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Customers purchasing from a dealership with a New Jersey used motor vehicle dealer license

How to get a New Jersey Used Motor Vehicle Dealer License

This New Jersey used motor vehicle dealer license guide is for informational purposes only. SuretyBonds.com does not regulate or manage licensing for motor vehicle dealers in New Jersey. Contact the New Jersey Motor Vehicle Commission for the state's latest official motor vehicle dealer license requirements.

New Jersey state law requires dealers who sell used vehicles maintain an active used motor vehicle dealer license with the Motor Vehicle Commission to ensure they engage in ethical business practices and pay required taxes and fees to the state.

The Used Car Lemon Law outlined in New Jersey Administrative Code Title 13:45A-26F.2 defines a dealer as "any person or business which sells, or offers for sale, a used motor vehicle after selling or offering for sale 3 or more used motor vehicles in the previous 12-month period."

Follow these steps to apply for your used motor vehicle dealer license with the New Jersey Motor Vehicle Commission.

How to get a New Jersey Used Motor Vehicle Dealer License

How do I get a used motor vehicle dealer license in New Jersey?

Step 1. Establish your business location. 

Your dealership must meet the following requirements to be registered as a business in New Jersey. 

  • Your office must have a desk, chair, landline, and file cabinet where you'll store dealership documents. 
  • Your office must be at minimum 8x9 feet.
  • You must maintain a display space that showcases at least 2 vehicles you're selling.
  • Your dealership must display a permanent exterior sign affixed to the land or building with lettering legible from the road.

If your dealership meets these requirements, you can start your Application for Business License as a used motor vehicle dealer.

Step 2. Gather your additional supporting documents. 

You must provide the following with your Application for Business License and include a copy of each personal document for every dealership owner/officer/partner/member. 

  • driver's license copy
  • passport size photograph with your name printed on the back
  • incorporation/formation paper copy with New Jersey Division of Revenue filing date
  • Municipal Approval Certificate for Business License Form completed by local municipality
  • dealership fictitious name registration copy
  • property deed copy or lease/rental agreement
  • dealership photographs or plans with evidence of signage
  • dealership business hours form
  • dealership phone bill copy
  • dealer certification of license location type and proper walls
  • authorized signatories forms that prove employment, such as a W-2 or paystub
  • child support certificate copy, if applicable

Step 3. Get your fingerprints electronically documented.

You must pass a background check by getting your fingerprints live scan documented. Once your business is registered, a fingerprint application form and instructional sheet will be mailed to you. Get your fingerprints electronically documented by an approved vendor and complete a fingerprint request form that you'll submit with your used motor vehicle dealer application. 

Step 4. Purchase liability insurance.

You'll need garage liability insurance in the following amounts.

  • $100,000 per person/incident 
  • Up to $250,000 per incident for bodily injury or death
  • $25,000 for property damage
  • $250,000 for combined personal injury and property damage per incident covering all dealer plates

You insurance certificate holding must read as follows when turned in with your application.

NJ Motor Vehicle Commission
P.O. Box 170

Trenton, NJ 08666

Step 5. Purchase your New Jersey used motor vehicle dealer surety bond.

New Jersey Administrative Code requires you to file a $10,000 surety bond with your used motor vehicle dealer license application. Your bond requires you to comply with state rules that regulate used vehicle sales and protects the state and consumers from financial losses resulting from your noncompliance.

You can apply for your New Jersey used motor vehicle dealer bond online 24/7 with annual premiums starting at $100. Once your order has been processed, your official New Jersey used motor vehicle dealer surety bond will be sent to your email. 

7. Apply for your license and pay the fees.

Submit all application documents and fees by mail.

New Jersey Motor Vehicle Commission
Business Licensing Services Bureau
P.O. Box 170
Trenton, NJ 08666-0170

You'll pay a $100 licensing fee in addition to vehicle registration costs. You can purchase 1 set of vehicle registrations with 5 license plates for $257.50 or 1 set of motorcycle registrations with 3 license plates for $77.00.

Fee TypeFee Amount
Licensing$100.00
Vehicle registration with 5 license plates$257.50
Motorcycle registration with 3 license plates$77.00

How do I renew my New Jersey used motor vehicle dealer license?

Your New Jersey used motor vehicle dealer license is valid for one year and expires on March 31st annually. The Motor Vehicle Commission will mail you renewal forms with instructions approximately 60 days before your license expires.  

Last Updated: September 25, 2023

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