Dealer License Requirements by State
Each state sets its own rules for who needs a used car dealer license, how big the surety bond is, and which agency issues it. Pick your state for the full breakdown with links to the official sources. New to licensing? Start with the step-by-step guide to getting a dealer license.
| State | Licensing agency | Surety bond | License needed at |
|---|---|---|---|
| Alabama | Alabama Department of Revenue, Motor Vehicle Division | $50,000 | See state page |
| Alaska | Alaska Division of Motor Vehicles | $100,000 (tiered; see state page) | 5+ sales in a year |
| Arizona | Arizona Department of Transportation, Motor Vehicle Division (MVD) - Dealer Licensing | See state page | 7+ sales in a year |
| Arkansas | Arkansas Department of Public Safety / Division of Arkansas State Police, Used Motor Vehicle Dealer Section | $25,000 (tiered; see state page) | 5+ sales in a year |
| California | California Department of Motor Vehicles (DMV), Occupational Licensing | $50,000 (tiered; see state page) | See state page |
| Colorado | Colorado Department of Revenue, Auto Industry Division / Motor Vehicle Dealer Board | $50,000 (tiered; see state page) | 3+ sales in a year |
| Connecticut | Connecticut Department of Motor Vehicles (DMV) | $60,000 | See state page |
| Delaware | Delaware Division of Motor Vehicles | See state page | 5+ sales in a year |
| District of Columbia | DC Department of Licensing and Consumer Protection (DLCP), in coordination with DC DMV | $25,000 | See state page |
| Florida | Florida Department of Highway Safety and Motor Vehicles (FLHSMV) | $25,000 | 3+ sales in a year |
| Georgia | Georgia Secretary of State – State Board of Registration of Used Motor Vehicle Dealers and Used Motor Vehicle Parts Dealers | $35,000 | See state page |
| Hawaii | Hawaii Motor Vehicle Industry Licensing Board (Dept. of Commerce and Consumer Affairs), under HRS Chapter 437 | See state page | 3+ sales in a year |
| Idaho | Idaho Transportation Department, Vehicle Services / Dealer Services | $20,000 (tiered; see state page) | 5+ sales in a year |
| Illinois | Illinois Secretary of State, Vehicle Services Department (Dealer & Remitter Licensing) | See state page | See state page |
| Indiana | Indiana Secretary of State, Auto Dealer Services Division | $25,000 | 12+ sales in a year |
| Iowa | Iowa Department of Transportation (Motor Vehicle Division) | $75,000 | 7+ sales in a year |
| Kansas | Kansas Department of Revenue, Division of Vehicles, Dealer Licensing Bureau | $50,000 | 5+ sales in a year |
| Kentucky | Kentucky Motor Vehicle Commission | Up to $100,000 | See state page |
| Louisiana | Louisiana Used Motor Vehicle Commission (LUMVC) | $50,000 | 5+ sales in a year |
| Maine | Bureau of Motor Vehicles, Department of the Secretary of State | $25,000 (tiered; see state page) | 6+ sales in a year |
| Maryland | Maryland Department of Transportation Motor Vehicle Administration (MVA) | $15,000 (tiered; see state page) | 3+ sales in a year |
| Massachusetts | Massachusetts Registry of Motor Vehicles (RMV) / local licensing authority under M.G.L. c. 140 | $25,000 | See state page |
| Michigan | Michigan Department of State (Business Licensing and Regulation Section) | $25,000 | 5+ sales in a year |
| Minnesota | Minnesota Department of Public Safety, Driver and Vehicle Services (DVS) | $50,000 | 6+ sales in a year |
| Mississippi | Mississippi Department of Revenue, Motor Vehicle Licensing Bureau | $15,000 | See state page |
| Missouri | Missouri Department of Revenue, Motor Vehicle Bureau (Dealer Licensing Section) | $50,000 | 8+ sales in a year |
| Montana | Montana Department of Justice, Motor Vehicle Division | $50,000 (tiered; see state page) | See state page |
| Nebraska | Nebraska Motor Vehicle Industry Licensing Board (MVILB) | $50,000 (tiered; see state page) | See state page |
| Nevada | Nevada Department of Motor Vehicles, Compliance Enforcement Division (Occupational and Business Licensing) | $100,000 (tiered; see state page) | See state page |
| New Hampshire | New Hampshire Division of Motor Vehicles (Department of Safety) | $25,000 (tiered; see state page) | 5+ sales in a year |
| New Jersey | New Jersey Motor Vehicle Commission (MVC), Business Licensing Services Bureau | $10,000 | See state page |
| New Mexico | New Mexico Motor Vehicle Division (Taxation and Revenue Department) | $50,000 | 5+ sales in a year |
| New York | New York State Department of Motor Vehicles | $20,000 (tiered; see state page) | See state page |
| North Carolina | North Carolina Division of Motor Vehicles, License and Theft Bureau (NCDOT) | $50,000 (tiered; see state page) | 5+ sales in a year |
| North Dakota | North Dakota Department of Transportation, Motor Vehicle Division | $25,000 | See state page |
| Ohio | Ohio Bureau of Motor Vehicles / Ohio Motor Vehicle Dealers Board | $75,000 | See state page |
| Oklahoma | Oklahoma Used Motor Vehicle, Dismantler, and Manufactured Housing Commission | $25,000 | See state page |
| Oregon | Oregon Driver and Motor Vehicle Services (DMV), Oregon Department of Transportation | $50,000 | See state page |
| Pennsylvania | Pennsylvania Department of State, State Board of Vehicle Manufacturers, Dealers and Salespersons (licensing); PennDOT Bureau of Motor Vehicles (registration/bond) | $20,000 | See state page |
| Rhode Island | Rhode Island Division of Motor Vehicles (Dealers' License & Regulation Office) | $50,000 | 5+ sales in a year |
| South Carolina | South Carolina Department of Motor Vehicles (SCDMV) | $50,000 | 6+ sales in a year |
| South Dakota | South Dakota Department of Revenue, Motor Vehicle Division | $25,000 | See state page |
| Tennessee | Tennessee Motor Vehicle Commission (Dept. of Commerce & Insurance) | $50,000 | 6+ sales in a year |
| Texas | Texas Department of Motor Vehicles (TxDMV), Motor Vehicle Division | $50,000 | See state page |
| Utah | Utah Motor Vehicle Enforcement Division (MVED), Utah State Tax Commission | $75,000 (tiered; see state page) | See state page |
| Vermont | Vermont Department of Motor Vehicles (DMV), Dealer Services | $35,000 (tiered; see state page) | 12+ sales in a year |
| Virginia | Virginia Motor Vehicle Dealer Board (MVDB) | $50,000 | 5+ sales in a year |
| Washington | Washington State Department of Licensing (DOL) | $30,000 | 5+ sales in a year |
| West Virginia | West Virginia Division of Motor Vehicles (WV DMV), Dealer Services | $25,000 | 10+ sales in a year |
| Wisconsin | Wisconsin Department of Transportation (WisDOT), Division of Motor Vehicles | $50,000 (tiered; see state page) | 6+ sales in a year |
| Wyoming | Wyoming Department of Transportation (WYDOT), Motor Vehicle Services | $25,000 | 3+ sales in a year |
Not legal advice. Where a state sets several bond amounts, the first one it publishes is shown; the state page lists them all. Confirm with the agency before you apply.