How Do I Get an Auto Dealer License in Pennsylvania? 

To get an auto dealer license in Pennsylvania, follow these six steps:

Step 1: Determine your license type

New vehicle, used vehicle, and motorcycle dealers have the same application process. You must apply separately as a miscellaneous dealer if your services include any of the following:

• Repair and towing
• Vehicle salvage
• Transporter
• Financier or collector
• Repossessor and watercraft trailer dealer

Step 2: Register your business

Next, define your business’s legal structure. Register online with the Pennsylvania Secretary of State.

Step 3: Purchase a surety bond

You must purchase a $20,000 surety bond to apply for a dealer license. This is a financial guarantee that you’ll uphold PA Code Title 75. 

Purchase your $20,000 Pennsylvania auto dealer bond instantly online for just $200.

Step 4: Submit application

Complete the license application on the Pennsylvania Licensing System (PALS) website. You will also need to submit the following supporting documents:

• Credit letter of reference from a bank
• Three letters of reference from businesses or employers 
• Notarized statement of being debt-free
• Photos of your dealership’s interior and exterior
• Hand-drawn diagram of your facility and lot
• Property deed or a minimum six-month lease 
• Local municipality zoning documentation
• Phone bill for an on-site business landline 
• Background check authorization for each owner and authorized agent
• Payment for the $190 fee

You can check your application status by logging into your PALS account. The Board will email you their decision.

If the Board needs more time to review your application or conduct investigations, you may receive a 60-day temporary certificate of authorization. The Board will issue your official license once the certificate expires. 

Step 5: Prepare for and pass inspection

Under Pennsylvania Code Title 49 Chapter 19.18, all auto dealers must have a permanent, private facility. Ensure your building complies with state standards and signage requirements.

Once your application is approved, the Board will inspect your facility. You must pay a $45 reinspection fee if you don’t pass.

Step 6: Purchase dealer plates

Once you pass the facility inspection, the Board will issue you a Dealer Identification Number. You will then need to apply for dealer registration plates for all cars in your lot. 

The Board will mail your dealer license and registration plates. 

How to Renew Your Motor Vehicle Dealer License

Pennsylvania motor vehicle dealer licenses expire on May 31 of each odd-numbered year. Renew your license online via PALS and pay the $274 renewal fee.