Dealer License Types

Basis Guidelines for Motor Vehicle Dealers License Types

Thank you for your interest in becoming an Arizona licensed motor vehicle dealer.

The type of dealer license you apply for is impacted by Arizona Revised Statute specific to the license type.

License Types and Definitions

New Motor Vehicle Dealer

A person who buys, sells, exchanges, or offers or attempts to negotiate a sale or exchange of any interest in, or who is engaged in the business of selling, new motor vehicles or used motor vehicles taken in trade on new motor vehicles or used vehicles purchased for resale.

Required Application Documents:

  • Application
  • Filing Fee - $15
  • S100,000 Surety Bond
  • Transaction Privilege Tax License (copy)
  • Authorized Presence
  • Franchise Authorization for each Manufacturer
  •  Articles of Incorporation (copy) **Unless filing as an individual or general partnership. General partnership agreement must be submitted.
  • Dealer Plate Application
  • Physical Location Pictures - Must include: All four sides of building, entire lot, office area, secure file cabinet, business sign (permanently affixed),and days/hours of operation

Applicants who will be selling new products must submit an Authorization letter or a Certificate of Appointment signed by an authorized agent of the manufacturer or distributor licensed to conduct business in Arizona.

The Authorization letter or Certificate of Appointment must contain the following information:

  • Name of appointed dealership
  • Address where new product will be sold
  • Name of each Make/product
  • Date of Effective date

Note: Entities that meet the statutory definition of a Sales Finance Company, please contact AZDFI at 602.771.2800 regarding financial licensing requirements.

Used Motor Vehicle Dealer

A person, other than a new motor vehicle dealer, who buys, sells auctions, exchanges or offers or attempts to negotiate a sale or exchange of any interest in, or who is engaged in the business of selling, seven or more used motor vehicles in a continuous 12 month period.

*Used motor vehicle dealer does not include a wholesale motor vehicle auction dealer or public consignment auction dealer.

Required Application Documents (Hyperlink):

  • Application
  • Filing Fee - $15
  • $100,000 Surety Bond
  • Transaction Privilege Tax License (copy)
  • Criminal background check - Fingerprint packets supplied by MVD

$22.00 money order or cashier’s check payable to Department of Public Safety

**Each partner and each applicant who owns 20% or more of an entity and who seeks a new license must provide a personal history form and fingerprint card to enable Motor Vehicle Division (MVD) to conduct a criminal records check.

The criminal records check may not apply if the application is for a subsequent license, or each partner and each applicant owning 20 percent or more of an entity has completed a criminal records check through MVD during the past five years, or is currently licensed.

An applicant, as referenced above, who has been convicted of fraud or an auto-related felony within the last ten years or any other type of felony within the last five years will have his or her license application denied.

If application is denied, MVD will notify the applicant in writing of the denial and the grounds for the denial. The applicant may appeal the denial by requesting an administrative hearing and, if the denial is upheld, appeal to the Maricopa County Superior Court. See ARS 28-4365(hyperlink) for more information.

  • Authorization to Release Information - Statement of Personal History
  • Authorized Presence 
  •  Articles of Incorporation (copy) **Unless filing as an individual or general partnership. General partnership agreement must be submitted.
  • Lease Agreement, Copy of Deed if applicable
  • Dealer Plate Application
  • Physical Location Pictures - Must include: All four sides of building, entire lot, Office area, secure file cabinet, business sign (Permanently affixed),and days/hours of operation
  • Dealers selling on a non-cash basis and have an agreement with a financial institution or bank are required to complete and submit the Contract with a Third Party form and a one-time fee of $300.00 fee will be accessed on the dealer license invoice.  A $150.00 fee will be assessed each license renewal cycle thereafter.
  • If your dealership is a buy-here, pay-here business, you will be required to contact the Arizona Department of Financial Institutions at 602.255.4421 for license information.

Wholesale Motor Vehicle Dealer

A person who sells used motor vehicles only to  licensed motor vehicle dealers

Required Application Documents:

  • Application
  • Filing Fee - $15
  • $25,000 Surety Bond
  • Transaction Privilege Tax License (copy)
  • Criminal background check - Fingerprint packets supplied by MVD

$22.00 money order or cashier’s check payable to Department of Public Safety

**Each partner and each applicant who owns 20% or more of an entity and who seeks a new license must provide a personal history form and fingerprint card to enable Motor Vehicle Division (MVD) to conduct a criminal records check.

The criminal records check may not apply if the application is for a subsequent license, or each partner and each applicant owning 20 percent or more of an entity has completed a criminal records check through MVD during the past five years, or is currently licensed.

An applicant, as referenced above, who has been convicted of fraud or an auto-related felony within the last ten years or any other type of felony within the last five years will have his or her license application denied.

If application is denied, MVD will notify the applicant in writing of the denial and the grounds for the denial. The applicant may appeal the denial by requesting an administrative hearing and, if the denial is upheld, appeal to the Maricopa County Superior Court. See ARS 28-4365 for more information.

  • Authorization to Release Information - Statement of Personal History
  • Authorized Presence 
  •  Articles of Incorporation (copy) **Unless filing as an individual or general partnership. General Partnership agreement must be submitted.
  • Lease Agreement (copy), Copy of Deed if applicable **If office is not located in the home.
  • Plate Application
  • Physical Location Pictures - Must include: All four sides of building, entire lot, Office area, secure file cabinet, business sign (Permanently affixed),and days/hours of operation

Public Consignment Auction Dealer

A person who at the public consignment auction dealer’s established place of business or at an authorized off-premises location pursuant to the requirements of 28-4401 in the business of both of the following:

  • Conducting live auctions with a licensed auctioneer verbally calling for and accepting bids
  • Providing live auction services to the public on a consignment contract basis

Required Application Documents:

  • Application
  • Filing Fee - $15
  • $100,000 Surety Bond
  • Transaction Privilege Tax License
  • Authorization to Release Information - Statement of Personal History
  • Criminal background check - Fingerprint packets supplied by MVD

$22.00 money order or cashier’s check payable to Department of Public Safety

**Each partner and each applicant who owns 20% or more of an entity and who seeks a new license must provide a personal history form and fingerprint card to enable Motor Vehicle Division (MVD) to conduct a criminal records check.

The criminal records check may not apply if the application is for a subsequent license, or each partner and each applicant owning 20 percent or more of an entity has completed a criminal records check through MVD during the past five years, or is currently licensed.

An applicant, as referenced above, who has been convicted of fraud or an auto-related felony within the last ten years or any other type of felony within the last five years will have his or her license application denied.

If application is denied, MVD will notify the applicant in writing of the denial and the grounds for the denial. The applicant may appeal the denial by requesting an administrative hearing and, if the denial is upheld, appeal to the Maricopa County Superior Court. See ARS 28-4365 for more information.

  • Authorized Presence 
  •  Articles of Incorporation (copy) Unless filing as an individual or general partnership; General partnership agreement must be submitted.
  • Lease Agreement (copy), Copy of Deed if applicable
  • Physical Location Pictures - Must include: All four sides of building, entire lot, Office area, secure file cabinet, business sign (Permanently affixed),and days/hours of operation
  •  Photo of signs stating “Emissions is the responsibility of the buyer”

And “No implied Warranty”. These two signs must be displayed in the lobby area where is is clearly visible by the public.

Wholesale Motor Vehicle Auction Dealer

A person who is in the business of providing auction services solely in wholesale transactions to motor vehicle dealers license by the state of any other jurisdiction, and who neither buys, sells nor owns the motor vehicles he or she auctions in the ordinary course of business.

Required Application Documents:

  • Application
  • Filing Fee - $15
  • $25,000 Surety Bond
  • Transaction Privilege Tax License (copy)
  • Authorization to Release Information - Statement of Personal History
  • Criminal background check - Fingerprint packets supplied by MVD

$22.00 money order or cashier’s check payable to Department of Public Safety

**Each partner and each applicant who owns 20% or more of an entity and who seeks a new license must provide a personal history form and fingerprint card to enable Motor Vehicle Division (MVD) to conduct a criminal records check.

The criminal records check may not apply if the application is for a subsequent license, or each partner and each applicant owning 20 percent or more of an entity has completed a criminal records check through MVD during the past five years, or is currently licensed.

An applicant, as referenced above, who has been convicted of fraud or an auto-related felony within the last ten years or any other type of felony within the last five years will have his or her license application denied.

If application is denied, MVD will notify the applicant in writing of the denial and the grounds for the denial. The applicant may appeal the denial by requesting an administrative hearing and, if the denial is upheld, appeal to the Maricopa County Superior Court. See ARS 28-4365 for more information.

  • Authorized Presence 
  •  Articles of Incorporation (copy) **Unless filing as an individual or general partnership; general partnership agreement must be submitted.
  • Lease Agreement (copy), Copy of Deed if applicable
  • Physical Location Pictures - Must include: All four sides of building, entire lot, Office area, secure file cabinet, business sign (Permanently affixed), and days/hours of operation.

Broker

A Broker acts as a locator service, for a fee, to find a specific vehicle for a customer and provide a service of arranging or assisting in effecting the purchase of a specific motor vehicle.

  • You may not advertise for sale or exchange any specific motor vehicle OR
  • Be an employee or agent of a new,used,auctioneer,manufacturer or a wholesale dealer

Required Application Documents:

  • Application
  • Filing Fee - $15
  • $25,000 Surety Bond
  • Transaction Privilege Tax License (copy)
  • Authorization to Release Information - Statement of Personal History
  • Criminal background check - Fingerprint packets supplied by MVD

$22.00 money order or cashier’s check payable to Department of Public Safety

**Each partner and each applicant who owns 20% or more of an entity and who seeks a new license must provide a personal history form and fingerprint card to enable Motor Vehicle Division (MVD) to conduct a criminal records check.

The criminal records check may not apply if the application is for a subsequent license, or each partner and each applicant owning 20 percent or more of an entity has completed a criminal records check through MVD during the past five years, or is currently licensed.

An applicant, as referenced above, who has been convicted of fraud or an auto-related felony within the last ten years or any other type of felony within the last five years will have his or her license application denied.

If application is denied, MVD will notify the applicant in writing of the denial and the grounds for the denial. The applicant may appeal the denial by requesting an administrative hearing and, if the denial is upheld, appeal to the Maricopa County Superior Court. See ARS 28-4365 for more information.

  • Authorized Presence 
  •  Articles of Incorporation (copy) **Unless filing as an individual or general partnership; general partnership agreement must be submitted.
  • Lease Agreement (copy), Copy of Deed if applicable
  • Physical Location Pictures - Must include: All four sides of building, entire lot, Office area, secure file cabinet, business sign (permanently affixed), and days/hours of operation.

Manufacturer

As a Licensed Manufacturer, you can franchise an Arizona Licensed motor vehicle dealer to sell your product/Make; you may not sell directly to a consumer.

Required Application Documents:

  • Application
  • Filing Fee - $15.00
  • License Fee - $100.00
  • Blanket written agreement used for all franchised dealer
  • Certificate of appointment for each franchise

**Notice of intention, if a franchisor intends to establish an additional new motor vehicle dealership within a 10-mile area in a community where a same line/make dealer is established. A 20 mile area is used in counties where the population is less than 200,000.

A written agreement or certificate of appointment need not be filed for each franchised dealer if the manufacturer or distributor uses the identical basic agreement for all of its franchised dealers and has filed a blanket agreement.

  • Copy of the delivery and preparation form/checklist
  • List of all franchises
  • Sample of your MCO (Manufacturer’s Certificate of Origin) Front and Back
  • Copy of VIN plate
  • Photo copy of the Manufacturer’s Federal label
  • Product brochures
  • Out of state corporations, must provide a copy of your Arizona corporate stamped “filed”, as a foreign corporation
  • Photos of site
    • Building
    • Address
    • Sign

Manufacturers of Trailers

All manufacturers of trailers must make contact with the following agency for information on assigning proper vehicle identification numbers to manufactured trailers.

National Highway Traffic Safety Administration
Department of Vehicle Safety
400 Seventh St. SW
Washington, D.C. 20590
Toll Free: 888.327.4236

Trailer manufacturers may sell to the consumer, only if they do not let any other dealers sell their new products. They must also obtain a New Motor Vehicle Dealer License in addition to their manufacturers license.

Note: Entities that meet the statutory definition of a Sales Finance Company, please contact AZDFI at 602.771.2800 regarding financial licensing requirements.

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