Want to become a motor vehicle dealer in Kansas? You’ll have to meet some requirements and get licensed and bonded. Here are the steps you need to take to get your Kansas Motor Vehicle Dealer License:
Not sure if you need a dealer license? Check out this post on selling cars without a license.
Short on time? Check out our Car Dealer License FAQ.
How to Start a Car Dealership in Kansas
Step #1: Meet Initial Requirements
- Establish a place of business
- Purchase liability and property damage insurance
- Prove tax clearance
- Many more
For a full list of requirements, click here.
Be sure to meet all requirements before applying for a Kansas Dealer License. You will need to provide proper proof of meeting all the requirements WITH your application, so meeting the requirements is the first step you need to take.
Step #2: Purchase Kansas Motor Vehicle Dealer Bond
Unless you are a manufacturer, distributor, factory branch, lending agency, or manufactured home dealer, you will need to purchase a Kansas Motor Vehicle Dealer Bond. Kansas has set the bond amount at $30,000.
Not sure how to get a Kansas Motor Vehicle Dealer Bond? Use this interactive tool to help you out.
Step #3: Apply for Kansas Dealer License
Complete the Application for a Vehicle Dealer’s License
Your local county treasurer’s office will need to sign the application to prove you do not owe any personal property taxes.
Step #4: Submit Kansas Dealer License Application
Send your Kansas Dealer License Application, fees, proof of Kansas Motor Vehicle Dealer Bond, and all other necessary paperwork and requirements to the address below.
Kansas Department of Revenue
Division of Motor Vehicles
P.O. Box 12021
Topeka, KS 66612-2021
Step #5: Wait to be approved
Allow up to four weeks for your application to be processed.
As soon as you get approved, your Kansas Motor Vehicle Dealer License will be mailed to you.
For more information, the Kansas Department of Revenue’s Dealer Licensing and Salesperson’s Handbook contains everything you need to know.
License Expiration and Renewal
Do you know when your motor vehicle dealer license expires? Check out this awesome infographic.
Kansas motor vehicle dealer licenses expire on December 31st of the year they were issued. Fees for renewing your license are the same as getting your license for the first time.
Fees must be paid each calendar year you are in business. Fees for new, used, salvage, wholesale, and auction motor vehicle dealer are all $75.
More About the Kansas Dealer Bond
A Kansas Motor Vehicle Dealer Bond (also known as a Kansas Auto Dealer Bond) guarantees that you will act in accordance with all federal, state, and local laws, as well as tax guidelines, that relate to motor vehicles. The bond protects your customers from fraud or misrepresentation during a sale of a motor vehicle.
The price of your Kansas Motor Vehicle Dealer bond will vary from person to person. Major factors in determining rate are credit score, financial credentials, and how you choose to finance your bond premium. To find out what your dealer bond would cost you, use the bond cost calculator or click the button below to get started on your dealer bond application.
Have bad credit? We can still get you bonded. Check out our bad credit options.
Nervous about paying for your bond? We can help you finance.