If you really don't have a Kentucky seller license, you can offer up to five cars. Of training course, this is loads for people who are not marketing automobiles as a principal resource of income. Also, if you are only selling your private vehicles, then you probably are not heading to sell a lot more than five.
However, if you strategy on creating promoting autos a source of income, then you need to very likely get a supplier license. This license is presented by the Kentucky Motor Car Fee, which oversees all dealership actions in the condition.
With that stated, there are diverse varieties of dealership licenses. The a single you want will depend on just what autos you strategy on marketing.
- New Motor Vehicle Dealer: This license covers franchised businesses selling a certain type of vehicle. For instance, if you were opening a Ford location, you would need one of these.
- Used Motor Vehicle Dealer: Anyone who plans on selling used vehicles will need this sort of license. This license also covers wholesale if you also sell individual cars as well.
- Motor Vehicle Leasing Dealer: As the name suggests, this license is for those that lease vehicles but don’t sell them.
- Supplemental Lot: If you are a franchised business already, this license will cover you to sell used cars as well.
- Wholesale Motor Vehicle Dealer: If you only wholesale cars, then this is the license you want. It does not cover selling cars individually.
- Motor Vehicle Auction Dealer: If you operate an auction, this is the license you want. It will allow you to sell cars at an auction.
- Motorcycle Dealer: As you can probably guess, this is for those that sell motorcycles. Any type of motorcycle sale is covered under this license.
- Restricted Dealer/Mobility Dealer: This license covers specialized dealers, such as those that sell mobility vehicles for those with disabilities.
- Restricted/Automotive Recycling Dealer: For those that dismantle cars to sell their parts, this license is for you.
- Recreational Camper Dealer: This license covers those who sell any type of recreational camping vehicle, including R.V.s, pop-ups, and pull-behinds.
- Storage Lot Only: If you are already a car dealer and simply need a storage lot, you’ll need to get this license.
All licenses cost $one hundred. You will also require to pay out for a history verify and a salesperson licensing price if this is your very first dealership license. The two of these price $twenty every single. If you presently have a background examine on record with the condition, you may not require to pay out for an additional 1.
What Do You Need for a Dealership License?
Most types of dealership licenses require the identical factors. You will want to offer information and evidence for these metrics when you implement for your license. Your finished application requirements to be submitted 10 working days prior to the first Friday of every month if you want it on that agenda for that thirty day period. Or else, you’ll have to wait around an additional complete thirty day period.
- Established Place of Business: This includes a display lot, customer parking area, and office. This needs to be on a commercial lot and in a permanent structure, with everything you need to carry out your business according to regulatory ordinances. Currently, the display and customer parking lot need to be at least 2,000 square feet, and the office needs to have all the usual furnishing.
- Insurance: You will need to have a certificate of insurance submitted to the Commission by your insurance company. With that said, you don’t necessarily need this before your business is approved. You can submit this shortly afterward.
- Business Name: A business name that obviously sets you apart as a car dealership is necessary. Usually, words like “used cars” and “auto sales” must be included somewhere. You cannot use a trademarked name unless you are a franchise. You also can’t use words like “wholesale” or “leasing” unless you are applying for those licenses.
- Licensed Sales Personnel: Everyone employed at your dealership must have a license to be a salesperson, including the owner. Therefore, you must be licensed upon requesting a license. Anyone who will work for you also needs one. With that said, this is not a requirement for automotive recycling dealers (since you won’t be selling cars).
- Business Sign: Unless you are a wholesale dealer or already licensed, you will need a unique, permanent sign at your place of business. The sign must already be installed before you submit your application.
- Separation of Facilities: If you have another business, then you will need to have a separate display lot and customer parking. This includes those that have multiple car dealerships (such as a new dealership and a used dealership). The office space does not need to be a separate facility, but you will need a separate office.
- Application: You will also need to fill out an actual application that is completed filled out. A $40 application fee is also required, as well as a $20 fee for each person listed on the application and a $20 background check for everyone listed.
Can I Sell More Than 5 Cars a Year?
You will need a dealership license in Kentucky to market more than 5 autos for each calendar year. Quite a bit goes into acquiring one of these licenses, which includes having a professional place of company. As a result, except if you plan to promote numerous automobiles, it isn’t really worth getting one particular.
It isn’t like other licenses exactly where you need to have to spend $twenty and then be coated. A great deal goes into the application approach, and it will very likely price very a bit of funds.
How Much Does It Cost to Get a Dealer’s License in Kentucky?
All licenses cost $a hundred, not counting a background check and salesperson license, which you will also need. These price $20 apiece, assuming you don’t previously have them. Everybody organizing on doing work for you will require a track record check and a salesperson license. The owner also requirements a single, even if they do not prepare on doing any selling immediately.
In most cases, you will just want one license. For occasion, a used automobile dealership will only need a license to offer utilized vehicles.
Even so, there are some conditions exactly where you will need much more than one license. For instance, opening up a franchised place that will also offer new and used cars would demand two diverse programs and licenses.
How Many Cars Can You Sell Before Being Classed as a Trader?
It does not specifically issue how numerous automobiles you market. If you obtain cars for the primary goal of offering them for a earnings, then you are counted as a trader. It does not issue if you offer 1 automobile or twenty. It is the goal that matters.
In Kentucky, you can promote up to five vehicles prior to needing a license. They really don't notably care about the purpose of the cars. Therefore, you don’t require to worry about getting classed as a trader.
How Many Cars Can I Have in My Name?
There is no limit to the variety of autos you can have in your title. As lengthy as you aren’t offering much more than 5 automobiles a calendar year, the condition does not treatment how a lot of cars you have. Some men and women have far more than 1,000 vehicles in their name, this kind of as the house owners of corporations.
There is no purpose to worry about the number of cars you have in your name in Kentucky. Nevertheless, you can nevertheless only promote five autos a 12 months without having a dealership license, even if that’s a fraction of the vehicles that you possess.
Can You Flip Cars for Profit?
Yes. If you flip beneath 5 vehicles a year, you don’t need to have a license for it, possibly. In some circumstances, individuals could promote a few traditional or exotic automobiles every single year and make loads of money off people sales by yourself. In this situation, you won’t need to have a license – even if it is your major job. You just cannot sell more than five. Even so, if you go above five autos a calendar year, you will require a dealer license.
Licensing dealerships in Kentucky is a little bit expensive. Any person in Kentucky can offer up to five vehicles for each 12 months privately. Nonetheless, if you offer any a lot more than that, you will be counted as a company and will need to have to get a license.
There are several different licenses relying on what you program on undertaking. All licenses only value $one hundred, although a lot goes into acquiring a single. You will want your very own place of business, for occasion, with a sign put in and a identify decided on.
Highlighted Picture Credit history: Dusan Petkovic, Shutterstock
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