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

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

Key Facts

Covered activity
buying/selling/trading used goods for business
Key exclusions
garage/estate sales, thrift, occasional sellers
Application fee
$50 nonrefundable
Annual fee
$25, expires December 31
Records
kept 2 years, reviewed by police
Holding period
acquired items held 7 days minimum
Penalty
up to $2,500 per offense, plus revocation

Summary

In the City of Greenwood, Indiana, anyone engaged in buying, selling, trading, or otherwise acquiring used goods and merchandise for business purposes must get a Second Hand Dealer license from the City Controller under Greenwood General Ordinances § 4-158.1 and § 4-158.2(a). Garage sales, estate sales, thrift and consignment stores, and pawn shops are excluded from the definition.

SECOND HAND DEALER. Any person, partnership, association or corporation who engages in buying, selling, trading or otherwise acquiring or purchasing used goods, items and merchandise for business purposes. Excluded from this definition shall be: garage sales; estate sales; ... used book stores; thrift stores; consignment stores; ... and pawn shop dealers, second hand watch dealer, used jewelry dealer, precious metal dealer or valuable metal dealer as defined in this Division. ... (b) Application for such license shall be in writing ... Each applicant shall pay a non-refundable application fee in the amount of Fifty Dollars ($50.00) to cover the City’s costs of processing the application. ... The licensee shall keep and use in her or her business, books, accounts, and records pertaining to all items of merchandise purchased, pledged or traded ... Every licensee shall preserve such books, accounts, and records for at least two years after making the final entry on any loan, pledge or purchase recorded therein.

Full Breakdown

Section 4-158.1 defines SECOND HAND DEALER broadly as any person, partnership, association, or corporation that buys, sells, trades, or otherwise acquires used goods, items, and merchandise for business purposes, then carves out a long list of exclusions: garage sales, estate sales, transient vendor sales lasting no more than 24 hours, sales by federally tax-exempt organizations, businesses that only occasionally buy used goods totaling under $5,000 a year, used book stores, thrift and consignment stores, used toy, sporting goods, or clothing stores, used autos, watercraft, and farm equipment, antique stores and malls, and pawn shop, watch, jewelry, precious metal, and valuable metal dealers, which are licensed separately under the same Division.

Section 4-158.2(a) makes operating as a Second Hand Dealer without a City license unlawful, and subsection (b) requires the applicant to show proof of being at least 18, submit two 2-inch by 2-inch photographs, fingerprints, a national Identity History Summary Check, and disclosure of any prior license revocation or criminal conviction, plus a $50 nonrefundable application fee. Section 4-158.3 routes the application through the Police Chief for review before the Controller issues an annual license expiring every December 31 for a $25 fee. Section 4-158.7(a) requires the licensee to keep books, accounts, and records of every item purchased, pledged, or traded, preserved for at least two years, and Section 4-158.9 requires acquired property to be held intact for at least seven days before resale.

Violations & Fines

Violating any part of Division XIII draws a fine of up to $2,500 per offense under Section 4-158.5(a), with each day of a continuing violation counted as a separate offense. The Board of Public Works and Safety can also revoke the license after at least twenty days' written notice and a hearing at which the licensee may present evidence and appeal an adverse decision to the courts of the state.

Frequently Asked Questions

Does a Greenwood secondhand or thrift shop need a City license?
Only if it falls outside the ordinance's exclusions. Section 4-158.1 excludes thrift stores, consignment stores, used book stores, garage and estate sales, and businesses buying under $5,000 of used goods per year. Any other business that buys, sells, or trades used merchandise needs the license required by Section 4-158.2(a).
What must a secondhand dealer submit to get a Greenwood license?
The applicant files a written application with the City Controller showing proof of being at least 18, two 2-inch by 2-inch photographs, fingerprints, a national Identity History Summary Check, and any history of license revocation or criminal conviction, plus a $50 nonrefundable application fee under Section 4-158.2(b).
How long must a Greenwood secondhand dealer hold items before reselling?
Section 4-158.9 requires a licensee to hold all acquired property intact for at least seven days after acquiring it, giving the Police Department time to check whether an item was reported stolen before it can be resold or altered.
What records must a Greenwood secondhand dealer keep?
Under Section 4-158.7(a), the licensee must keep books, accounts, and records of every item purchased, pledged, or traded, and preserve them for at least two years after the final entry, so the Police Department can verify compliance with the Division's requirements.

Sources & Official References

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