How to get a used car dealer license in Florida
A practical walkthrough of the Independent Motor Vehicle Dealer application — fees, bond, timeline, and what to expect at each step. Verified against the official agency as of June 2026.
Getting a Independent Motor Vehicle Dealer used-car dealer license in Florida:
- Surety bond required
- $25,000
- Application fee
- $75 (initial application)
- License term
- Annual — expires December 31
- Typical timeline
- 3 – 6 weeks from application to license
- Typical first-year cost
- $800 – $1,800
This guide is informational and does not replace official Florida requirements. Always verify with Florida Department of Highway Safety and Motor Vehicles (DHSMV) before applying.
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Who can apply for a Independent Motor Vehicle Dealer license
An Independent Motor Vehicle Dealer license is Florida's authorization for businesses that buy and sell used vehicles (excluding franchise dealers). It is issued by the Florida Department of Highway Safety and Motor Vehicles (DHSMV) and required before making any vehicle sale for profit.
In Florida this is also commonly called an auto dealer license, car dealer license, or motor vehicle dealer license — all the same Independent Motor Vehicle Dealer authority to sell used vehicles.
- 18 years of age or older
- An established place of business in Florida with a permanent building, adequate display space, and a sign visible from the street
- A working phone number listed in your business name
- Proper zoning for vehicle sales (county/municipal zoning approval required)
- A completed pre-licensing course from a DHSMV-approved provider (within 12 months of application)
- A Florida sales and use tax certificate of registration
- No felony conviction for fraud, theft, or related crimes within the last 5 years
- Fingerprint-based background check via LiveScan
Step-by-step process
- 1
Complete the pre-licensing course
Florida requires an 8-hour pre-licensing dealer course from a DHSMV-approved provider before you can apply. The course covers Florida dealer law, title and lien procedures, odometer disclosure, consumer protection, and auction practices. You can complete it in person or online. Keep your certificate of completion — it must be submitted with your application and is valid for 12 months.
- 2
Secure a compliant business location
Florida requires a physical lot zoned for motor-vehicle sales. Your location needs: a permanent building (office), a sign displaying your dealership name visible from the road, adequate vehicle display space, and a bathroom accessible to customers. Some counties require a certificate of use or business tax receipt — check with your local county office.
- 3
Register your business and obtain tax credentials
Form your LLC or corporation with the Florida Division of Corporations (sunbiz.org) or register a fictitious name (DBA). Obtain a Federal EIN from the IRS. Then register for a Florida sales and use tax certificate through the Department of Revenue (floridarevenue.com). You must collect and remit 6% state sales tax (plus applicable county surtax) on vehicle sales.
- 4
Obtain a $25,000 surety bond
Florida requires a $25,000 continuous surety bond naming the Florida Department of Highway Safety and Motor Vehicles as obligee. Annual premiums typically run $125–$350 depending on credit. The bond must be executed by a surety company authorized in Florida.
- 5
Complete LiveScan fingerprinting
All principals, officers, and directors of the dealership must complete a LiveScan fingerprint background check at a DHSMV-approved site. Schedule at a local tax collector's office or an FDLE-approved vendor. Results are sent directly to DHSMV — you don't submit them yourself.
- 6
Apply at your local county tax collector's office
Florida dealer applications are processed through the county tax collector's office, not directly through DHSMV. Bring your pre-licensing course certificate, surety bond, proof of business registration, sales tax certificate, photo ID, and the $75 application fee. The tax collector forwards everything to DHSMV for approval.
- 7
DHSMV review and license issuance
DHSMV reviews your application and may conduct a lot inspection. Once approved, your license is mailed to your business address. Display it prominently in your office. You can then order dealer plates from the tax collector's office.
Florida dealer license cost — fees breakdown
| Item | Amount |
|---|---|
Application fee Per location, per year | $75 |
Pre-licensing course | $75 – $200 |
Surety bond premium (est.) Good credit ~$125 | $125 – $350/yr |
LiveScan fingerprinting Per person | $75 – $100 |
Dealer plates (each) | $75 – $125 |
Business formation (LLC) Florida Division of Corporations | $125 |
Sales tax registration | Free |
Surety bond requirement
Florida requires every used-vehicle dealer to post a $25,000 surety bond. The bond protects buyers from misconduct (odometer fraud, undisclosed liens, deceptive trade practices) and the state from unpaid taxes.
You don't pay the full bond amount up front — you pay an annual premium to a surety company, typically $125 – $350 per yearof the bond's face value. Your actual premium depends on personal credit and business history.
Florida's bond must be continuous and executed by a licensed surety company. If you operate multiple locations, each location requires its own bond. The bond protects consumers against fraud, misrepresentation, or title issues — DHSMV can make a claim on the bond for validated consumer complaints.
Renewal
Florida dealer licenses expire December 31 annually. Renew online through the DHSMV dealer portal or at your county tax collector's office before expiration. Renewal fee is $75. Operating with an expired license is a misdemeanor. Budget time for bond renewal (your surety will send a renewal notice) and any required continuing education that may apply.
Common questions
How many cars can I sell in Florida without a dealer license?+
Florida law presumes dealer activity if you sell more than two motor vehicles in a 12-month period. Selling three or more vehicles per year without a license is a second-degree misdemeanor for the first offense and escalates to a first-degree misdemeanor for subsequent violations.
Can I sell cars from my home in Florida?+
No. Florida requires a physical, commercially zoned place of business. A residential address is not an 'established place of business' under Florida Statute 320.27. You need a separate commercial location.
Do I need a separate license for each Florida location?+
Yes. Each additional lot or location requires its own dealer license application, fee, and surety bond. If you open a second location, apply for it through that county's tax collector's office.
Can a felon get a dealer license in Florida?+
It depends on the offense. DHSMV conducts a background check on all principals. Felony convictions for fraud, theft, motor-vehicle title fraud, or related crimes within the past 5 years are typically disqualifying. Other felonies are reviewed on a case-by-case basis. Disclose everything — omitting a conviction is grounds for denial or revocation.
What does the pre-licensing course cover?+
The 8-hour course covers Florida dealer statutes, title and registration procedures, odometer disclosure requirements, consumer protection (FTC Buyers Guide, Reg Z), auction rules, and common compliance violations. It is available online and in person from DHSMV-approved providers.
Does Florida require a DMS for title transfers?+
Florida does not mandate a specific DMS, but electronic title transfers (e-titles) are processed through the DHSMV dealer portal. Your DMS should generate the required title paperwork (HSMV 82040 for vehicle titles) that you then submit to the tax collector's office or handle electronically.
How much does a Florida dealer license cost?+
Plan for about $800 – $1,800 in the first year. That covers the $75 (initial application) application fee and the $25,000 surety bond — you pay an annual premium of roughly $125 – $350 per year of the bond, not the full amount — plus business-formation, facility, and dealer-plate costs. See the full fees breakdown above.
How do I get dealer plates in Florida?+
Dealer plates are separate from the license itself. Once your Independent Motor Vehicle Dealer license is approved, you apply for dealer plates and pay a per-plate fee (listed in the fees breakdown above). You can't obtain dealer plates before the license is issued.
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