Dealers · licensing · South Dakota
How to get a dealer license in South Dakota.
What it takes to get a used car dealer license in South Dakota, with a link to the official page for every fact.
Checked October 10, 2026 against the official pages linked below. Licensing agency: South Dakota Division of Motor Vehicles.
The requirements
| Licensing agency | South Dakota Division of Motor Vehicles · source |
|---|---|
| Surety bond (used dealer) | $25,000 · source |
| Pre-licensing education | See the official page |
| Place of business | Enclosed commercial structure open to public at least 20 hrs/week (8am-8pm) with improved display area adjoining for at least 5 vehicles; heated/lit office; posted hours and phone; permanent exterior sign legible from public right-of-way; zoning letter; $300,000 public liability insurance. · source |
| License fee | $300 initial application; $175 annual renewal · source |
Steps
- Start with the licensing agency, South Dakota Division of Motor Vehicles: read its dealer page and get the current application.
- Set up your place of business: Enclosed commercial structure open to public at least 20 hrs/week (8am-8pm) with improved display area adjoining for at least 5 vehicles; heated/lit office; posted hours and phone; permanent exterior sign legible from public right-of-way; zoning letter; $300,000 public liability insurance.
- Buy a surety bond: $25,000.
- Submit the application with the fee: $300 initial application; $175 annual renewal.
- If you will finance your own deals, check the separate finance license below before your first contract.
Built from the facts above. Insurance, background checks and zoning rules may also apply; the agency's page has the full list.
Planning to finance your own deals?
South Dakota's Division of Banking licenses money lenders, which it says includes creating and holding retail installment contracts; ask the Division whether your setup is covered. Source.
This is a summary, not legal advice. The agency's own page governs. All states