If you're buying and selling used cars for profit, you may need a Motor Vehicle Dealer License. This complete guide explains when a dealer license is required, how many cars you can legally sell without a license, what curbstoning is, dealer bond and insurance requirements, and the steps to becoming a licensed auto dealer. Learn how All American Bonds and Insurance helps dealers nationwide obtain the bonds and insurance they need.

Starting a used car dealership requires more than finding vehicles to sell. This complete guide explains how to start a successful dealership, including creating a business plan, choosing a business structure, obtaining a motor vehicle dealer license, securing a dealer bond, purchasing garage liability insurance, finding inventory, financing your business, and marketing your dealership for long-term success.

Dealer insurance costs vary based on dealership type, location, inventory size, claims history, and coverage needs. Many smaller dealerships may pay a few hundred dollars per month, while larger or higher-risk operations may pay more. This guide explains average monthly dealer insurance costs, what impacts pricing, and how auto dealers can save money while staying compliant and protected.

Starting a car dealership is exciting but requires planning. Key costs include: Dealer License & Bond: $50–$500 application, $100–$500 annual fees, bond $10k–$50k (costing $250–$2,500/year). Insurance: Garage liability $400–$1,500, general liability $500–$2,000, workers’ comp $2,000–$6,000. Lot & Office: Lease $1k–$10k/month, signage $500–$5k, office $1k–$3k, security $500–$2k. Other Costs: Inventory $10k–$100k+, software $100–$500/month, marketing $500–$5k/month. Total Sta