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.
If you are unsure if you need a New York Dealer License, check out this post on “Do I Need a Dealer License To Sell Cars?”
How to get a New York Dealer License
Step #1: Complete the Original Facility Application
Have a previous felony? Check out this post on “Getting a Dealer License With a Felony.”
Step #2: Provide other 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: Purchase a 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 a NY Motor Vehicle Dealer Bond?
A New York Motor Vehicle Dealer Bond is a type of surety bond that protects your clients should you not fulfill your job obligations. If someone feels you are running an unethical business, they can make a claim against your bond.
This is not the same as insurance.
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
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 to be approved
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.
License Expiration and Renewal