Planning on starting a car dealership in New York for new vehicles? You must get a New York Dealer License if:
- You plan on selling at least 5 NEW vehicles within 12 months
- You plan on displaying at least 3 NEW vehicles for sale within 1 month on your own premises
- You plan on displaying at least 3 NEW vehicles at once on your own premises
Planning on selling USED vehicles? Check out this post: How To Get An NY Used Car Dealer License.
How to get a New York Dealer License
Step #1: Complete the Original Facility Application
The cost of the application is a non-refundable $37.50 via money order or check (Include with application).
Have a previous felony? Check out this post on Getting a Dealer License With a Felony.
Step #2: Provide Sufficient Documentation
- Copy of lease, notarized statement from property owner, deed, or receipted tax bill
- Sales Tax ID Number and copy of Sales Tax Certificate of Authority
- Proof of Worker's Compensation Insurance
- Photocopy of driver license for everyone listed on application
- Receipt of purchase of dealer starter kit and signs
- Filing receipt from NYS Department of State (if your business is a Corp. or LLC)
- Business Certificate from County Clerk (if individual using assumed name or partnership)
Step #3: Secure an NY Motor Vehicle Dealer Bond
Purchase a $50,000 NY Motor Vehicle Dealer Bond from a licensed surety bond company.
Not sure how to get an Auto Dealer Bond? Use this interactive tool to help you out.
What is the Purpose of an NY Motor Vehicle Dealer Bond?
A New York Motor Vehicle Dealer Bond protects your clients should you not fulfill your job obligations. Your clients are protected should you sell a faulty vehicle or not provide a title. A New York MVD Bond is a requirement before you can licensed.
Step #4: Include Payment Fees
- Application fee: $37.50, must be sent along with the entire application and supporting documents.
- Two Year Registration Fee: $450, will be refunded if your application is not approved.
Step #5: Submit Paperwork
Submit or mail paperwork to the Commissioner of Motor Vehicles.
NYS DMV Bureau of Consumer and Facility Services
Attention: Application Unit
P.O. Box 2700
Albany, NY 12220-0700
Step #6: Wait on the Decision
Wait for the Commission of Motor Vehicles’ to process your application. Be prepared for a representative of the DMV to interview you and inspect your dealership premises during this waiting period.
If you are not approved for a dealer license, you will be refunded for the $450 Registration Fee.
For additional questions, check out the New York Dealer License How-To page.