How to Become an Auto Dealer in Missouri
In Missouri, anyone selling or manufacturing motor vehicles for profit needs to be licensed with the Department of Revenue. This guide will break down the application process and answer common questions about becoming an auto dealer.
Which Missouri Dealer License Do I Need?
You’ll need to indicate your type of operations on your application. Each dealership location and operating type must be licensed separately.
| License Type | Description |
|---|---|
| Franchise Motor Vehicle Dealer | Authorized by a manufacturer or distributor to sell a specific make of new vehicles. You can also sell, trade or exchange used vehicles. |
| Manufacturer | Makes, assembles or modifies new motor vehicles or trailers and sells them to dealers. If you sell to the public or exceed certain retail limits, you also need a motor vehicle dealer license. |
| New Powersport Dealer | Sells motorcycles, autocycles, all-terrain vehicles and personal watercraft. |
| Boat Dealer | Sells, trades, or leases, or boats or boat trailers for profit — whether owned or not. If you’re licensed as a motor vehicle dealer, you can sell up to 5 vessels per year without an extra license. |
| Public Motor Vehicle Auction | Takes possession of a motor vehicle (without title) to sell it at a public auction through a licensed auctioneer. |
| Recreational Motor Vehicle Dealer | Sells new or used motor vehicles designed or modified for use as temporary housing. |
| Trailer Dealer | Sells 6+ trailers per year and may resell motor vehicles only if taken as trade-ins. |
| Used Motor Vehicle and Used Powersport Dealer | Not franchised to sell new vehicles and primarily sells used vehicles. |
| Wholesale Motor Vehicle Auction | Runs wholesale motor vehicle auctions only for licensed dealers and does not own the vehicles. |
| Wholesale Motor Vehicle Dealer | Sells vehicles only to other new motor franchise dealers or used motor vehicle dealers or via auctions. |
How Do I Get an Auto Dealer License in Missouri?
Follow these seven steps to get a Missouri auto dealer license.
Step 1: Register your business
First, choose your business structure, such as LLC or sole proprietorship. Then, register your business with the state. You’ll need to submit a copy of your registration with your application.
Step 2: Get a surety bond
Under Section 301.560, RSMo, Missouri auto dealers must file a surety bond. The standard amount is $50,000, but you need a $100,000 bond if you deliver vehicles to the purchaser.
Visit our Missouri motor vehicle dealer bond page to get a free quote. Rates start at $250 per year.
Note: Auctions and manufacturers are exempt from the bond requirement.
Step 3: Insure your dealership
Next, purchase a garage liability insurance that covers all vehicles with dealer plates. Trailer dealers, auctions and manufacturers are exempt.
Step 4: Register for a background check
Each owner must complete a name-based criminal background check within six months before applying. Register online through the State Highway Patrol’s Missouri Automated Criminal History Site (MACHS) and pay the required fee.
Step 5: Pass an inspection
Before applying, a law enforcement officer must inspect your facility. Schedule your inspection with the applicable agency:
- Motor Vehicle Dealers, Boat Dealers and Boat Manufacturers: Missouri State Highway Patrol
- Businesses located in a first-class county (such as Boone, Cape Girardeau and St. Louis): Authorized city police
Step 6: Apply online
Complete the online application form through the DOR Business Licensing Portal. You’ll need to upload the following supporting materials:
- Photo of the building, lot and sign
- Inspection and Certification
- Dealer Educational Seminar Certificate (used dealers only)
- Franchise Agreement or Letter of Appointment (if applicable)
- Surety bond form
- Garage liability policy
- Mail-to letter signed by the post office (if mailing address is different than physical address)
- A completed criminal record
- Payment for all license fees
Step 7: Purchase dealer plates
You can initially receive two dealer plates. After that, you can purchase additional plates based on sales volume or other relevant factors.
| Business Type | Additional Plate Amount |
|---|---|
| New Businesses | Based on the number of estimated sales |
| Renewing Businesses | Based on the number of sales made between July 1 of the previous year and June 30 of the current year |
| Standard Motor Vehicle Dealer | 1 plate after 15 sales, then 1 per 10 sales |
| Motor Vehicle Dealer + Salvage License | 1 extra plate per 50 salvage vehicles purchased |
| Manufacturer | Up to 350 total plates |
| RV Dealer | 2 plates per 10 sales for the first 50 sales, then 1 per 10 sales after 50 |
Note: If you’re a public or wholesale auction dealer, you cannot buy dealer plates because you don’t own your vehicles.
How Do I Renew My License?
License and dealer plates both expire on December 31 annually. Under Missouri law, there is no grace period for renewals.
Complete the online renewal application and submit an updated criminal background check. To maintain your license, you’ll also need to file monthly sales reports.
Once you have been in business for three years, the DOR will issue a two-year license at renewal.
How Much Does It Cost to Get a Motor Vehicle Dealer License in Missouri?
When applying, you’ll need to consider the following costs:
- License fees
- Dealer plates
- Surety bond
- Garage liability insurance
- Background check
- Business registration
Your license fee will depend on your license type and the month you apply.
You’ll also need to pay the following dealer plate fees.
| Month of Application | Initial Plate Fee |
|---|---|
| January | $50 |
| February | $45.83 |
| March | $41.67 |
| April | $37.50 |
| May | $33.33 |
| June | $29.17 |
| July | $25 |
| August | $20.83 |
| September | $16.67 |
| October | $12.50 |
| November | $8.33 |
| December | $4.17 |
You can request up to two dealer plates when applying. If eligible, you can purchase additional plates at a lower rate.
Missouri Motor Vehicle Dealer License FAQs
What Are the prelicensing education requirements?
If you sell used cars, you must attend a Dealer Educational Seminar. The DOR requires this for all first-time applicants, unless you currently hold a new or used dealer license for a separate dealership.
You’ll need to register for an approved course within twelve months before you apply. Then, attach your completion certificate to your application.
What are the business location requirements for Missouri dealers?
All Missouri dealerships must meet these location requirements:
- Permanently enclosed building
- Clearly designated area used only for business purposes
- An area or lot (not a public street or enclosed garage) where multiple vehicles can be displayed.
- Proper signage (not a banner) at least six inches in height and clearly visible to the public
You can store vehicles at an alternate location as long as you notify the DOR. If you’re a dealer who also does auctions, you must maintain two separate lots.
How many cars can you sell in Missouri without a dealer license?
Under MO Rev Stat § 301.570, you can sell up to six cars per year without a dealer license. However, they must be your personal vehicles.
Can You Get a Dealer License Without a Car Lot in Missouri?
No, you must have a physical lot to sell cars in Missouri. While you technically can use residential property, you’ll need to have a designated business area with an outdoor display area that isn’t a personal driveway.
What Is a Special Event Motor Vehicle Auction License?
If you hold classic car sales or collector auctions, you’ll need a special event motor vehicle auction license. Before applying, ensure your auction meets all of the following criteria:
- 90% of the vehicles being auctioned are at least ten years old
- No more than 3% of the vehicles are owned by the auction
- The auction doesn’t last longer than three consecutive days
To apply, complete a separate application form and pay the $1,000 license fee. You must also file a $100,000 surety bond.
Note: You may only hold three special event auctions per year.
Can I Hold Off-Site Vehicle Shows or Sales?
Yes, you may conduct up to two off-premises shows or sales annually. However, you must comply with the following restrictions:
- The event can’t be longer than five consecutive days
- You invite most dealers in the area to participate
- Participating dealers aren’t required to pay a fee higher than $500
- The event isn’t more than 10 miles from your licensed location
However, auctions (both public and wholesale) cannot be held off-site.
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Last Updated: June 3, 2026
