Florida Dealer Licensing Guide
Getting Your Florida Motor Vehicle Dealer License
An orientation to the process, what to expect, in what order, and who to ask.
Before You Begin
This guide is a general orientation only. It is not legal, financial, tax, or licensing advice. Requirements, fees, and bond amounts are set by the State of Florida and change from time to time.
Always confirm every current requirement directly with the Florida Department of Highway Safety and Motor Vehicles before you spend money or submit anything.
The authority on this process
Florida Department of Highway Safety and Motor Vehicles (FLHSMV)
Bureau of Dealer Services
Applications are submitted to the Motorist Services Regional Office responsible for your dealership, not to a single central address. Find your regional office and your compliance examiner through FLHSMV.
Florida Department of Highway Safety and Motor Vehicles
The governing law
Sections 320.27, 320.77, and 320.771, Florida Statutes, and Florida Administrative Code 15C-7.003 and 15C-7.004 govern important parts of the dealer licensing process.
The physical requirements for your location, display space, and office are spelled out in the Administrative Code. Read them before you sign a lease.
Welcome and Congratulations
Opening a dealership is a serious undertaking, and the licensing process is the first real test of it.
Florida's process has a distinctive feature: much of it runs through a regional office and a compliance examiner assigned to your area, and that examiner is a resource, not just an obstacle.
Wayne Reaves has worked alongside independent dealers for years. We are not a licensing service and we do not file on your behalf. But we have watched a lot of people go through this, and we know what the road looks like. This guide lays out the shape of it so you know what is coming.
When you are licensed and ready to open your doors, we would like to be the software that runs your dealership. Until then, we are happy to be a familiar voice.
Do you actually need a license?
In Florida, you generally need a motor vehicle dealer license if you buy, sell, offer for sale, display for sale, or deal in three or more motor vehicles within any 12-month period.
The threshold is different, just one, for mobile homes and recreational vehicles.
If you are near the line, confirm your situation with FLHSMV rather than guessing.
The Shape of the Process
Florida divides this into pre-license steps and license steps. That structure is worth respecting because the pre-license work genuinely comes first.
- 01 Choose Your License Type Determine which Florida dealer license category fits the business you intend to operate.
- 02 Confirm Your Location Identify your regional office and compliance examiner and confirm the property meets state and local requirements.
- 03 Complete Dealer Training Take an approved pre-licensing dealer training course and keep the completion certificate.
- 04 Set Up the Business Obtain an EIN, Florida sales tax number, and complete the required business and fictitious name registrations.
- 05 Bond & Insurance Obtain the correct surety bond or other permitted security and the required insurance coverage.
- 06 Electronic Fingerprinting All dealership officers complete electronic fingerprinting before the application is submitted.
- 07 Submit the Application Send the completed application, supporting documents, and fee to the Motorist Services Regional Office responsible for your dealership.
The step people skip, at real cost: Contact your compliance examiner and confirm the location meets requirements before you sign a lease.
Florida publishes physical standards in the Administrative Code, and the state inspects. Signing a lease on a property that cannot be licensed is one of the most expensive mistakes you can make in this process.
Why we do not list dollar amounts here: Bond amounts, application fees, insurance minimums, and renewal fees are set by statute and rule, and they change.
Get current numbers from the FLHSMV application form and instruction booklet and from a licensed surety or insurance agent.
Choosing Your License Type
Florida issues distinct dealer license categories.
The one most independent used car dealers need is the independent dealer license, for businesses selling used motor vehicles.
Other categories cover:
- Franchise dealers selling new vehicles under a manufacturer agreement
- Wholesale dealers who sell only to other licensed dealers
- Auctions
- Salvage dealers
- Mobile home dealers
- Recreational vehicle dealers
The category matters because requirements differ.
Training course length differs by category. Insurance options differ. Independent, auction, and wholesale applicants have a flexibility that franchise dealers do not. Salvage dealers are exempt from the insurance requirement entirely.
Get this right first. Everything downstream depends on which license you are applying for.
If you are unsure which category fits your business plan, ask your regional office before you spend anything.
Your Business Location
Florida sets specific standards for your location, display space, and office, published in Florida Administrative Code 15C-7.003 for motor vehicle dealers.
The state does not treat this loosely. A compliance examiner will inspect the property.
The location must also satisfy local zoning, which is a separate matter from state licensing and is handled by your city or county. You will generally need written proof of zoning approval.
The order matters
- Locate your regional office and compliance examiner.
- Review the physical requirements in the Administrative Code.
- Have the location looked at.
- Then sign the lease.
Florida's own guidance tells applicants to hold off on signing until the location has been through this process.
A copy of the executed lease is part of your application packet, so the property decision is locked in early.
Pre-Licensing Dealer Training
Florida requires all applicants to complete a pre-licensing dealer training course from a school approved by FLHSMV.
Course length depends on your license category. Franchise applicants take a shorter course than independent, wholesale, auction, and salvage applicants.
You receive a certificate of completion, and a copy goes in your application packet.
The certificate is valid for a limited period after you complete the class, which means the training is not something to knock out years ahead of time.
Confirm the current validity window and the approved school list with FLHSMV before you register.
Where to find approved schools
FLHSMV publishes the list of approved dealer training schools.
The Florida Independent Automobile Dealers Association is one industry option among several. Compare the available approved providers and choose for yourself.
EIN, Sales Tax & Business Registration
- A federal EIN is obtained free of charge directly from the IRS . Be cautious of third-party sites that charge for this.
- A Florida sales tax number is obtained from the Florida Department of Revenue.
- Your business entity, and your fictitious name if you use one, must be registered with the Florida Division of Corporations.
- You provide proof of that registration with your application.
Which business structure is right for you is a question for an attorney or CPA, not for a software vendor.
It affects your taxes, your personal liability, and which corporate documents you must supply.
Corporations, for example, are generally asked for articles of incorporation and minutes reflecting current officers.
The single most common delay: name mismatches.
The name on your application, your bond, your insurance certificate, your lease, and your Division of Corporations registration must all match exactly.
An abbreviated business name or an unregistered DBA is enough to hold up the packet.
Surety Bond & Garage Liability Insurance
Florida requires a surety bond submitted on the state's own bond form.
The correct form differs depending on whether you are licensing as a motor vehicle, recreational vehicle, or mobile home dealer.
Motor vehicle and mobile home dealer applicants may submit an irrevocable letter of credit instead of a bond, using a separate state form.
Insurance
Garage liability insurance is required, with minimum combined single-limit liability coverage and personal injury protection set by the state.
Independent, auction, and wholesale applicants have the option to satisfy this requirement with a general liability policy paired with a business automobile policy meeting the same minimums.
Salvage dealers are exempt from the insurance requirement.
Do not rely on an older dollar figure.
Confirm the current required amounts and correct form numbers with FLHSMV or a licensed agent before you buy.
Ask your agent specifically for Florida motor vehicle dealer coverage and tell them it is for an FLHSMV licensing submission.
Keep coverage continuous
Coverage must stay continuous for the life of your license.
A lapse in bond coverage, even a short one, puts the license at risk. If you change surety agencies, manage the transition deliberately.
Choosing a provider
Wayne Reaves does not sell bonds or insurance and does not recommend a particular agent.
Your state association, an independent insurance broker, or a licensed surety agent can help you compare.
Get more than one quote. Pricing varies considerably based on credit and business history.
Electronic Fingerprinting
All officers of the dealership must be electronically fingerprinted by a service provider approved by the Florida Department of Law Enforcement.
The provider gives you a receipt and submits the prints to FDLE on your behalf.
Keep that receipt. A copy goes in your application packet.
This is a pre-license step in Florida. Fingerprinting happens before you submit your application, not after.
Submitting, and What Comes After
The completed application, supporting documents, and fee go to the Motorist Services Regional Office responsible for your dealership.
There is no single statewide mailing address for this, which is why identifying your regional office early matters.
Your application packet generally includes the application form and fee along with required supporting materials such as:
- Garage liability insurance documentation
- The correct surety bond form or other permitted security
- Proof of business entity registration
- Proof of fictitious name registration, if applicable
- Your dealer training certificate
- Your lease agreement
- Your fingerprinting receipt
Florida reviews applications regionally and there is no guaranteed turnaround, so build slack into your opening timeline.
Assemble the packet completely before submitting rather than sending pieces as they arrive.
Renewal
Renewal — read this carefully. Florida dealer licenses have established expiration dates, but eligible dealers may choose a biennial renewal period, allowing the license to be renewed for two years instead of one. Submit your complete renewal package before the expiration date shown on your license and renewal notice. Missing the renewal deadline may result in additional fees, and allowing the renewal period to lapse entirely may require you to reapply rather than simply renew.
Renewal also requires current bond and insurance documentation, not just payment of a renewal fee. Confirm the current renewal date, fees, requirements, and your eligibility for biennial renewal using the notice FLHSMV sends you and the current FLHSMV renewal form.
Note your renewal date as soon as your license arrives, and calendar it well in advance.
Federal Obligations Start on Day One
State licensing is not the whole picture.
Federal rules apply the moment you begin selling. The FTC's Used Car Rule requires a Buyers Guide displayed on every used vehicle offered for sale, and other federal requirements apply to advertising, financing, and recordkeeping.
These are enforced by agencies with no connection to FLHSMV.
Ask your attorney or your state association what applies to your operation.
How Wayne Reaves Fits In
We want to be straightforward about what we do and do not do.
What we do not do
We do not:
- File applications
- Form business entities
- Sell bonds or insurance
- Provide legal or tax advice
- Interpret state requirements on your behalf
Those questions belong with FLHSMV, your attorney, your CPA, and licensed agents.
What we do
We build dealer management software and dealer websites for independent dealers.
Our systems support:
- Inventory
- Deal tracking
- Customer records
- Reporting
- Compliance tools
- Dealer websites that put inventory in front of buyers
Where to Get Answers
Florida dealer licensing involves several different agencies, professionals, and regional contacts. Use the appropriate source for the question you have.
flhsmv.gov
Disclaimer
This guide is provided for general informational purposes only and is intended as a high-level overview of the dealer licensing process. It is not intended to be comprehensive and should not be relied upon as legal, tax, financial, insurance, regulatory, or licensing advice. Laws, regulations, agency procedures, forms, fees, bond and insurance requirements, deadlines, and other licensing requirements may change at any time and may vary based on license type, business structure, location, or individual circumstances.
Wayne Reaves Computer Systems Inc. does not represent or warrant that the information contained in this guide is complete, current, or applicable to every situation. Before making financial commitments, signing a lease, purchasing insurance or a bond, submitting an application, or otherwise acting in reliance on this information, verify all current requirements directly with the appropriate state and local licensing authorities and consult qualified legal, tax, insurance, or other professional advisors as appropriate.
Use of this guide does not create an attorney-client, advisory, fiduciary, or other professional relationship with Wayne Reaves Computer Systems Inc.