How to Become a Motor Vehicle Dealer in Virginia
This guide is for informational purposes only. SuretyBonds.com does not regulate or manage Motor Vehicle Dealer License in Virginia. Contact the Virginia Motor Vehicle Dealer Board for the latest official requirements.
How to Become a Motor Vehicle Dealer in Virginia
The Virginia Motor Vehicle Dealer Board (MVDB) regulates auto vehicle dealer licensing under Title 46.2 Chapter 15. To receive a license, you must apply with the MVDB.
Learn how to become a licensed dealer with this step-by-step guide.
Who Needs a Motor Vehicle Dealer License?
Anyone who sells more than four vehicles per year in Virginia needs an auto dealer license. You can be licensed either as a franchise or independent dealer.
- Franchise Dealer: Licensed with a franchise agreement to sell new or used motor vehicles, trailers or semitrailers
- Independent Dealers: Licensed to sell used motor vehicles, trailers, motorcycles and RVs
How Do I Get a Motor Vehicle Dealer License in Virginia?
Follow these nine steps to become a licensed auto dealer.
Step 1: Establish the business
Set up your business entity and location:
- Determine your business structure
- Register with the State Corporate Commission (SCC)
- Find a permanent facility to sell and store vehicles
Ensure that your physical facility meets state regulations and inspection requirements.
Step 2: Take the dealer qualification test
To be a board-qualified motor vehicle dealer, you must take an exam. Fill out a test application and pay the $50 fee.
Once you pass the exam, the MVDB will issue your certificate of qualification.
Step 3: Fill out the license application form
Complete the motor vehicle dealer license application form, either typed or handwritten. Make sure all the information you enter is accurate.
Step 4: Complete the buyer’s order form
Draft a buyer’s order form to submit with your application for approval by the MVDB. Follow the guidelines laid out in the Virginia code and buyer’s order checklist.
Step 5: Get a local zoning certificate
Follow zoning regulations and complete a zoning certificate for your business location with a local official. Submit this certificate with your license application packet.
Step 6: Provide your franchise agreement (if applicable)
If you are registering as a franchise dealer, create a franchise agreement and attach a copy with your submission.
Step 7: Purchase a $50,000 surety bond
Next, purchase a $50,000 motor vehicle dealer surety bond. This bond is required for the first three years of operations to protect your customers from financial harm.
Step 8: Apply for dealer plates
Finally, you’ll need dealer plates to apply for your dealer license. Fill out a dealer plate application and submit it along with your license application.
You’ll need to purchase liability insurance or have a certified self insurance number to include on the form.
Step 9: Submit application and fees
Once you complete the application packet, gather payment for the following fees:
| Document | Cost |
|---|---|
| Dealer Certificate | $270 |
| Additional License Type Endorsement | $50 per license |
| Motor Vehicle Transaction Recovery Fund | $350 |
| First 2 Dealer Plates | $60 |
| Additional Dealer Plates | $26 per plate |
| Salesperson’s License | $50 per person |
You can mail your application packet to the following address:
Virginia Department of Motor Vehicles
P.O. Box 27412
Richmond, VA 23269
Or, you can deliver in person to the address below:
Virginia Department of Motor Vehicles
2201 West Broad Street
Suite 104
Richmond, VA 23220
How Much Does It Cost to Get a Dealer’s License in Virginia?
There are a few fees that come along with a Virginia auto dealer license application outlined in the table above. You can expect to pay $730 in fixed fees plus $500–$1,250 for the $50,000 dealer bond.
However, other fees are variable and depend on the amount of salespeople, plates and additional licenses.
How Long Does It Take to Get a Dealer License in Virginia?
After you submit your application and supporting materials, the MVDB will review your application. If everything is correct, they will send your information to a field representative, who will schedule an opening inspection, typically 2–4 weeks after submission.
If you pass, you will receive your licensing materials and begin operating as a motor vehicle dealer in Virginia. Materials are usually mailed 1–2 weeks after the inspection.
How to Renew Your Motor Vehicle Dealer License
The Motor Vehicle Dealer Board will mail the forms and documents required to renew your license around 30 days before the expiration date. The renewal notice, invoice and the following documents will be included in your renewal packet.
| Form Name | Form Type |
|---|---|
| MVDB 9 | Dealer Plate Application |
| MVDB 10 | Motor Vehicle Dealer Renewal Application |
| MVDB 55 | Record of Wholesales and Retail Sales Out-of-State |
| MVDB 58 | Self-Inspection Checklist |
| MVDB 61 | Salesperson License Application |
| Background Check | Background Check Policy |
All forms must be signed, with fees attached, and postmarked before the last day of the month that your license expires to avoid a late fee.
Note: A late renewal fee will be 50% of your dealer and salesperson’s license fees. Renewal applications received more than 30 days after the expiration date will be treated as a new application.
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Last Updated: August 1, 2025
