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Re: How Do I Become A Car Dealer?
> James Fawcett wrote:
> >and possibly for making extra money. What I need to do is get my dealer
> >license from my state (in my case PA). Can anyone help me figure out how to
> >go about doing so and what this costs? Webpages, phone numbers, addresses
> I would kind of like to know about this too. So. . . If anyone out there
> knows anything, post it to the list, or at least to me and George both.
Usually the first step is to contact the relevant state DMV. They
will be able to tell you what the requirements are in your state. It's
the DMV "dealer" license that gets you into the auctions and gets you
"dealer" plates. You're also able (in most states) to issue temporary
Also, keep in mind that some states (Oregon is one) require you to
have a bond ($50K in Oregon) to be a dealer. If that's the case, check
with a local provider of business insurance. If this is the case in PA,
this may give you some pause, as you'll have to sell a few cars (at a
profit) to recoup the cost of the bond.
Some states will require you to have a business license (from the
relevant city/county agency) to establish that you have a "place of
business" for the purposes of obtaining a dealer's license.
In addition, the auction is going to want cash or cash equivalent
(irr. letter of credit or the like) at close.