- You are allowed to sell 4 vehicles in a 12-month period before you need to get a Louisiana dealer license. Vehicles must be registered in your name.
- If you want to sell more than 4 vehicles in a year, or if you want to start your own used car dealership, you will need to get a Louisiana Used Car Dealer License.
- If you wish to just go to auctions and buy a few cars, you still must own your own dealership or be affiliated with one (such as a salesman or buyer). The only exceptions to this are city parish or state auctions which are posted in the local paper.
How to get a Louisiana Used Car Dealer License
Step #1: Complete Louisiana Used Car Dealer License Application
Step #2: Complete a Louisiana Salesperson License Application
Each dealership must have at least one salesperson.
Important: You must submit an additional fee of $35 for each applicant if they have been convicted or pled guilty to any crime other than a traffic violation.
Worried about a felony? Check out this post on getting a dealer license with a felony.
For more information about completing your applications, view the Initial Dealer Package.
Step #3: Purchase a Louisiana Used Motor Vehicle Dealer Bond
You can purchase a bond from a surety bond agency.
You must get a $50,000 bond.** The price you pay for your bond is a small amount of this, based on your credit score. To see what you would pay for a Louisiana Motor Vehicle Dealer Bond, get a free quote:
Worried about your credit? We have bad credit options.
**As of August 1, 2016: The bond amount is $50,000 for ALL used car dealers. This was passed in House Bill 271.
Step #4: Purchase Garage Liability Insurance
A list of requirements for the garage liability insurance can be found in the Dealer Packet.
Step #5: Get a Zoning Verification Form
This form must be completed by your local zoning authority.
You are able to sell vehicles from your own front yard, as long as your front yard is zoned.
To find out if you are zoned, call your local police or zoning commission.
Step #6: Submit Last Requirements
Last requirements include:
- Installing a business phone
- Including a picture of your business sign with your application and
- Completing an Educational Training Seminar Registration form
Once the state receives your application, they will schedule you for your educational training seminar. One of the following must attend: owner, general manager, office manager, title clerk, or salesperson.
Step #7: Pay Licensing Fees
The licensing fees are as follows:
- Used Dealers License: $400 (covers you for 2 years)
- Salesperson License: $25 (covers you for 1 year)
Step #8: Submit
You can scan all documents and submit via email to firstname.lastname@example.org or you can send by mail to:
Louisiana Used Motor Vehicle Commission
3132 Valley Creek Drive
Baton Rouge, LA 70808
Applications are processed as they are received. Allow up to 14 days for your application to be processed.
If your Louisiana Dealer License Application is missing information, it will be sent back to you with what is needed to get approved.
A physical inspection of your Louisiana dealership will be conducted before your Louisiana Dealer License is issued.
License Expiration and Renewal
Louisiana Car Dealer Licenses are valid from the date they are issued OR January 1st (whichever is later).
Licenses expire on December 31. There is a $100 late fee if you fail to renew your Louisiana Dealer License by the expiration date.
For information on how to renew, view the Louisiana Used Dealer License Renewal Requirements.