Section 3. Every person before commencing business in the commonwealth as a transient vendor, whether as principal or agent, shall make written application, under oath, for a state license to the deputy director stating the names and residences of the owners or parties in whose interest said business is to be conducted, and shall make a special deposit of five hundred dollars with the deputy director or shall give a bond in the sum of five hundred dollars, payable to the deputy director and his successors, with sureties approved by the deputy director, conditioned upon (1) compliance with the provisions of this chapter relative to transient vendors, (2) payment of all fines or penalties incurred by him through violations of such provisions, and (3) payment or satisfaction of any judgment obtained against him in behalf of any creditor whose claim arises in connection with the business done under the licensee's state license and who, before the expiration of sixty days from the return or surrender of said license or the filing of an affidavit of its loss, shall have given due notice of his claim to the deputy director. Thereupon, upon the payment of a fee, as determined annually by the commissioner of administration under the provision of section three B of chapter seven, the deputy director shall issue to him a state license authorizing him to do business as a transient vendor, subject to such local rules and regulations as may be made in a city by the mayor and city council and in a town by the selectmen. Such license shall expire one year from the date thereof or on the day of its surrender or of the filing of an affidavit of its loss, if it is earlier surrendered or if such affidavit is earlier filed. Such license shall contain a copy of the application therefor and of any statements required under section seven, and shall not be transferable. It shall not authorize more than one person to sell goods, wares or merchandise as a transient vendor either by agent or clerk or in any other way than in his own proper person, but a licensee may have the assistance of one or more persons in conducting his business who may aid him but not act for or without him.