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How to Get an Auto Dealer License in Utah (Step-by-Step Guide)

  • Apr 8
  • 4 min read
A new dealer reviewing license application, bond, and insurance documents in a dealership office.

Starting a car dealership in Utah can be a highly profitable business—but before you can legally sell vehicles, you must obtain your Utah auto dealer license.

The process may seem complex, but if you follow the right steps in order, you can get licensed quickly and avoid delays.

Here’s your complete step-by-step guide.

Who Regulates Auto Dealers in Utah?

Dealer licenses in Utah are regulated by the Utah Motor Vehicle Enforcement Division (MVED).

They oversee licensing, compliance, and inspections for all motor vehicle dealers in the state.

Step 1: Complete the Dealer Orientation Course

All applicants must complete an 8-hour dealer orientation course before applying.

  • Required for all new dealers

  • Covers laws, compliance, and operations

  • Must be completed before submitting your application

💡 To maintain your license, you’ll also need a 3-hour renewal course each year.

Step 2: Register Your Business Name

You must register your business (trade name) with the Utah Department of Commerce.

Depending on your business model:

  • Financing dealers must register with the Department of Financial Institutions

  • Mobile home dealers have additional requirements

👉 Make sure your business name is consistent across all documents.

Step 3: Obtain a Dealer Surety Bond

All Utah dealers are required to obtain a dealer surety bond.

Bond Requirements:

⚠️ Important:Your business name must match exactly on your bond and application.

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Step 4: Establish a Principal Place of Business

You must have a physical dealership location that meets strict requirements:

  • Zoned for motor vehicle sales

  • Dedicated exclusively to dealership operations

  • Clearly marked boundaries (fence, posts, etc.)

  • Space to display at least 3 vehicles

  • Permanent office for records

👉 You cannot share space with unrelated businesses.

Step 5: Submit Fingerprints

All owners must:

  • Submit fingerprint cards

  • Complete Form TC-465 (Fingerprint Waiver)

  • Pay the required processing fee

This is used for background checks.

Step 6: Provide Required Photos

You’ll need to submit:

  • Passport-quality photos of all owners

  • Photos of your dealership location

  • Photos of your business sign

Step 7: Obtain a Sales Tax License

You must register for a Utah sales tax license using Form TC-69.

This allows you to legally collect and remit sales tax on vehicle sales.

Step 8: Get Garage Liability Insurance

You must provide proof of garage liability insurance before approval.

This coverage protects your dealership against:

  • Property damage

  • Customer injuries

  • Business-related risks

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Step 9: Get Your FEIN (or SSN)

You’ll need a:

  • Federal Employer Identification Number (FEIN) from the IRS👉 Apply at: www.irs.gov

Sole proprietors without employees may use their Social Security Number.

Step 10: Install a Permanent Business Sign

Your dealership must have a permanent sign that:

  • Is at least 24 square feet

  • Clearly displays your business name

  • Is securely mounted or installed

👉 A photo of the sign must be submitted with your application.

Step 11: Pay Licensing Fees

Typical fees include:

  • Dealer license: $127

  • Motorcycle/small trailer dealer: $51

  • Dealer plates (optional): $12 each (max 5)

  • Fingerprinting fees per owner

Step 12: Submit Your Application

Complete and submit:

  • Form TC-301 (Bonded Motor Vehicle Business Application)

  • Your dealer bond

  • Photos of location and sign

  • All required documents and fees

Send everything to the Utah Motor Vehicle Enforcement Division.

Final Step: Inspection & Approval

After submission:

  • MVED will conduct an on-site inspection

  • This typically takes 5–10 business days

  • Your license is issued after approval

Common Mistakes to Avoid

  • ❌ Mismatched business name on bond and application

  • ❌ Incomplete paperwork

  • ❌ Not meeting location requirements

  • ❌ Missing insurance or bond documents

  • ❌ Waiting too long to complete the orientation course

Final Thoughts

Getting your Utah dealer license may seem like a lot—but if you follow these steps in order, the process becomes much more manageable.

👉 Focus on:

  • Completing your education

  • Securing your bond and insurance

  • Submitting a complete application

Do it right the first time, and you’ll be on your way to running a successful dealership.

FAQ: Utah Dealer License

How long does it take to get licensed in Utah?

Typically 1–3 weeks, depending on how quickly you complete each step.

Do I need a physical location?

Yes. Utah requires a compliant, dedicated dealership location.

Is a dealer bond required?

Yes. All dealers must obtain a surety bond.

Do I need insurance before approval?

Yes. Garage liability insurance is required before your license is issued.

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