How to get a dealer license in Utah

Utah Code 41-3-102 defines a dealer as a person whose business involves selling motor vehicles or off-highway vehicles and who sells, displays for sale, or offers for sale or exchange three or more new or used motor vehicles or off-highway vehicles in any 12-month period. MVED says a person who sells or exchanges only vehicles they have owned for more than 12 months is not considered a dealer (Utah Code 41-3-103).

• Used Motor Vehicle Dealer License: Dealers who sell used motor vehicles and used trailers of 2,000 lbs or more. It also allows body shop work and dismantling. This is the main license covered here.
• New Motor Vehicle (or Large Trailer) Dealer License: Dealers with a manufacturer franchise who sell new and used motor vehicles and trailers of 2,000 lbs or more. Applicants send a letter from the manufacturer authorizing them to sell the make. Bond: $75,000.
• Direct-Sale Manufacturer License: Manufacturers that sell new vehicles of their own line-make directly to buyers, plus used vehicles (Utah Code 41-3-202).
• New Motorcycle, Off-Highway Vehicle and Small Trailer Dealer License: Franchised dealers of new and used motorcycles, snowmobiles, off-highway vehicles and small trailers (750 to 1,999 lbs unladen). License fee $101; bond $10,000.
• Used Motorcycle, Off-Highway Vehicle and Small Trailer Dealer License: Dealers of used motorcycles, snowmobiles, off-highway vehicles and small trailers. License fee $101; bond $10,000.
• Special Equipment Dealer License: Businesses that buy incomplete new vehicles rated 12,000 lbs GVWR or more from a new vehicle dealer and sell them with special equipment installed, without a manufacturer franchise. Bond: $75,000.
• Motor Vehicle Auction License: Businesses that run a motor vehicle auction. It also allows selling used vehicles. MVED lists the auction dealer fee at $152.
• Salvage Vehicle Buyer License: Lets a person buy salvage-certificate vehicles at auction for a licensed dealer, body shop or dismantler. No more than two per business. Fee $203.
• Body Shop License: Businesses that rebuild, restore, repair or paint vehicle bodies. Bond: $20,000.
• Dismantler License: Businesses that take vehicles apart to resell parts or for salvage, or sell them to a crusher or another dismantler.
• Salesperson License: People who sell vehicles for one licensed dealer at a time. A new license costs $86, including fingerprints. Each dealership owner, partner, officer or member gets an owner license that lets them sell.

Surety bond. File a corporate surety bond with MVED on form TC-450 (revision 10/13). The surety must be licensed in Utah and rated at least B+ by A.M. Best. The company name on the bond must match form TC-301 exactly, and an owner signs it as principal in front of a notary. Motorcycle, off-highway vehicle and small trailer dealers need $10,000, special equipment dealers $75,000 and body shops $20,000. If the bond lapses, the license is automatically suspended (Utah Code 41-3-205).

Insurance. We found no general liability or garage insurance requirement for the dealer license. Dealers who want dealer plates must send a current copy of their plate insurance declaration page each time they order or renew plates, and the insurance must be in the name of the licensed business (form TC-301).

Place of business. You need a principal place of business in Utah that meets local zoning and is used only for vehicle sales and related business. The site must be marked off by a fence, chain or posts, with display space for at least three vehicles and parking for the public. A permanent enclosed building must hold the office and a safe place for business records, and the site cannot share a common area with another dealer or an unrelated business. A permanent sign of at least 24 square feet must be painted on or bolted to the office or set on posts anchored in the ground, and it must show the full licensed name. The dealer number goes on the sign or the building. The sign, office and display area must be next to each other. Dealers may not sell from home or any unlicensed place (Utah Code 41-3-102 and 41-3-210).

Background check. Each owner, partner, corporate officer or member sends a standard FBI fingerprint card completed by a law enforcement officer, a signed Fingerprint Waiver (TC-465) and a $35 BCI fee, plus a passport-type photo. MVED says a conviction for a motor vehicle or drug-related crime, fraud or a registrable sex offense could be grounds for denial. A person convicted under motor vehicle commerce or fraud laws cannot be licensed until full restitution is made (Utah Code 41-3-201).

Pre-license education. Required (8 hours). Approved courses and details.

1. Register your business name with the Utah Department of Commerce (call MVED at 801-297-2600 first to check the name), get a federal EIN, and apply for a Utah sales tax license on form TC-69.
2. Set up a site that meets MVED rules: marked display space for at least three vehicles, a permanent office for records, and a permanent sign of at least 24 square feet with your licensed name.
3. Have each owner, partner, corporate officer or member complete an 8-hour orientation course from an MVED-listed provider.
4. Buy a $75,000 corporate surety bond on form TC-450 and have an owner sign it as principal in front of a notary.
5. Get a standard FBI fingerprint card, a signed Fingerprint Waiver (TC-465) and a passport-type photo for each owner.
6. Complete the Bonded Motor Vehicle Business Application (TC-301), including the plate section and your plate insurance declaration page if you want dealer plates.
7. Send the application, bond, photos of the site and sign, training certificates and fees to MVED at 210 North 1950 West, Salt Lake City, UT 84134.
8. Pass the MVED on-site inspection, usually within 5 to 10 working days, then receive your license within 3 to 5 working days.

Official forms:

• Bonded Motor Vehicle Business Application (TC-301)
• Bond of Motor Vehicle Dealer, Special Equipment Dealer, Crusher or Body Shop (TC-450)
• Fingerprint Waiver (TC-465)
• Utah State Business and Tax Registration (TC-69)

No. Every Utah dealer needs a principal place of business with marked boundaries, display space for at least three vehicles, public parking and a permanent office building, and dealers may not sell from home. We found no wholesale-only dealer license with an office-only option among MVED's license types.

Dealer-only auctions require a dealer license to buy, and AuctionACCESS (auctionaccess.com), used at over 400 auction marketplaces and online channels in North America, limits membership to licensed vehicle dealers and their authorized representatives. Utah also limits buying salvage or nonrepairable vehicles at an auction to licensed salvage vehicle buyers, with limited exceptions (Utah Code 41-3-201).

Every MVED license expires June 30 each year, no matter when it was issued, and fees are not prorated. Renewals are open April 1 to August 15. Complete a 3-hour training course after April 1, get the renewal form from MVED (801-297-2600), and mail or drop it off at 210 N 1950 W, Salt Lake City, UT 84134 with a check payable to the Utah State Tax Commission. If the renewal is not processed in time, you must stop operating until it is.

This is general information, not legal advice. Rules and fees change, so confirm the details with the Utah Motor Vehicle Enforcement Division (MVED), Utah State Tax Commission before you apply. Last verified October 20, 2026.

Planning the business side too? Read how to start a car dealership. Used cars you offer for sale need an FTC Buyers Guide in the window. Selling your own car instead? See how to sell a car in Utah.