Are you interested in selling vehicles to customers? Do you want to be known as a one-stop solution to buy, sell, and display the best motor vehicles in your area? Well, this is possible if you get a car dealership license.
- Determine the License you are looking for
The first step you need to do is to identify the type of license that you need. There will be a different need and requirement for every state as far as car dealership is concerned. The Department of Licensing or the Department of Motor Vehicles will be of great help to you in guiding you through the initial steps of getting a car dealership license. They will help you out with what is needed as far as licensing is concerned and also guide you through the paperwork needed to apply for the license. The options for licenses are:
- Used vehicle dealer license
- New vehicle dealer license
- Wholesale vehicle dealer license
- Be Aware of what’s in the Application Forms
After you have made the decision to the kind of motor vehicle license you want, the next thing to do is to download or get physical access to all the required application forms for getting the license. Go through the detailed form fully before you start filling it. You can then have a plan in your mind with the responses for each and every question. It is very important to have a solid idea about the car dealership you are looking at before entering the details in the form. The details that might be asked in the form includes the lot size, the business hours, filing systems, the office space requirements, phone lines, etc.
- Fulfill the Requirements
The requirements that you need to meet to avail a car dealer license vary from state to state. Some of the general and must needed guidelines you need to fulfill will include:
- Business registration.
- Compliance with local zoning.
- Pass in the background check.
- Employer Identification Number (EIN) for partnership, limited liability company, limited partnership business or corporation.
- Surety bond for a period of one to two years depending on the state.
- Insurance proof.
3.1: Have a Business Plan
It is very important that you have a proper business plan in place before you start the business or before you submit your car dealer license application. You should be clear in your mind and also show it to the financiers and the licensing authorities that you are committed to the business and want to see it prosper. You need to have a strong vision, good objectives, and goals about the business. There must be detailed and deep research done about the dealership and also have detailed information about the finances like the projected costs and the returns.
3.2: Ready your Retail Space
It is important to secure the place where you would be selling or displaying our vehicles. The details about the space you have rent out for dealership purpose has to be a part of the application process. It is also important that you ensure that all the necessary things needed to run the business at the location are established, like a signboard that indicates the name of the business, working telephone numbers, good frontage, etc. Carrying the photographs of the proposed site where you will be doing the business in the application is a good idea. Make sure that the location you have chosen is inspected by a DMV inspector.
- Submission of the Application
Once you have got all the necessary documentation and the essential paperwork ready, you can move on with the submission process. Before you make the submission, please cross check all the documentation once again to make certain that you have everything in readiness and have not left any important papers. Never ever skip through the final checking up of documents and this can really save your money and time in the long run. If you need, you can download the application checklist from the respective site.
It is advised that you gather all information and the additional documents needed before filling the original application form. Doing a dress rehearsal before filing on the originals is always a good idea. You will have to pay off the necessary application fees along with the documents so that the authorities will start working on the application. Also, make sure that you make copies of all the documents that you are submitting including the application form for reference.
- Wait for the License
It is the waiting game that you need to go through after you have submitted the dealership license application form. There is no way one can tell as to how much time or in how many days the application will be processed and it would also differ from one state to the other. It can take anywhere between 3 to 4 months and sometimes more.
How do I become a car dealer with no lot?
- Must have an enclosed office.
- Books and records safely stored.
- Electrical service.
- Facility used exclusively for dealer business.
- Parking Spaces (note it does not say lot)
- Permanent signing with letters at least 6 inches tall.
- Must comply with local regulations and zoning.
How much is a Michigan dealers license?
How much does it cost to get a dealer’s license in Texas?
How many cars can you sell in a year in Texas?
Is car flipping illegal?
Is car flipping profitable?
What are the easiest cars to flip?
- 1. Japanese Cars. If you’re new to the flipping game, Japanese economy cars are a great place to start.
- Classic Cars. Cars from the 1950s and 1960s are the reason so many people turn out for car shows.
- Pick-Up Trucks.
- Pre-War Cars.
- Sports Cars.
At what speed can a car flip?
How much money do you need to start flipping cars?
How do you make money flipping cars?
How do I start flipping houses with no money?
- Private Lenders.
- Hard Money Lenders.
- Partner With House Flipping Investors.
- Home Equity.
- Option To Buy.
- Seller Financing.
How do I start flipping houses?
- Step 1: Research a range of real estate markets.
- Step 2: Set a budget and business plan.
- Step 3: Line up your financing BEFORE you need it!
- Step 4: Start networking with contractors.
- Step 5: Find a house to flip.
- Step 6: Buy the house.
- Step 7: Renovate.
- Step 8: Sell it!