Dealer and Salesperson License
Listed below are the forms needed to apply for franchised or independent motor vehicle dealer's license, dealer license plates and salesperson's licenses.
All applicants for an original motor vehicle dealer's license must pay an annual fund fee of $250.00 each year for three (3) consecutive years. In addition to the Motor Vehicle Transaction Recovery Fund, applicants are required to furnish a $50,000 surety bond for three (3) consecutive years.
| Description: | License Fees: |
|---|---|
| Dealer License (DSD-10) | $200 |
| Dealer Annual Fund Fee | $250 |
| Salesperson License Fee (DSD-7) | $ 25 |
| -------- | |
| TOTAL: | $475 |
| Criminal History Check (MVDB 21) | $10.00 (If applicable) |
Application for a dealer's license must include the name of a certified dealer-operator before the application will be processed. Each salesperson applicant must also be certified. The dealer-operator and salesperson certificates of qualification may be obtained by successfully completing an examination administered at a local DMV branch office, and payment of a $50 exam fee. If you desire to purchase dealer license plates, you must complete the enclosed application form DSD-9. You must also certify automobile liability insurance coverage for each plate and must maintain liability insurance as long as the dealer plate remains valid.
Dealerships may purchase a maximum of four plates per licensed salesperson. The first two plates are $30 each, third and any subsequent plates are $26 each. A sign must be displayed in the public sales area of the dealership with the amount of the processing fee charged, if any. The sign must be no smaller than eight and one-half by eleven inches (8½ x 11) and in print of at least one-half inch.
Each dealership owner, partner and/or officer of the dealership, each dealer-operator and all salespersons are required to complete and submit a Criminal History Form along with all other applications.
Effective July 1, 1997 initial applicants will have the option of either providing their own criminal history background check as obtained from the Department of State Police for $15.00 or the Board will provide this service for a fee of $10.00.
The following additional requirements must be attached or included in the application.
- The location of the business must be either owned or leased by the applicant. The specific address must be shown on the application. Post Office Box mailing address alone may not be acceptable.
- Provide a $50,000 surety bond executed from a corporate surety company licensed to do business in the Commonwealth.
- A copy of your "Buyer's Order" for approval, which must include items outlined in the enclosed copy of Code Section 46.2-1530. Be sure that "Buyer's Order" includes an item designed as "processing fee" and in the amount charged, if any. For sales involving dealer arranged financing, your buyer's order must indicate this information.
- Written proof of local zoning approval, which includes the sale and display of motor vehicles, must accompany the application.
- Proof that the corporation has been registered with the Virginia State Corporation Commission (SCC). Any "trading as" or fictitious name must be first filed through local courts. Proof of court filing and a fee of $10 mailed to the SCC. Please furnish proof of this filing.
- Franchised dealers must attach a copy of the franchise agreement or original franchise letter that includes the manufacturer's or distributor's service agreement. The manufacturer or distributor must also be licensed by the Department of Motor Vehicles, Dealer Services Division.
Upon receipt of your application with appropriate fees and enclosures, an on-site inspection will be requested to be conducted by our representative to determine if the dealership meets the established place of business requirements as outlined in the Virginia Motor Vehicle Dealer Licensing Laws.
Please Note: Upon Completion of 3 consecutive years without a claim against the bond or the fund, the bond requirement and fund fee would be dropped.
If you have any questions, please feel free to call (804) 367-1100, or write to the mailing address:
Motor Vehicle Dealer Board
2201 W. Broad Street Suite 104
Richmond, VA 23220