Open a dealership

To register as a retail dealer licensed by the Department of Motor Vehicles in New York State

You can also call the Office of Vehicle Safety and Clean Air at 1-518-474-4653 to get the forms, or call  1-518-474-0919 to get more information.


What do I need to send with my application?

Your completed Original Facility Application must include

  • a copy of your complete original sealed and signed Surety Bond: Dealer Bond Under NYS Vehicle and Traffic Law Section 415 (6-B) (VS-3) with power of attorney papers made out to your business name and address
  • proof that you have permission to use the property at the business location (notarized statement from property owner, lease (may be contingent on facility approval), sub-lease with primary lease, mortgage, deed or receipted tax bill)
  • your Sales tax ID number and a copy of your Sales Tax Certificate of Authority (you may need a FEIN from the IRS before this step)
  • proof of Workers Compensation Insurance for your employees (if you have no employees, indicate that on the application)
  • a photocopy of driver license(s) or other government issued photo ID for everyone listed on the application
  • a receipt for your purchase of the dealer’s starter kit and signs
  • all required fees, via checks (app/license check & MV-50 check) payable to the Commissioner of Motor Vehicles
  • a Filing Receipt from NYS Department of State (Corporation or LLC) or a Business Certificate from the County Clerk (individual using assumed name or partnership)

 

I do not have my Certificate of Authority yet, what do I do?

Do not submit an application with DMV yet!

The Certificate of Authority and Sales Tax ID number are issued by the New York State Department of Taxation and Finance (DTF).  You may apply by visiting the NYS DTF website.  Be sure to record your Sales Tax ID on the Original Facility Application.

 

I do not have my Proof of Business name yet, what do I do?

Do not submit an application with DMV yet!

Corporations and LLCs: You must submit a copy of your Filing Receipt from the Department of State.  Instructions to file can be found on the NYS Department of State website.

Partnerships and Individuals Using an Assumed Name: You must submit a copy of your “Business Certificate of Assumed Name”.  Contact your county clerk to obtain your business certificate.

 

I do not have proof of Workers Compensation Insurance yet, what do I do?

Do not submit an application with DMV yet!

If you have any employees (family included) you must submit proof of Workers Compensation Insurance.  You can visit the NYS Workers Compensation Board website for instructions on this process. If you do not have any employees, indicate that on your application.

 

I do not have a Surety Bond yet, what do I do?

Do not submit an application with DMV yet!

DMV does not provide Surety Bonds; you must contact a surety insurance company and have them fill out the Dealer Bond Under NYS Vehicle and Traffic Law Section 415 (6-B) (VS-3).  Be sure that the business name and mailing address on your bond exactly matches those that show on your application.

The amount of the bond depends on the number of vehicles you anticipate selling (used motor vehicle dealers):

Vehicle Sold in Previous Calendar YearBond Amount
50 or fewer$20,000
More than 50$100,000
Franchised dealers selling cars, SUVs, light trucks, etc.
* Dealers selling only trailers, motorcycles, vehicles over 10,000 pounds, ATVs, boats, snowmobiles are exempt from the bond requirements.
$50,000

  

Where do I send my application?

You must submit a hard copy of your application, associated documents and fee to this address

NYS DMV Bureau of Consumer & Facility Services
Application Unit
P.O. Box 2700
Albany, NY  12220-0700

 

What happens after I apply?

You will be contacted by a clerk from Vehicle Safety’s Application Processing Unit.

Once your application is reviewed for completeness at our Albany office, it will be sent to a regional office for review. They will contact you to schedule an on-site investigation.

 

What can I expect at my on-site investigation?

When the automotive facilities inspector (AFI) arrives to inspect your facility, they will be checking that you have the following items

  • dealer starter kit
  • permanently mounted signs visible from the street ( the AFI will deny your application if your signs are not clearly visible)
  • proof of identification for everyone named on the application (driver license or other government issued photo ID)

In addition to the supplies listed above, the AFI will examine your location for these characteristics

  • a clear and permanent physical barrier from other businesses that may share your location (separating display areas, signs and offices)
  • a display lot
  • a mailbox at the business address dedicated to your business only
  • a method of locking security items (locking cabinet, safe, etc.)
  • heat, electricity, desk and chairs
  • a business phone (cell phone is acceptable)

If approved, the DMV will issue you a certificate of registration, MV-50s (Retail Certificates of Sale) and a dealer plate letter (if applicable).

 

How do I get an official dealer sign?

DMV does not provide official dealer signs.  You may purchase these signs from various sign shops and automotive supply stores.

Your sign needs

  • red background and white lettering
  • to measure at least 3 feet wide by 2 feet tall
  • display “REGISTERED (Facility Number) STATE OF NEW YORK MOTOR VEHICLE DEALER” in two inch block lettering, as configured in the example shown in the footnote 1
  • to be permanently mounted and visible at all times from the nearest street or highway

 

Starter kit components

  • Book of Registry (Police Book)
  • Bills of sale (Retail Certificate of Sale (MV-50))
  • Odometer Statements (except ATV and Boat Dealers)
  • Warranty Forms (except ATV and Boat Dealers)

All forms must comply with current Regulations for Motor Vehicle Dealers and Transporters (CR-78).

These items may be purchased through these vendors2

 

How do I get a Surety Bond?

DMV does not provide Surety Bonds, you must contact a surety insurance company and have them fill out Dealer Bond Under NYS Vehicle and Traffic Law Section 415 (6-B) (VS-3) .  Be sure that the business name and mailing address on your bond exactly matches those that show on your application.

The amount of the bond depends on the number of vehicles you anticipate selling (used motor vehicle dealers)

Vehicles Sold in Calendar YearBond Amount
50 or fewer$20,000
More than 50$100,000
Franchised dealers selling cars, SUVs, light trucks, etc.
* Dealers selling only trailers, motorcycles, vehicles over 10,000 pounds, ATVs, boats, snowmobiles are exempt from the bond requirements.
$50,000

 

What if I want to be a Snowmobile Dealer?

To apply for a snowmobile dealer business certificate you must use form  Application for a Snowmobile Dealer Registration (RV-253).

  • 1. Retail Dealer Sign 
  • 2. DMV does not endorse these companies or otherwise represent that DMV has any association with or oversight of these companies.