Steps to Open Wholesale Dealership – US Dealer Licensing

Steps to Open Wholesale Dealership – US Dealer Licensing (1)

Wholesale dealers have no permission to sell vehicles to any person, but they can sell only to other licensed dealers. This also gives wholesale dealers a plus point in some states, because they need to fulfill fewer requirements from other type of dealers. Most wholesale dealers still needs to complete few important requirements like submit auto dealer security bond before applying for dealer license, training course and some other requirements. US Dealer Licensing can help you to get your dealer license within 30 days.

Doing Business As Certificate

For wholesale dealer you have to register your business with state and get a bank account for your company. DBA certificate is the one of the standard requirement of state for wholesale license, this is required because you are a corporation and a limited partner and people who desire to work can’t register with same name as yours.

Steps to Open Wholesale Dealership – US Dealer Licensing (1)

Approve Business Location

Before going another step closer to getting a dealer license, you have to choose a business location and approve this location by Division of motorist services regional office, this step is needed when you apply for license. Later you are asked for a verified copy of approved property or ownership proof when you submit application for license.

Security Bond

Covering security bond requirements is the essential step before applying for license, without completing this step, there is no meaning for submitting license application. Normally wholesale dealer requests to apply for a bond of $25,000.

Apply for License

Once you have applied your security bond, now this is right time for apply for a wholesale dealer license. Wholesale dealer license requirements can be different according to their state; some states allow one license for all purposes and others allow different licenses for different purposes. Here are steps for apply for wholesale license:

  • State Business Registration

This is required step before applying for license, to start any business in any state, you need to register your business on a government level or from government and this will make your business legal in specific state.


  • Complete Dealer License Application

Dealer license application is important step you need to complete. Through dealer license application you have to provide your personal and business information. May be you have to answer some questions which are mentioned in application form.

With your application, you have to provide security bond information, clear dealer license training or exam.


  • Submit Application and Pay Fees

In some state you have to pay application fees as well as license fees and some other states only required one fees for application and license. After submitting all information and fees, you have to wait for your license. Once your license issued, that will send to you.

Steps to Open Wholesale Dealership – US Dealer Licensing (2)

Benefits of Getting Wholesale Dealer License

One of the major benefit of getting wholesale dealer license is you can sell unlimited number of vehicles per year, without dealer license according to every state rules you can’t sell more vehicles specified by your state in one year.

When you are getting into business of buy or sell vehicles, your aim is to earn great profit, for this you have to find great deals on automobiles. Once you get wholesale dealer license you can attend all only dealer auctions in your state or country. In auctions you can buy branded cars on cheap cost sometimes and then get some huge benefit by selling these cars.

Once you get wholesale dealer license, you will get four dealer plates. These plates allows you to drive purchased cars in the state, if by chance vehicle get damaged by any type of accident then this damaged covered under insurance policy.

Get a wholesale dealer license also benefits in starting your own business. Auctions are main source of get high profit, sometimes you get new cars from there in faction of cost and then selling these cars will benefit you with great profit.

License also can use for identity proof, this will benefits you with relaxation on tax. You also get some tax breaks for running own business in state and contributing for economy.

Getting license will benefits you personally also, if you want a new car for yourself, in that case you can get great discount because of your access to dealer only auctions.

Easy Steps to Get Vehicle Dealer License

Easy Steps to Get Vehicle Dealer License – US Dealer Licensing

Are you thinking to start a business in which you can earn huge profits? Buying and selling vehicles can benefit your large profits. For selling or buying cars or vehicles legally, you have to get car dealer license.  US Dealer Licensing can help to get dealer license easily and provides huge variety of opportunities to dealers in buying and selling vehicles and also help you to establish a new business.

Easy Steps to Get Vehicle Dealer License – US Dealer Licensing

Every state has different rules and requirements to get dealer license. You can get wholesale license, auto dealer license, used car dealer license or auto auctions license. There is no limit on selling cars per year, if you have auto dealer license otherwise there is limit on sell cars set by state where you live.

With car auctions license you can attend auctions, buy expensive used cars from there on low cost and then sell these cars to customers on high cost to get profit. Dealer license will help you to attend auctions that are only for dealers. There are some steps to follow to get car dealer license and get entry to business.

Choose Vehicle Dealership Type License

Every state has its specific requirements for get license and these requirements vary according to type of license you choose. Some common types of license are

New Vehicle Dealer License

Used Vehicle Dealer License

Wholesale Dealer License

As we already discuss in start, requirements for all of these licenses are different across each state. In some states there you need different license for different purposes and some states permit to use one license for all.

Fulfill All Requirements

When you know requirements and decided which license type you want to choose, then you have to take proper steps to satisfy them. Some of requirements you have to meet are

  • You have to attend some pre-licensing dealer trainings.
  • Meet zoning requirements.
  • Provide a permanent business location where you will start your business.
  • Obtain legal responsibility insurance.
  • You have to submit criminal record check to proof you have no criminal record in past or present.

Obtain Vehicle Dealer Bond

You will need your bond to submit application for your license. Car dealer bond will help your customers by ensuring that you are following rules set by your state. Make sure you get your bond from auto dealer bond expert to avoid any delays.

Easy Steps to Get Vehicle Dealer License – US Dealer Licensing (2)

Submit Application for Vehicle Dealer License

State’s DMV or license division will provide you applications and paperwork to fill out. Fill out all the paperwork and submit your application to DMV along with your auto dealer license bond. While submitting your application, once double check all the information because errors will interrupt application approval time.

Receive Vehicle Dealer License

After submitting all the information to the license division, they will review your application and after meeting all requirements for vehicle dealer license, if application approved. They will send your license directly to you.