How to get an Oklahoma Auto Dealer License

How do I get an auto dealer license in Oklahoma?

Step 1: Determine your Oklahoma auto dealer license type.

Oklahoma auto dealer licenses are issued by 2 separate licensing bodies of the Oklahoma Motor Vehicle Commission. You must select the correct license type for application approval.

New vehicle dealer licenses are issued by the Motor Vehicle Commission (MVC).

Used and wholesale vehicle dealer licenses are issued by the Used Motor Vehicle and Parts Commission (UMVPC).

Step 2: Obtain your license packet.

If you sell new motor vehicles, you can download your Dealer Initial License Packet from the OMVC website forms page, where you can find all forms related to the manufacture, distribution, and sale of new motor vehicles. You should also review the OMVC statutes and rules that regulate your new motor vehicle dealer license.

If you sell used or wholesale motor vehicles, you can access your used or wholesale motor vehicle dealer application from the Used Motor Vehicle and Parts Commission (UMVPC) website.

Step 3: Complete an Oklahoma State Bureau of Investigation report.

Your report must include 3 searches: name-based, sex offender, and violent offender. For more information, visit the OSBI website or call 1(405)848-6724.

Step 4: Register your business.

To be approved upon submission of your Oklahoma dealer license application, you must first register with the Oklahoma Secretary of State to start your business. Although no general business license is required in Oklahoma, you must obtain a sales tax permit from the Oklahoma Tax Commission. Before registering with the Commission, you must obtain a Federal Employer Identification Number (FEIN) from the Internal Revenue Service.

If your registered business is a corporation, LLC, LP, or LLP, you must submit a copy of your incorporation or LLC certificate or a current Certificate of Good Standing issued by the Oklahoma Secretary of State, which you can call at 1(405)521-3911.

Note: If your county or city requires an additional business license, contact your local licensing office for more information.

Step 5: Establish your permanent business location.

New, used, and wholesale dealer location requirements vary. All new, used, and wholesale motor dealers must adhere to the following location requirements.

• Submit photos of the outside of the sales office and the permanently mounted business sign. Used dealers must also provide a photo of the sales lot.
• The business sign must reflect the business and not mislead in any way. The sign must match the application business name and be at least 32 square feet in size, have mounted permanent lettering at least 6 inches in height, and be visible to viewers near the closest roadway.
• Include proof of a usable phone that's listed with local directory assistance.
• Submit a zoning permit (if applicable) from the residing city or county. If your application does not list zoning requirements, you'll need to submit a letter from the appropriate authority stating so.

New Motor Vehicle Dealers

Dealerships that sell new vehicles must have a permanently enclosed structure or building that cannot be a residence. The location must include the following.

• Indoor showroom
• Separate office
• Public areas
• Restrooms
• Service and parts area
• Dedicated parking space

Used Motor Vehicle Dealers

Dealerships that sell used vehicles must have a permanent structure separate from any sort of residence or other business. The facility must include a restroom accessible to the public.

Wholesale Motor Vehicle Dealers

Dealerships that sell wholesale vehicles must be a permanent room or a separate building separate from any other business. “Room” means that dealers can use a room in their home as long as it is solely used for the purpose of wholesale dealing.

Step 6: Purchase $25,000 worth of single limit garage liability insurance.

Your insurance agent must complete your certificate of insurance on the dealer license packet’s enclosed UD-7 form, and it must reflect the dealership ownership, business name, and lot address as they appear on your initial application. Your garage liability insurance coverage must be maintained at all times during your licensure as required by Oklahoma financial responsibility laws. A lack of coverage will result in automatic license revocation.

Note: Secondary lot applicants can submit an amended certificate of insurance that adds the secondary lot's permanent location, business name, and address.

Step 7: Purchase your Oklahoma motor vehicle dealer surety bond.

Oklahoma Statutes Title 47 Section 47-583v1 requires auto dealers file a $25,000 motor vehicle dealer bond to protect the state and its citizens against fraud, fraudulent representations, or other Oklahoma Motor Vehicle Dealer Law violations. Those who suffer a financial loss as a result of your noncompliance can file a claim against your bond to recover damages.

You can apply for your Oklahoma motor vehicle dealer bond online 24/7. Annual premiums start at $125 and are provided after a quick application review.

Step 8: Complete a pre-licensing course.

Used and wholesale dealers must attend an education program administered by the UMVPC. The owner attending can be a sole proprietor, partner, member, or corporate officer. To show proof of attendance, you'll need to supply sample copies of your approved condition of sale documents, which will be given to attendees during the education course. You can access the UMVPC calendar to find class availability and sign up.

Note: Your used or wholesale dealer license will not be issued until your attendance has been verified.

Step 9: Complete franchise application forms and compile documentation, if applicable.

When completing your notarized franchise dealer application, you must provide the following.

Company Balance Sheet or Pro Forma

• The balance sheet must be certified by an officer of the company and be current within the past 60 days. A blank balance sheet form is included in the license packet for your convenience; you may also submit your own, but make sure it's accurate and signed.

History of Business

• Provide a brief history of the business and each owner or executive manager who will be active in the daily operations. Include previous dealership ownership and/or employment.

Affidavit of Extended Service Contracts

• If your application is for the purchase of an existing automobile dealership or franchise, this affidavit must be completed.

Financial Statements

• These might be required on the additional form for corporations and all other ownership types.

Manufacturers and/or Distributors Contacts

• Provide the names, addresses, phone numbers, and contact names for manufacturers and/or distributors whose products you intend to sell.

Dealer Agreements

• You can submit your dealer application without this document to be approved “contingent upon” receipt of the agreement(s). However, the actual franchise license(s) will not be issued until the agreement(s) are received.

Management Agreement

• If you're taking over management of a dealership prior to licensing and factory approval, a copy of the management agreement must be filed prior to the management change.

Step 10: Submit your dealer license application and pay the required fees.

Once you've completed all required steps and gathered all documentation, you can submit your Oklahoma dealer license application packet to the mailing addresses below.

New Motor Vehicle Dealers

Oklahoma Motor Vehicle Commission
4334 N.W. Expressway
Suite 183
Oklahoma City, OK 73116

Note: New auto dealer applications are reviewed by the Board on the second Tuesday of each month. The deadline to submit your application is the Monday 8 days prior to the meeting.

Used and Wholesale Motor Vehicle Dealers

Used Motor Vehicle and Parts Commission
2401 NW 23rd
Suite 57
Oklahoma City, OK 73107

All fees required for Oklahoma dealer licensing are listed in the table below.