There
are car dealers in California who sell new vehicles, and dealers who sell used
vehicles. New
vehicle dealers are franchised by the automaker and follow that company's
operational policies and they are allowed to sell used vehicles, too. Dealers
of used vehicles may not sell any new cars
If
you want to sell cars in California, you will have to obtain your dealer
license first. The DMV has special inspectors who review your application and
issue occupational licenses, such as those for dealers. These inspectors
operate out of their offices throughout California. For general licensing
questions call 916 229-3126.
All
applicants for dealer license California
will be required to undergo a criminal background check. The DMV is looking for
not only crimes, but examples of "moral turpitude" that suggest that
someone wouldn't run an ethical dealership. This background check is not cheap,
but if you're not sure whether you are eligible for a dealer license in
California due to a previous conviction, the DMV allows you to file an
abbreviated application. You'll still have to pay a $175 application fee, but
the state will let you know whether it would grant you a license before you start
setting up your business, obtaining a surety bond etc.
Whether you want to sell new or used
cars, you will need to file an application for a dealer license. This is a
little bit complicated, because the state wants to see all sorts of
documentation regarding your business. This includes proof of insurance, your
business license, evidence of proper bonding, franchise agreements, photos of
your dealership and other paperwork.
Other
documentation you need to have in order to obtain your dealer license in
California:
- Original certificate of
completion from the dealer education provider (used car dealer applicants
only).
- Copy
of city and/or county business license.
- Copy
of resale permit from the state's Board of Equalization
- Fictitious
business name statement copy.
- Copy
of the lease or rental agreement for the facility.
- Photographs
of the facility showing the main entrance, the sign, the vehicle display area
and a general image of the location.
How long do I have to wait for the dealer license in
California?
It can
take up to 120 days to process your dealer license application and run a
background check.
How
much do I need to pay for it?
- $1
Family Support Program fee
- $100
Autobroker fee (in addition to application fee)
- $70
for each branch location
- $225
New Motor Vehicle Board fee
- $58
for each automobile dealer plate (optional), plus county fees
- $60
for each motorcycle dealer plate (optional), plus county fees
- Your license expires annually
- Every
two years, you also must supply proof of continuing dealer education.
- You
should send your renewal application and other documentation to the address listed
on the back of the form
Information on Dealers License, LLC
Dealers License, LLC is based in Greenville, South Carolina and helps clients across the country acquire their dealer license. They can assist you whether you are looking for a wholesale or retail dealer license, either of which allow you to access the dealer-only auctions mentioned above as well as buy and sell within the company's retail network. They will also help you 24/7 with marketing assistance, mentoring and coaching. If you would like to learn more, check out: https://www.dlcnetwork.com/.
Dealers License, LLC is based in Greenville, South Carolina and helps clients across the country acquire their dealer license. They can assist you whether you are looking for a wholesale or retail dealer license, either of which allow you to access the dealer-only auctions mentioned above as well as buy and sell within the company's retail network. They will also help you 24/7 with marketing assistance, mentoring and coaching. If you would like to learn more, check out: https://www.dlcnetwork.com/.
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