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Bloomington, IN Business Licensing & Operations: Secondhand Dealers (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

License required
Yes, from the city controller
License fee
No fee charged
Holding period before resale
At least 7 business days
Police reporting deadline
Within 2 business days
Occasional-buyer exemption
Under $5,000/year in purchases
First-offense fine, unlicensed
$240

Summary

Anyone who buys, sells or trades used goods for business purposes in the City of Bloomington must first get a license from the city controller under Bloomington Municipal Code § 4.20.010, though the chapter carves out garage and estate sales, thrift and antique stores, and dealers who mainly trade clothes, cars, books, watercraft, farm equipment, CDs or LPs.

4.20.010 - License—Required. Any person or corporation who desires to engage in buying, selling, trading or otherwise acquiring or purchasing used goods, items and merchandise for business purposes in the city shall first procure a license to do so from the office of the city controller. No license shall be required if the person or corporation is primarily engaged in the business of buying, selling, trading or otherwise acquiring or purchasing one or more of the following: clothes, cars, books, watercraft, farm equipment, CDs, or LPs. No license is required for any of the following: garage sale; estate sale; any sale that is held by a transient vendor and lasts no more than twenty-four hours; any sale held by either a charitable or political organization; persons or businesses which only occasionally engage in the purchase of used goods so long as this occasional business does not total more than five thousand dollars worth of purchases in any one calendar year; thrift stores, consignment stores; or antique stores or malls.

Full Breakdown

010 requires any person or corporation engaged in buying, selling, trading or otherwise acquiring used goods, items and merchandise for business purposes to procure a secondhand dealer license from the city controller's office. The chapter exempts dealers primarily in clothes, cars, books, watercraft, farm equipment, CDs or LPs, along with garage sales, estate sales, transient sales lasting no more than twenty-four hours, charitable or political organization sales, occasional buyers whose used-goods purchases stay under $5,000 in a calendar year, and thrift, consignment, antique stores or malls.

020 requires a written application stating the applicant's name and place of business, and for a corporation the name and address of its officers; the license is issued for the calendar year and no fee is charged, a record being kept by the controller. 040 requires every licensee to hold purchased goods for at least seven business days before reselling them, giving stolen-property owners a window to recover items. 050 exempts interstate commerce transactions from the chapter. 060 requires licensees to electronically report each article sold or received to the Bloomington Police Department within two business days, including a description, serial numbers, and the seller's name, signature, address, date of birth and government identification number, transmitted at no charge to the licensee through the department's designated agent.

Violations & Fines

Operating as a secondhand dealer without a license carries a first-offense fine of $240, rising to $500 for a second offense and $1,000 for a third or later offense within twelve months, under § 4.20.070. The same escalating schedule applies to violations of the reporting, license-display, or seven-day holding requirements, and the Board of Public Works can revoke a license after notice and hearing.

Frequently Asked Questions

Do I need a license to buy and resell used goods in Bloomington?
Yes, if it's for business purposes. Bloomington Municipal Code § 4.20.010 requires a secondhand dealer license from the city controller, though it exempts dealers mainly in clothes, cars, books, watercraft, farm equipment, CDs or LPs, plus garage sales, thrift stores and antique malls.
How long must a Bloomington secondhand dealer hold an item before reselling it?
At least seven business days from purchase, under § 4.20.040, a holding period meant to give owners of stolen property a chance to recover it before the item is resold.
Does a Bloomington secondhand dealer license cost anything?
No. Section 4.20.020 states that no fee is required to obtain the license, though the dealer must still file a written application with the city controller and receive a calendar-year license before doing business.

Sources & Official References

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