepare and store food items. Navigating this regulatory framework is crucial, as missing just one license or failing to renew on time can lead to fines or shutdowns.

Thoroughly researching local regulations is vital because food truck laws can differ not just from state to state but even within a city. Some municipalities place limits on the number of permits issued annually, while others may have a lengthy approval process involving multiple government agencies. Understanding these timelines and requirements early on can prevent delays in your launch.

2. Comply with Health and Safety Standards

Food trucks are subject to strict health and safety standards, similar to brick-and-mortar restaurants. This involves ensuring that food is stored, prepared, and served at appropriate temperatures and that staff members follow proper hygiene practices. Regular inspections by the local health department are common, and any violations can lead to hefty fines or even forced closures. These inspections often focus on cleanliness, food storage, pest control, and employee hygiene.

Given the smaller, more confined nature of a food truck, ensuring that all equipment is maintained in sanitary condition is paramount. Meeting health department standards consistently also helps build customer trust, as many patrons expect food trucks to uphold the same cleanliness as traditional restaurants.

3. Understand Zoning and Parking Restrictions

Navigating zoning laws and parking restrictions is one of the most complex aspects of running a food truck. Cities often designate specific areas where food trucks can operate, and these locations can change based on community events, construction, or local ordinances. Some cities restrict how close food trucks can park to brick-and-mortar restaurants or schools, limiting where you can set up shop. Additionally, parking permits are often required, with some cities mandating that food trucks only park in metered spots or private lots with prior permission.

Cities may also limit the duration that a food truck can remain in one spot. Failing to comply with these regulations can result in parking fines or citations that could impact the reputation of your business.

4. Adhere to Labor Law Requirements

Even though a food truck may operate with a smaller staff than a restaurant, it must still comply with labor laws. This includes adhering to federal and state minimum wage requirements, ensuring proper overtime pay, and providing workers with the necessary breaks during their shifts. Failure to comply with these regulations can result in legal action or financial penalties.

It’s also important to stay updated on new labor laws, as wage and hour regulations frequently change. Maintaining accurate records of employee hours, break periods, and wages paid is key to avoiding any potential violations.

5. Follow Fire and Safety Codes

Food trucks, particularly those using cooking equipment like propane tanks, grills, and fryers, must comply with fire and safety regulations. Fire departments often require food trucks to install specific fire suppression systems, such as an automatic fire extinguisher system, and have the appropriate fire extinguishers on board. Regular fire inspections are usually mandated to ensure all equipment is functioning safely and that the vehicle itself is in good condition.

In many cases, local governments mandate regular safety drills for food truck staff to ensure they know how to handle emergencies, such as gas leaks or fires. Complying with these codes not only ensures legal operation but also protects your business from potential disasters.

6. Obtain the Right Insurance Coverage

Operating a food truck involves numerous risks, from accidents to foodborne illnesses, which makes having proper insurance coverage essential. Most cities require food truck operators to carry general liability insurance, covering injuries or property damage that might occur during business operations. In addition, commercial auto insurance for the truck itself and workers’ compensation insurance for employees are often required by law.

It's essential to work with an insurance provider familiar with food truck businesses to ensure all areas are adequately covered, from equipment breakdown to liability for serving food at public events. The right insurance safeguards your business against unforeseen issues that could otherwise lead to costly legal battles or shutdowns.

Food Truck Trailer Requirements

When operating a food truck trailer, there are several critical requirements you must meet to ensure compliance with local regulations. These rules and guidelines ensure that your trailer is safe, functional, and capable of providing quality food service. Here are the key areas you need to focus on:

1. Health and Safety Standards

As with any food service business, a food truck trailer must adhere to strict health and safety standards. Local health departments typically require your trailer to have features such as:

• Handwashing Stations: A dedicated handwashing sink with hot and cold running water is mandatory. You will also need soap and paper towel dispensers.

• Three-Compartment Sink: For proper sanitation, a three-compartment sink for washing, rinsing, and sanitizing utensils and equipment is required.

• Food Storage: Food must be stored at safe temperatures, meaning your trailer must have commercial-grade refrigeration and heating equipment that can maintain the correct temperatures for food safety.

• Ventilation and Exhaust: If your trailer uses grills or fryers, proper ventilation systems and exhaust hoods must be installed to remove smoke, grease, and fumes.

• Flooring and Surfaces: The interior of the trailer must be easy to clean, with non-porous, washable surfaces for floors, walls, and counters to prevent contamination.

Meeting these health and safety standards is necessary for passing inspections by your local health department, which will regularly review your food truck trailer for compliance.

2. Propane and Electrical Requirements

If you plan to use propane for cooking, there are specific regulations related to how propane tanks are stored, connected, and maintained. Some common requirements include:

• Propane Tank Safety: Propane tanks must be securely mounted and kept in an area with adequate ventilation. Fire safety regulations may also dictate where and how propane tanks can be stored.

• Pressure Regulators and Hoses: Tanks must be equipped with pressure regulators, and hoses should be certified for commercial use. Regular checks for leaks and wear are essential.

• Electrical Wiring: The electrical systems in your trailer must comply with local electrical codes. All wiring should be installed by a certified electrician and meet the requirements for commercial use. Electrical outlets should be GFCI (Ground Fault Circuit Interrupter) protected in case of water exposure.

• Generator Compliance: If you are using a generator for power, it must be properly vented, and you may need to meet noise or emission standards set by your locality.

3. Trailer Structural and Safety Standards

Food truck trailers must meet specific structural and safety guidelines, especially when it comes to mobility and roadworthiness. Some important considerations include:

• Road Safety Compliance: The trailer must be registered and road-legal, meaning it meets Department of Transportation (DOT) standards. This includes having proper brake lights, turn signals, and reflectors. Depending on your location, you may also need special vehicle inspections.

• Fire Suppression: Fire safety is critical, especially if you’re cooking on board. Many jurisdictions require food truck trailers to have a fire suppression system installed, particularly if you’re using fryers or grills. These systems automatically extinguish fires and reduce risks of grease fires.

• Weight Distribution: Overloading your trailer can make it unsafe to tow and can lead to violations of weight limits. Check the maximum allowable weight for your trailer and ensure proper weight distribution to avoid potential road hazards.

4. Access to Commissary Kitchen

In many areas, food truck trailers are required to have access to a licensed commissary kitchen. This is a commercial kitchen that serves as a base of operations for food prep, storage, and dishwashing. Local health departments may require you to return to this kitchen daily or on a regular basis to properly clean equipment and replenish supplies.

5. Waste Disposal Systems

Proper waste management is another critical requirement for food truck trailers. You’ll need systems in place for both gray water (from sinks) and solid waste (such as garbage and used cooking oil). Requirements typically include:

• Gray Water Tank: Your trailer must have a holding tank for wastewater that’s at least 15% larger than your fresh water tank. Gray water cannot be dumped on-site; it must be emptied at approved disposal locations.

• Trash Receptacles: Food truck trailers are required to have waste receptacles on board and often for customers as well. Some cities may require these to be emptied at specified intervals or prohibit trash from being disposed of in public bins.

6. Signage and Branding Regulations

Many municipalities have specific rules about food truck trailer signage. For example, your business name may need to be displayed prominently on both sides of the trailer, often at a minimum size for easy identification by health officials and customers alike. Certain regions may also regulate the types of branding and advertisements allowed on food truck trailers, including prohibiting any offensive or inappropriate language or images.

7. Fire Extinguisher Requirements

Every food truck trailer must have at least one fire extinguisher on board that is rated for grease fires (Class K) and general use (Class ABC). This is often checked during routine inspections, and failure to have the proper fire extinguishers can result in fines or closure.

Get ready to bring your food to whenever your customers are

Opening a food truck is a process that takes many months. You’ll need to start with a thorough food truck business plan, and then, one of the most important tasks to tackle early is the licenses and permits process. Some permits will require you to have a different permit ready to submit with your application, so use the state specific websites to determine exactly which permits your business needs. Map out the requirements for all of them, and go through them in cascading order.

Once your permits are in progress, you can move onto other tasks that will require your attention, including finding a great team, planning your pay structures, finding food truck funding, figuring out your menu and testing recipes, and choosing ingredient vendors. 

Finally, you can compare your options for the best food truck point of sale system. Ensure the platform you choose has capabilities that will help you grow sustainably for years to come, like online ordering (and order-ahead), email marketing to let your customers know where you’ll be and when, payroll, and inventory. 

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