How much does a Florida Auto Dealer Bond cost?
The Florida Department of Highway Safety and Motor Vehicles requires both independent and franchise auto dealers to post $25,000 surety bonds. These bonds are subject to underwriting, which means the price you’ll pay depends on a review of your personal credit report.
Don’t let less-than-stellar credit stop you from purchasing the surety bond you need quickly and easily! SuretyBonds.com offers an exclusive bad credit bonding program through which we can approve 99% of all applicants. Request a free bond quote now!
Begin the bonding process by calling 1 (800) 308-4358 or submitting a bond request. Our experts can typically provide free, no-obligation bond quotes within 1 business day of submitting your application.
What is a Florida Auto Dealer Bond and why do I need one?
By posting a Florida MVD surety bond, principals (auto dealers) pledge to comply with the conditions of any written contract made by him/her in connection with the sale or exchange of a motor vehicle. Specifically, the bond holds dealers to the standards set in Chapter 319 and 320 of the Florida Statutes.
If the dealer fails to comply with these terms, he or she pledges to pay any person who suffers damages or financial loss as a result of the dealer’s unlawful business practices up to the full bond amount.
Terms of the Florida Auto Dealer Bond
Franchise motor vehicle dealer bonds in Florida expire annually on December 31 and independent auto dealer bonds expire on April 30, so your bond premium could be prorated depending on when you buy it. Our team of surety experts works hard to get you bonded according to your specific needs.
The surety can cancel the bond by providing the Department of Highway Safety and Motor Vehicles with written notice of its intention to terminate. The notice must be sent by U.S. registered mail and becomes effective 30 days after the department receives it.
How to become an auto dealer in Florida
To become a licensed auto dealer in Florida, applicants must do the following:
- have a business location approved by a regional office, compliance examiner/officer
- complete the department-issued application form
- pay the fee of $200 for each main location
- post a $25,000 surety bond
- provide a copy of the location lease or proof of ownership
- provide a copy of a pre-licensing dealer training course completion certificate from a department-approved Dealer Training School
- provide the sales tax number and federal employer identification number
- and more
Complete licensing information can be accessed via the Additional Resources section of this page. Take the first step toward getting licensed by purchasing the surety bond you need.
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