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How much does an auto dealer bond cost in Kansas?
A $50,000 auto dealer surety bond is required by the Kansas Department of Revenue. The price you pay for this bond is determined in underwriting. Qualified applicants could pay as little as $400 for their bond!
Ready to get bonded? Apply for a free bond quote now!
Let our experts do all of the hard work for you! Give us a call at 1 (800) 308-4358, or submit a bond request, and one of our surety specialists will contact you right away. It’s that easy!
Why do I need a Kansas auto dealer bond?
A Kansas auto dealer bond, also known as a vehicle dealer surety bond, is put in place to ensure that the principal (auto dealer) adheres to the provisions of Kansas Statutes Annotated, Chapter 8, Article 24 concerning the manufacturing, distribution, sale, and disposal of vehicles. This bond also acts as indemnity for any loss suffered by a retail or wholesale buyer or seller of a vehicle as a result of the licensee’s actions.
Contact one of our bond experts today about getting a free, personalized bond quote. We can typically provide quotes within one business day of submitting an application.
Kansas vehicle dealer bond requirements
Kansas vehicle dealer surety bonds remain continuous unless otherwise canceled. To cancel the bond, the surety must provide written notice 30 days prior to the date of cancellation to the dealer and the Kansas Department of Revenue, Division of Vehicles, Dealer Licensing Bureau in Topeka, Kansas.
The applicant must indicate on the bond form whether he or she has an individual proprietorship, a partnership, a corporation, or an LLC. The original bond must be signed and mailed to the Dealer Licensing Bureau.
How to become an auto dealer in Kansas
To become a licensed auto dealer in Kansas, applicants must have the following:
- A location and lot either owned or leased separate from his or her place of residence with proper signage
- Sufficient office facilities to conduct business
- A place to receive mail at the licensed location
- An operable phone listed under the business name
- Zoning certification by either the county or city zoning office for the business location
- Automobile liability insurance listed under the business name. Insurance coverage must include both the property and its inventory.
- Personal property tax certification that is signed by the county treasurer validating that all personal property taxes have been satisfied
- Used and new car dealers need to provide proof of a valid auto dealer surety bond prior to getting licensed
- Three credit references
Refer to the “Additional Resources” section of this page for more licensing information.