Maryland Business Startup Guides

Starting a Business in Frederick, Maryland

Thinking about starting a business in Frederick, Maryland? This step-by-step guide walks you through the major decisions you should consider before opening a new business in Frederick.

Will You Be a Good Entrepreneur?

Most startup ventures don't make it, in part because the entrepreneur did not have the tenacity and/or the skills to succeed. So, before you start your business, consider all of the implications of being an entrepreneur.

Because entrepreneurship is not for everyone, we recommend you do the following to help you assess whether you should move forward with starting a business:

  • Reach out to other entrepreneurs in Frederick. They are usually very willing to share their insights on the ups and downs of being an entrepreneur.
  • Peruse Characteristics of Successful Entrepreneurs. This is one of our more popular articles for folks who want to go into business for themselves.
  • Seek the advice of somebody who knows you well. Others sometimes know you better than you know yourself.

What Business to Start

There are many businesses that you can start. How do you know which type of business is right for you? To help you decide on a business type, we encourage you to read Finding Your Niche in Life.

For in-depth how-to guides on how to start specific businesses, browse our Good Businesses to Start section of our site. For example, you might be interested in our Starting a Race Car Parts, Equipment, & Supplies Retail Business guide or our Opening a Creative Writers Business guide.

Don't forget that starting a business in Frederick has some implications. Some businesses will do better in Frederick than others. Only by spending some time analyzing Frederick demographics can you decide if there will be strong demand for your business idea.

Frederick, Maryland Demographic Information

Frederick has an active business community that includes small businesses, mid-sized businesses and large businesses.

To give you a better feel for Frederick demographics for small businesses, we have tabulated the small business sizes, based on number of employees, for business in Frederick.

Business Size
# of
Businesses
1-4 Employees
25260
5-9 Employees
10845
10-19 Employees
7740
20-49 Employees
6075
50-99 Employees
1995
100-249 Employees
1365
250-499 Employees
255
500-999 Employees
90
1000+ Employees
45
All Frederick Businesses
53670

As a new Frederick entrepreneur, you may also be interested in the table below. It shows how many businesses there are in Frederick for each business category. By looking at this chart, you can get a general sense for how much competition there is in the business niche that you are pursuing.

Business Type
# of
Businesses
Advertising Agencies
4
Amusement Arcades
1
Appliance Repair and Maintenance
1
Architectural Services
9
Armored Car Services
1
Art Dealers
4
Automotive Exhaust System Repair
1
Automotive Parts and Accessories Stores
18
Automotive Transmission Repair
1
Baked Goods Stores
3
Barber Shops
5
Beauty Salons
42
Bed-and-Breakfast Inns
1
Beer and Ale Merchant Wholesalers
1
Book Publishers
5
Book Stores
7
Bowling Centers
2
Breweries
1
Building Inspection Services
4
Business and Secretarial Schools
1
Business Associations
9
Camera and Photographic Supplies Stores
2
Car Washes
10
Carpet and Upholstery Cleaning Services
5
Caterers
7
Cement Manufacturing
1
Cemeteries and Crematories
2
Child and Youth Services
4
Children's and Infants' Clothing Stores
5
Civic and Social Organizations
15
Claims Adjusting
1
Clothing Accessories Stores
7
Coin-Operated Laundries and Drycleaners
5
Collection Agencies
1
Commercial Bakeries
1
Community Food Services
1
Computer and Software Stores
4
Computer Facilities Management Services
3
Computer Systems Design Services
44
Computer Training
3
Concrete Block and Brick Manufacturing
1
Concrete Pipe Manufacturing
2
Construction Sand and Gravel Mining
1
Consumer Lending
6
Continuing Care Retirement Communities
3
Convenience Stores
10
Convention and Trade Show Organizers
4
Convention and Visitors Bureaus
1
Cosmetology and Barber Schools
1
Credit Bureaus
3
Credit Unions
6
Custom Computer Programming Services
36
Dental Laboratories
2
Diagnostic Imaging Centers
8
Diet and Weight Reducing Centers
5
Direct Life Insurance Carriers
3
Direct Title Insurance Carriers
2
Discount Department Stores
7
Document Preparation Services
3
Drafting Services
1
Drinking Places (Alcoholic Beverages)
10
Drywall and Insulation Contractors
14
Electric Power Distribution
1
Electronic Shopping
1
Elementary and Secondary Schools
8
Emergency and Other Relief Services
1
Employment Placement Agencies
6
Engineering Services
31
Environmental Consulting Services
7
Exam Preparation and Tutoring
4
Facilities Support Services
1
Family Clothing Stores
10
Family Planning Centers
1
Farm Supplies Merchant Wholesalers
1
Fine Arts Schools
6
Finish Carpentry Contractors
19
Fitness and Recreational Sports Centers
14
Floor Covering Stores
8
Flooring Contractors
11
Florists
7
Fluid Milk Manufacturing
2
Food (Health) Supplement Stores
5
Food Service Contractors
12
Footwear and Leather Goods Repair
1
Framing Contractors
9
Freight Transportation Arrangement
3
Full-Service Restaurants
101
Funeral Homes and Funeral Services
5
Furniture Merchant Wholesalers
2
Furniture Stores
20
General Automotive Repair
43
General Medical and Surgical Hospitals
1
General Rental Centers
3
General Warehousing and Storage
7
Gift, Novelty, and Souvenir Stores
19
Glass and Glazing Contractors
10
Golf Courses and Country Clubs
3
Grantmaking Foundations
2
Hardware Merchant Wholesalers
5
Hardware Stores
1
Heating Oil Dealers
2
Historical Sites
1
Hobby, Toy, and Game Stores
8
Home Centers
3
Home Furnishing Merchant Wholesalers
3
Homes for the Elderly
5
Household Appliance Stores
4
Human Rights Organizations
1
Industrial Building Construction
1
Industrial Launderers
2
Insurance Agencies and Brokerages
43
Interior Design Services
6
Internet Publishing and Broadcasting
2
Internet Service Providers
2
Investigation Services
1
Investment Advice
9
Iron and Steel Mills
1
Janitorial Services
28
Jewelry (except Costume) Manufacturing
1
Kidney Dialysis Centers
1
Land Subdivision
4
Landscape Architectural Services
4
Landscaping Services
42
Lessors of Other Real Estate Property
2
Limited-Service Restaurants
105
Limousine Service
3
Locksmiths
5
Machine Shops
4
Mail-Order Houses
3
Marinas
1
Marketing Consulting Services
9
Masonry Contractors
17
Media Representatives
1
Men's Clothing Stores
7
Mortgage and Nonmortgage Loan Brokers
11
Motion Picture and Video Production
3
Motor Vehicle Towing
1
Motorcycle Dealers
4
Museums
2
Musical Instrument and Supplies Stores
4
New Car Dealers
21
New Housing Operative Builders
6
News Dealers and Newsstands
1
Newspaper Publishers
4
Nitrogenous Fertilizer Manufacturing
1
Nonresidential Property Managers
4
Nursing Care Facilities
6
Office Equipment Merchant Wholesalers
2
Office Machinery Manufacturing
1
Office Supplies and Stationery Stores
6
Offices of Certified Public Accountants
37
Offices of Chiropractors
13
Offices of Dentists
73
Offices of Lawyers
76
Offices of Podiatrists
10
Offices of Real Estate Appraisers
14
One-Hour Photofinishing
1
Optical Goods Stores
10
Outdoor Power Equipment Stores
1
Packing and Crating
1
Paging
1
Paint and Wallpaper Stores
3
Painting and Wall Covering Contractors
24
Passenger Car Rental
4
Payroll Services
6
Periodical Publishers
8
Pet and Pet Supplies Stores
7
Pet Care (except Veterinary) Services
3
Pharmacies and Drug Stores
12
Photography Studios, Portrait
8
Plastics Plumbing Fixture Manufacturing
1
Plate Work Manufacturing
1
Political Organizations
1
Portfolio Management
2
Primary Aluminum Production
1
Professional Employer Organizations
1
Professional Organizations
7
Public Relations Agencies
3
Quick Printing
2
Radio Stations
5
Ready-Mix Concrete Manufacturing
3
Real Estate Credit
34
Recreational Vehicle Dealers
2
Residential Property Managers
19
Residential Remodelers
72
Retail Bakeries
2
Reupholstery and Furniture Repair
2
Roofing Contractors
6
Sales Financing
1
Savings Institutions
9
Securities Brokerage
12
Security Guards and Patrol Services
1
Sewage Treatment Facilities
1
Sheet Metal Work Manufacturing
3
Shoe Stores
18
Siding Contractors
3
Site Preparation Contractors
16
Snack and Nonalcoholic Beverage Bars
18
Software Publishers
4
Software Reproducing
1
Solid Waste Collection
3
Solid Waste Landfill
1
Sporting Goods Stores
15
Spring (Light Gauge) Manufacturing
1
Tax Preparation Services
9
Taxi Service
2
Telecommunications Resellers
1
Telemarketing Bureaus
3
Telephone Answering Services
1
Telephone Apparatus Manufacturing
1
Temporary Shelters
1
Testing Laboratories
4
Tile and Terrazzo Contractors
6
Tire and Tube Merchant Wholesalers
4
Tire Dealers
8
Title Abstract and Settlement Offices
12
Tobacco Stores
2
Translation and Interpretation Services
4
Travel Agencies
4
Truss Manufacturing
1
Used Car Dealers
13
Used Household and Office Goods Moving
5
Used Merchandise Stores
18
Veterinary Services
15
Vocational Rehabilitation Services
5
Voluntary Health Organizations
1
Warehouse Clubs and Supercenters
2
Wholesale Trade Agents and Brokers
16
Window Treatment Stores
1
Wineries
1
Wired Telecommunications Carriers
15
Wood Window and Door Manufacturing
1

Selecting a Name For Your Business

A good company name can give a big boost to a new startup. It might seem like an easy thing to do, but there are many things to consider when naming a business.

Company names need to be easy to spell, easy to pronounce, and easy to remember.

To get up to speed on what makes for a good company name, we encourage you to read this useful article: Naming a Business.

On a final note, given that you are planning on starting a business in Frederick, it's imperative that you check now that no other Maryland company is using the business name you want to use.

Company Formation in Frederick, Maryland

A critical step is ensuring that you form your business as a legal structure. Doing so will protect you from personal liability for business debts and obligations.

The entity you form can be a traditional C-corporation, a Limited Liability Company (LLC), or an S-corporation.

Incorporation is a very popular way to form a business. A key decision is whether to form and S-Corp or a C-Corp, and you also must decide in which state you will incorporate. Just because you are starting a business in Maryland, it doesn't mean you are required to incorporate in Maryland. As it turns out, you can incorporate in any state you would like to. However, if you do incorporate in another state, you'll have to register as a foreign corporation in your home state.

There's a lot to know about forming a company. We recommend you read some of the educational articles about company formation that are availabe on our site, such as Incorporating Online. You may also want to seek the advice of an attorney. Finally, if you are starting a business in Frederick, Maryland, our information on Incorporating in Maryland may be a useful resource if you decide to incorporate in Maryland.

Don't Forget to Create a Business Plan

A business plan is vital in laying a solid foundation for your business success. Indeed, a business plan describes what you plan to do with the business and how you plan to do it. Not having a business plan is a recipe for disaster.

To learn more about business plans, read Business Plan Contests. A great resource for business planning assistance is the free counseling sessions provided by your local SCORE chapter in Maryland.

Promoting Your New Startup

Whether your goal is to attract Frederick customers or you plan on selling elsewhere, having an excellent marketing plan is fundamental to your beating the competition.

You can learn quite a bit about marketing on our site. National TV Spot Advertising Rates discusses marketing strategy and tactical marketing in a way that should get you thinking about how to creatively promote your business. That's just a taste of the many useful articles we have on Marketing a Small Business.

What's Next?

Most new Frederick businesses underestimate the number of challenges they will face.

Owning your own business will be a daunting task, but you can do it.

Our goal here is to promote the vitality and growth of small businesses in Frederick and throughout the United States . We believe entrepreneurship is an amazing engine for job creation in Frederick, neighborhood development and overall economic health.

More Entrepreneurial Resources for Starting a Business in Frederick, Maryland

Here are more links that we believe will help you be successful in starting a business in Frederick.

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