Dealers · licensing · all 50 states + DC
How to get a dealer license, state by state.
Pick your state for its bond, education and lot rules, each linked to the agency that issues the license.
Or pick from the table below.
What most states ask for
Every state sets its own rules, and the agency's page governs. These steps come up in many states, not all:
- An application to the state's licensing agency, usually the DMV, a motor vehicle commission or a dealer board.
- A surety bond in an amount the state sets.
- Proof of insurance, often garage liability.
- A place of business that meets the state's rules for an office, a display lot or a sign.
- A background check on owners, sometimes with fingerprints.
- Pre-licensing education, in some states only.
If you plan to finance your own deals (buy here, pay here), some states also require a separate finance or installment-seller license. Each state page says what we found and links the source.
Every state at a glance
| State | Used dealer bond | Education required? | Finance license note? |
|---|---|---|---|
| Alabama | $50,000 (continuous; also satisfies designated-agent bond) | See the official page | — |
| Alaska | $100,000 ($25,000 motorcycle-only dealers) | See the official page | — |
| Arizona | Amount prescribed by ADOT director, not more than $100,000 (A.R.S. 28-4362) | See the official page | Yes |
| Arkansas | $25,000 (or one $100,000 bond covering all licensed locations) | See the official page | — |
| California | $50,000 (motorcycle-only $10,000) | Yes | — |
| Colorado | $50,000 ($5,000 small-utility-trailer-only dealers) | Yes | Yes |
| Connecticut | $60,000 (new and used car dealers) | See the official page | Yes |
| Delaware | See the official page | See the official page | Yes |
| District of Columbia | $25,000 (surety or cash, for 2-year license period) | See the official page | — |
| Florida | $25,000 (surety bond or irrevocable letter of credit) | Yes | Yes |
| Georgia | $35,000 | Yes | — |
| Hawaii | $25,000 (under 60 used units a month) or $100,000 (over 60); a bond is accepted only if a $50,000 inventory or flooring line of credit cannot reasonably be obtained | See the official page | — |
| Idaho | $20,000 retail ($40,000 wholesale-only; $10,000 motorcycle/ATV/UTV etc.) + $300 ICAR fund fee | Yes | — |
| Illinois | $50,000 per location (bond or CD) | Yes | — |
| Indiana | $25,000 | Yes | Yes |
| Iowa | $75,000 | Yes | Yes |
| Kansas | $50,000 (or cash/US or KS bonds deposited with State Treasurer) | See the official page | Yes |
| Kentucky | Depends on a net-worth test; the Commission may require a bond of at least $25,000 | See the official page | — |
| Louisiana | $50,000 | Yes | Yes |
| Maine | $25,000-$100,000 by prior-year sales (0-50: $25k; 51-100: $50k; 101-150: $75k; 151+: $100k); initial applicants use projected sales | See the official page | Yes |
| Maryland | $15,000-$150,000 by prior-year used sales (1-250: $15k; 251-500: $25k; 501-1,000: $35k; 1,001-2,500: $50k; 2,500+: $150k); new applicants min $15,000 based on estimated sales | Yes | — |
| Massachusetts | $25,000 (separate bond per business name and per city/town) | See the official page | Yes |
| Michigan | $25,000 | Yes | Yes |
| Minnesota | $50,000 | See the official page | Yes |
| Mississippi | $15,000 (Bond of Designated Agent) | Yes | — |
| Missouri | $50,000 (surety bond or irrevocable letter of credit) | Yes | — |
| Montana | $50,000 ($15,000 motorcycle/quadricycle-only; $5,000 snowmobile/OHV/boat-only) | See the official page | — |
| Nebraska | $50,000 | Yes | — |
| Nevada | $100,000 (most vehicle types; $50,000 motorcycles/some trailers; $10,000 light utility/boat trailers) | See the official page | — |
| New Hampshire | $25,000 (separate bond per business name and per community/place of business) | No | Yes |
| New Jersey | $10,000 | See the official page | Yes |
| New Mexico | $50,000 | Yes | Yes |
| New York | $20,000 (first-time or <=50 sales prior year); $100,000 if >50 sales | See the official page | — |
| North Carolina | $50,000 for one established salesroom + $25,000 each additional | Yes | — |
| North Dakota | $25,000 (continuous; new obligation each annual license period) | See the official page | — |
| Ohio | $75,000 (raised from $25,000 effective April 1, 2026) | Yes | — |
| Oklahoma | $25,000 (separate bond per secondary lot; $50,000 for used dealer auctions) | Yes | Yes |
| Oregon | $50,000 for each year the certificate is valid (max $10,000 payable to non-retail-customer claimants) | Yes | — |
| Pennsylvania | $20,000 (75 Pa.C.S. §1335, posted with PennDOT for dealer plates, Form MV-375); $30,000 if also an authorized agent issuing temporary plates/cards | See the official page | Yes |
| Rhode Island | $50,000 | See the official page | — |
| South Carolina | $50,000 (motorcycle dealers $25,000; wholesale auction $15,000) | Yes | Yes |
| South Dakota | $25,000 | See the official page | Yes |
| Tennessee | $50,000 corporate surety bond (two-year term) | See the official page | — |
| Texas | $50,000 Motor Vehicle Dealer's Surety Bond | Yes | Yes |
| Utah | $75,000 (new or used motor vehicle dealer) | Yes | Yes |
| Vermont | $20,000-$35,000 based on prior-year units sold (Commissioner schedule); letter of credit or CD accepted; must run registration period + 1 year | See the official page | — |
| Virginia | $50,000 (original license; corporate surety approved by AG) | Yes | — |
| Washington | $30,000 (motor vehicle dealers) | Yes | — |
| West Virginia | $25,000 | See the official page | — |
| Wisconsin | $50,000 surety bond (MV2511) or irrevocable letter of credit; separate lessor bond if leasing | No | Yes |
| Wyoming | $25,000 (executed only after application approval; form from WYDOT) | See the official page | — |
Checked against each state's official pages on October 10, 2026. A summary, not legal advice; the agency's own page governs.