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 BondPurchase 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 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