Cost of a dealer license




















Most states require you to have annual education course updates and credits in order to keep your license in good standing. You will have to show proof of place of business, your baseline Auto Dealer License Cost. This cost differs greatly from state to state. Generally you have to have a building, land lot, telephone lines and building signage that can be visibly see from the street. This all has to be in the relevant city zone.

Some cities allow you to operate from a commercial office or a even from home. You generally have to show proof of minimum of year lease. And this is not even counting your start up inventory. Skip to primary content. Skip to secondary content.

There may be a limit on how or where you can display them. You'll also still need to list a place of business on your paperwork. This should be where your records are kept. Whether you have a lot or not, getting a surety bond is essential for becoming a licensed dealer.

If you're not sure exactly what a surety bond is, don't worry—many people aren't quite sure at first. Check out our page on What Is a Surety Bond?

Basically, a surety bond serves as a guarantee that your business won't engage in unethical conduct. That can include everything from misrepresenting a vehicle's condition to not paying sales taxes.

You'll pay a percentage of this upfront to the surety and then file your certification with your dealer application. Although dealer surety bonds usually require credit checks, keep in mind that Surety Bonds Direct can help you even if your credit isn't perfect.

Plus, we offer flexible payment plans to make bonds more affordable for our customers. We work directly with leading national surety bond companies to give our customers the most competitive rates and the best customer service so that your business can grow, flourish and expand.

No matter if you're just starting out in the dealership business or you're an auto business pro—and whether you have a lot or not — Surety Bonds Direct can help you find the right dealer bond for you. You can talk to our bond experts at or use our online quote function to get a quick and easy quote today!

Jason O'Leary. Department of Consumer Affairs Bureau of Automotive Repair plus minus Dealers who will be providing automobile servicing and repair are required to file an application with their local Bureau of Automotive Repair office. Persons who sell or distribute vehicles of a type subject to registration for a manufacturer to vehicle dealers under this code, or who are employed by manufacturers or distributors to promote the sale of vehicles dealt in by those manufacturers or distributors.

However, any of those persons who also sell vehicles at retail are vehicle dealers and subject to this code. Persons regularly employed as salespersons by vehicle dealers licensed under this code while acting in the scope of that employment. Persons engaged exclusively in the bona fide business of exporting vehicles or of soliciting orders for the sale and delivery of vehicles outside the territorial limits of the United States, if no federal excise tax is legally payable or refundable on any of the transactions.

Persons not engaged exclusively in the bona fide business of exporting vehicles, but who are engaged in the business of soliciting orders for the sale and delivery of vehicles, outside the territorial limits of the United States are exempt from licensure as dealers only if their sales of vehicles produce less than 10 percent of their total gross revenue from all business transacted.

Persons not engaged in the purchase or sale of vehicles as a business, who dispose of any vehicle acquired and used in good faith, for their own personal use, or for use in their business, and not for the purpose of avoiding the provisions of this code. Persons who are engaged in the purchase, sale or exchange of vehicles, other than motorcycles subject to identification under this code, which are not intended for use on the highways.

Persons who are engaged exclusively in the business of purchasing, selling, servicing, or exchange racing vehicles, parts for racing vehicles and trailers designed and intended by the manufacturer to be used exclusively for carrying racing vehicles.

Any person who is a lessor. Any person who is a renter. Any salvage pool. Any public or private nonprofit charitable, religious, or educational institution or organization that sells vehicles if all of the following conditions are met: The proceeds of the sale of the vehicles are retained by that institution or organization for its charitable, religious, or educational purposes. The vehicles sold were donated to the institution or organization.

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