How to Get a Car Dealer License

by Contributor; Updated September 26, 2017
Get a Car Dealer License

How to Get a Car Dealer License. Operating a car dealership can be a lucrative business, but there are many regulations and obstacles throughout the certification process. While every state has its own laws and fine tuning, these basic steps can help you through the process with the least amount of stress possible.

Step 1

Contact your local Department of Motor Vehicles office for information on the dealer's license testing and documentation packet. Each state has different requirements.

Step 2

Register your business with your local Business Registry and have your company's business registry number available.

Step 3

Prepare for the license testing by getting all required documents filled out completely. Have all fees ready as well.

Step 4

Include all the information of your primary business location and the zoning permit from your local zoning office.

Step 5

Find a bond company. Both you and the bond company have to sign the $40,000 surety bond forms. The bond must be for three years and the bond seal must be original.

Step 6

Complete the Liability Insurance Certification forms with your insurance agent. DMV will also accept a form drawn up by the insurance company as long as it duplicates the DMV form.

Step 7

Supply dealer education certificate as furnished by the approved provider. The certificate must be the original; no copies allowed. Contact your local DMV for a list of approved dealer education providers.

Tips

  • Read documents carefully and fill out completely to avoid delays and additional fees.

Warnings

  • Watch out for free online courses. They may give you information but will not be credible to the state.

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