California DMV Certified Auto Dealer License Educator #CCC0028

Frequently Asked Questions

What is my first step in obtaining a Vehicle Dealer License?

Your first priority is to take the Vehicle Dealer Training class. The class covers a review of the California Laws and Regulations as it pertains to a Vehicle Dealer. Also, inclusive in the class are samples of the Dealer Application process located within your class handbook which every certified student receives. Making this your first step, gives you clear knowledge of the necessary steps you will need to complete to obtain your license. Assistance in completion of the dealer application is extended to anyone who needs help or we do have a Deluxe Dealer Package available – please ask your Instructor for details.

Are Pre-Licensing Classes available online?

This is a frequent question by clients. DMV has allowed online classes due to COVID-19. Our 6 hour pre-licensing class is held as a live webinar or self paced online class. This is a fantastic time to take advantage of your class choice: either a live Webinar class or a Self Paced class, we are no longer required to give face to face classes only!

What If I Don't Pass The DMV Test?

At 24-7 Dealer Training, we take pride in our training handbook and instruction so our students are successful on the first DMV Test. We do, prefer that you study the materials provided in class just prior to taking your test to ensure a great score, and take your test as soon as possible so the information provided is fresh in your memory. However, if circumstances happen that you are unable to successfully pass the DMV Test, you are more than welcome to come back to class for a "refresher" course at No Additional Cost – our goal is excellence in your education and success.

Are Continuing Education Classes Required?

Online or home study dealer license continuing education classes are available for current retail dealers or wholesale dealers who sell more than 49 vehicles per years. We are happy to be a continued support for all Vehicle Dealers.

Do I Need To Obtain A Salesperson License Before I Get a Dealer License?

No. As the owner of the Dealership you are not required to have a Salesperson License in advance. Nor do you need to have prior employment history as a Salesperson. If you would like to work for another dealership, then a Salesperson License would be required.

What Type of Dealer Licenses Are Available (exclusions are defined - California Vehicle Code 286)?

Used Auto-Commercial: Sell used automobiles and trucks to the public and licensed vehicle dealers.

Dealer-Wholesale: Sell to licensed vehicle dealers only.

Auto Broker: Provide the service of arranging, negotiating, assisting, or effectuating, for a fee or compensation, the purchase of a new or used vehicle, not owned by the dealer, for a person(s).

What are the Dealer License Photograph Requirements?

License Type Photograph Requirements
Wholesale Only Dealer Office and Location
New Vehicle Dealer Office, Sign and Display Area
Non Retail - Auto Broker Office, Sign and Location
Used Vehicle Dealer Office, Sign and Display Area

What Fees Are Required To Obtain A License?

$175 Nonrefundable original application fee.

$1 Family Support Program fee.

$100 Autobroker (plus original application fee).

$70 For each branch location (if applicable).

$92 For each dealer plate (plus county fees, if applicable).*

$94 For each motorcycle plate (plus county fees, if applicable).*

*This figure will vary depending on the county where your business is located.
NOTE: Plates are optional, not mandatory.

What Will Exclude Me From Getting My License?

Applicants with convictions, prior departmental actions, business bankruptcies, and/or outstanding civil judgments related to the automobile industry, must file an Abbreviated Application. The purpose of an abbreviated application is to allow applicants to discover if a license will be issued. To expedite the review process, applicants with convictions may submit certified copies of the arresting agencies report and the court documents with their application. An abbreviated application must be submitted to determine your eligibility for a license. Please note that your application fee of $175 is Non-Refundable.

How Large Of A Bond Do I Need? How Do I Qualify?

A Retail Vehicle Dealer Bond is $50,000.

Wholesale Dealer Bonds – there are two choices:

  1. A Wholesale Dealer who sells less than 25 vehicles per year, the bond amount is $10,000.
  2. A Wholesale Dealer who sells more than 25 vehicles per year, the bond amount is $50,000.

Auto Broker Bond is $50,000.

The Bond Company that you choose will typically take an application and run your credit. Your credit report will factor in the cost of your bonding process.

An alternative to the Bond: DMV also has an option of a Cash Deposit in Lieu of a Bond – Please be aware that any Cash Deposit is held for 5 years from the date you go out of business, or a Superior Court Judge orders the release of the deposit.

Once An Application Is Submitted, How Long Before I get A License?

Once your DMV has completed their portion of the application process, a temporary license will be issued which is typically good for 120 days. This allows you to get registered at the Dealer Auctions and get started with your business. The best resource to ask how long it will take to process your application will be Sacramento Occupational Licensing Division – It's hard to second guess the workload they are experiencing at the time you submit your completed paperwork and documents on the DMV Portal.

Please click on the link below for more information about the DMV Portal and the application process.

2023 DMV Updates - Online Occupational Licensing Portal

We hope this page has been helpful in answering some of the basic questions we encounter on a regular basis. We take pride in the fact that at 24-7 Dealer Training Specialists we are always there for our students as a hands on support approach.