How to Get a Motor Vehicle Dealer License in Arizona
If you sell more than six vehicles per year, you need to be licensed with the Arizona Department of Transportation’s Dealer Licensing Unit. Keep reading for step-by-step application instructions and answers to common licensing questions.
Which License Do I Need?
Before applying, choose which license(s) you need based on your operations.
| License Type | Description |
|---|---|
| New Vehicle Dealer | Buys, sells or exchanges new motor vehicles, or used vehicles acquired through trade-in or purchased for resale |
| Used Vehicle Dealer | Buys, sells, auctions or exchanges 7+ used vehicles within 12 months. Not a new vehicle dealer |
| Wholesale Motor Vehicle Dealer | Sells wholesale only to other licensed dealers |
| Wholesale Auction Dealer | Provides auction services only in wholesale transactions between licensed dealers |
| Public Consignment Auction Dealer | Conducts live public auctions at an approved location, selling vehicles on consignment only through a licensed auctioneer |
| Broker | Helps arrange vehicle sales but is not a manufacturer, auctioneer or wholesale dealer (or their employee) |
| Distributor | Sells or supplies new motor vehicles to dealers in the state directly or through representatives |
How Do I Get a Motor Vehicle Dealer License in Arizona?
All Arizona dealer licenses use the same application process. Follow these five steps to get your license.
Step 1: Register your business
First, choose a business structure, such as LLC or sole proprietorship. Register your business with the state.
Then, obtain a Transaction Privilege Tax (TPT) License from the Arizona Department of Revenue. You’ll need to submit a copy of this license when you apply.
Step 2: Set up your dealership location
You can either purchase or lease a property for your business. Leasing contracts must be for a minimum of six months.
The dealership must be an enclosed structure that can fit at least two vehicles. It must be used only for business purposes.
You’ll also need to ensure your building meets proper signage and zoning requirements. To confirm this, you’ll submit pictures with your application.
Step 3: Get a surety bond
All dealers and wholesalers need an Arizona auto dealer bond as proof of financial security. Apply online for a free quote. Rates start at just $188.
| License | Bond Amount |
|---|---|
| Wholesale and Wholesale Auction | $25,000 |
| New and Used Vehicle Dealers | $100,000 |
Step 4: Complete a background check
Anyone with 20% or more ownership in your company must complete a criminal background check and fingerprinting. When you apply, you’ll submit the Person History/Authorization to Release Information form, which can be found in the licensing portal. The fee is $22.44 per person.
Start the fingerprinting process by creating an account on the AZ Department of Public Safety website. You will then use that account information to schedule your session on Fieldprint. Fingerprint Clearance Cards are not accepted. Service fees vary by location but are typically around $8.
Note: New vehicle dealers, manufacturers and distributors are exempt.
Step 5: Apply online
There’s no mail-in option for the dealer application. You must apply online on ADOT Force and upload the following materials:
- Surety bond
- Photos of your business
- Business registration and TPT
- Person History/Authorization to Release Information
- Franchise Authorization (new vehicle dealers only)
Then, you can request dealer plates through your ADOT Force account.
The Dealer Licensing Unit will review your application within three business days and notify you if there’s any missing information. Once approved, you’ll receive an invoice via email. Pay all applicable fees through AZ MVD Now using the same login.
How Do I Renew My License?
Your license and dealer plates both expire annually on the issue date. You’ll receive an email reminder 45 days before renewal.
Use AZ MVD Now to renew and pay any fees. You’ll need to submit your current Arizona Transaction Privilege Tax (TPT) license and report the number of sales for the previous license period.
How Much Does It Cost to Get a Dealer License in Arizona?
You can expect to pay at least $333.44 to get your dealer license in Arizona. This includes the following costs:
- Application Fee: $15
- License Fee: $100
- Background Check Fee: $22.44
- Fingerprinting Fee: $8
- Surety Bond: $188+
- Dealer Plates: Varies
The cost of your dealer plates depends on the type of vehicles you sell.
| Type of Plate | Cost per Plate |
|---|---|
| Standard | $30 |
| Trailer | $30 |
| Motorcycle | $10 |
Arizona Motor Vehicle Dealer License FAQs
What are the Arizona wholesale dealer license requirements?
Since wholesale dealers can’t sell directly to consumers, they have slightly different license requirements. However, you’ll complete the same general application process.
Wholesalers must be located in-state and have an Arizona driver’s license or ID. Because of this, you can operate out of your home if allowed by the zoning regulations. You’ll also need to file a $25,000 bond.
How many dealer plates can I purchase?
Your maximum number of dealer plates depends on your license type and the number of vehicles you sold during the previous license period.
| License | Plate Amount |
|---|---|
| New Vehicle Dealer | Up to 30 plates plus 1 additional plate for every 50 vehicles sold |
| Used Vehicle Dealer | Up to 15 plates plus 1 additional plate for every 50 vehicles sold |
| Wholesale Vehicle Dealer | Up to 2 plates plus 1 additional plate for every 50 vehicles sold |
If you’re a wholesale dealer, you must prove that you sold at least 10 vehicles in the previous license period to purchase more plates at renewal. If you don’t meet this requirement, the Dealer Licensing Unit will cancel your plates. Wholesale dealers can have up to 10 plates total.
If your dealer plates are lost or stolen, you’ll need to submit a written report immediately to the Dealer Licensing Unit and pay for replacement plates.
How can I make changes to my license?
You can use ADOT Force to manage updates to your license, including:
- Dealer plate requests
- Business structure changes
- Adding or removing individuals
- Address or name changes
You’ll only use AZ MVD Now to renew and pay any invoices.
If you want to close your dealership, submit the following to the Unit:
- Your dealer license
- All dealer plates
- A letter requesting cancellation
If I change my license or entity type, do I need a new license?
Yes, you cannot keep the same license if you change your operations or business structure. Complete a new application with the updated information and disregard your previous license number. Dealer plates are also license-specific and won’t transfer.
Can a new dealer operate from a trailer or mobile home?
Yes, you can operate from a mobile home if you:
- Remove the trailer’s wheels
- Own the property the trailer sits on
You’ll also need to have your county assessor issue an “affidavit of affixture,” which legally certifies the mobile home as a permanently enclosed structure. You’ll then receive a real estate deed for the trailer rather than a vehicle title.
If you are renting the trailer’s property, you cannot sell any new vehicles.
What are the business zoning requirements?
To be considered a valid dealership, your building must be commercially zoned and approved for motor vehicle sales by local zoning authorities. Only wholesale dealers are eligible to operate from a residential property.
You can have a shared entrance to your business as long as it’s clearly identifiable and meets all other sign and zoning requirements.
Do I need a lot to get a dealer license in Arizona?
Yes, if you’re selling to the public, you need a designated lot on commercially zoned property. Only wholesale dealers don’t need a traditional retail lot.
What are the signage requirements?
Dealerships and wholesale locations must meet the following signage requirements:
- Clearly identifiable business sign
- Permanently affixed (no banners or temporary signage)
- Visible from 300 feet during daylight (retail dealers only)
How many vehicles can I sell without a license?
You can sell up to six vehicles per year without a license. Generally, you need a license if you regularly buy or sell vehicles for profit.
How do I add or delete a product line?
To add a new product line, submit a Manufacturer Authorization letter. The Unit will conduct a 10-mile radius check for other dealerships that sell the same brand.
To delete a product line, both you and the manufacturer must submit letters confirming its termination.
Last Updated: June 2, 2026
