How to get an Arizona Car Dealer License
An Arizona Car Dealer License is required by the Arizona Department of Transportation for companies and individuals who sell or offer for sale a certain number of vehicles in a given year. The number of vehicles required to trigger the need for an Arizona Dealer License depends on the whether cars offered for sale are new or used, are being sold wholesale or retail, and other factors which will be outlined below. Too busy to apply for your license? Call us to discuss how we can assist with your application.
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Which Arizona Car Dealer License do you need?
The answer depends on what types of vehicles you selling and how you sell them. The following are the different Arizona Car Dealer License types and how to qualify for them:
- AZ New Motor Vehicle Dealer – This is your license type if you only sell new and used vehicles. You must sell more than 4 vehicles per year.
- AZ Used Motor Vehicle Dealer – You’ll need this license if you plan to sell more than 4 used cars per year. You cannot sell new cars with this license type.
- AZ Wholesale Motor Vehicle Dealer – This license is reserved for those businesses who sell vehicles to other auto dealers on a wholesale basis.
- AZ Wholesale Motor Vehicle Auction Dealer – This license is needed if you sell vehicles by auction on a wholesale basis to other auto dealers.
- AZ Automotive Recycler – If you plan to dismantle six or more cars per year and sell the remaining parts of those vehicles, you will need this license.
- AZ Public Consignment Auction Dealer – This license is similar to the AZ Wholesale Motor Vehicle Dealer License except it is need if you’re auctioning vehicles to the public only. You cannot auction vehicles to other motor vehicle dealers on a wholesale basis.
- AZ Vehicle Broker – This license type is needed when you are collecting a fee for buying or selling motor vehicles for another person or business. Additionally, you must not be engaged in any of the other practices listed above.
You may also visit the Arizona Department of Transportation’s website for expanded definitions of each license type.
Do I need an Arizona Car Dealer Surety Bond?
Yes. You must submit an AZ Car Dealer Bond with your state application in order to obtain your car dealer license. The surety bond amount ranges from $20,000 to $100,000 depending on your license type. Please visit our Arizona Car Dealer Surety Bond page to learn more about the surety bonds, their cost, and how to obtain it.
You will want to consider applying for your surety bond now to determine your exact cost. You can apply for your dealer bond using our online surety bond application.
What about fingerprinting and background checks?
The Arizona Revised Statutes 28-4361 requires that all motor vehicle dealer applications must be accompanied by a fingerprint card which can be obtained from your local law enforcement agency. Click on AZ Fingerprinting Locations for a listing of fingerprinting locations in your area. The purpose of the fingerprint requirement is so the state can perform a criminal background check prior to license approval.
What do I need to submit to get my Arizona Car Dealer License?
The following is a helpful checklist of what you’ll need to submit:
- Completed state application
- Completed surety bond
- Fingerprint Card
- A written notice of authorization from the car manufacturer or distributor – New Vehicle Dealers only
- Photos of your business signage, the entire lot, all four sides of your building, address and hours of operation, records storage and office areas,
- Photos of your enclosed salvage yard – Auto Recyclers only
- Photos of signage stating there is no implied warranty and emissions being the responsibility of the purchaser – Public Consignment Auction Dealers only
You can find a listing of commonly used forms including the state application here.
What are the Arizona Car Dealer License Fees?
As with most state licenses, you should expect to pay fees directly to the state for processing your application and issuing a license. The up-front fees include a $15 filing fee payable the AZ Motor Vehicle Division and a $22 criminal records fee payable to AZ Department of Public Safety. Additionally, there is a $100 fee for issuing your license once it has been approved. This fee is also payable to the Arizona Motor Vehicle Division.
Arizona Car Dealer Contact Information
AZ Department of Public Safety
PO Box 668
Phoenix, AZ 85005
Learn more about surety bonds!