PA Dealers & Auto Industry
What good would the Pennsylvania Department of Transportation do without the dealers and auto industry to sell and distribute the vehicles throughout the state? These are the key players in getting vehicles to consumers and ensuring that the vehicles are up to standards and laws of the state and federal government.Just as the Department of Licensing is regulating the licensing of vehicles and drivers throughout PA, the dealers are also governed by the rules and licensing procedures of the PennDOT, which determines just what requirements and regulations are appropriate.
- Paperwork Requirements
- Eligibility Requirements
- Signage Requirements
- Lemon Law and Consumer Issues
Dealer Licensing in PA
There is a great and very arduous process involved in applying for a dealership license in PA, but you can save time by checking out the information that 4DMV.com has collected for you so you know before you get started. There are different types of licenses for different types of vehicles, so always make sure you are applying for the right type of license.
Dealer License Types
- New vehicles: private passenger cars and trucks, passenger buses, and/or light vehicles in new condition.
- Used or pre-owned vehicles: private passenger cars and trucks, passenger buses, and/or light vehicles in pre-owned condition.
- New recreational motor vehicles: Motorhomes, RV’s, and/or travel trailers in new condition.
- Used recreational motor vehicles: Motorhomes, RV’s, and/or travel trailers in used condition.
- New or used trailers: semitrailers and/or pole trailers.
- New or pre-owned motorbikes: motorcycles, scooters, mopeds, and quads.
- New or pre-owned mobile homes.
- New or pre-owned special type vehicles: emergency vehicles, and/or hearses.
- New or pre-owned ATV’s, or all-terrain, vehicles.
You will go through a long process when you are ready to apply for your dealership license, much like with most business licenses that are more regulated and restricted in qualifications. You must be sure that all information you provide is completely accurate and can be verified, as the scrutiny of the state’s Board of Vehicle Manufacturers, Dealers, and Salesperson is quite intense. If there is information found to be false, your application will be stalled or completely terminated as a result.
- Complete and submit Vehicle Dealership Initial License Application, which you can download which can be completed only in black ink.
- Provide photos of the building and dealership display area, office used with phone and filing cabinets, dealership sign, and location of business hours posting.
- Submit detailed hand-drawn mapping diagram of dealership layout on paper of letter size.
- Submit copy of lease or dead to prove that property is rented for a period of no less than 6 months.
- Submit copy of phone bill or postal letter from your providing phone company that verifies business has no less than one working business phone line.
- Provide proof of business compliance with local zoning laws.
- Submit copy of Certificate of Occupancy issued by Department of Labor and Industry
- Submit information of recorded prior 5 year period involved with partner, director, and an active owner.
- Submit Salesperson Initial License Application or a Salesperson Change of Employer/Reactivation Application for each individual sales agent in dealership.
- Complete and submit Request for Criminal History Check which you will obtain from the PA State Police.
- Complete and submit form MV-349 -- Application for Vehicle Dealer Registration Plates.
- Complete and submit Manufacturer/Dealer/Full Agent/Card Agent/Messenger Service/Salvor Bond Form - which proves you have current $20,000 cash bond for each dealership location.
- For sale of new vehicles, provide letter from manufacturer to prove compliance with the Board of Vehicles Act, Section 9, with 2 copies of your franchise agreement for any vehicles you plan to sell.
- Pay required $65 by check or money order.
There is a great deal of regulation over the auto industry in PA, even including physical requirements of the buildings you plan to use. If you sell new or pre-owned vehicles, your work site must comply with the following requirements:
- All buildings must have permanent enclosed operation building which has private office for file storage.
- All buildings must contain display area with capacity for no less than 5 vehicles with the doors open.
- Any outdoor display area is required to have proper grading and adequate lighting.
- There must be no less than one business phone line primarily for business use.
- A sign must be attached to the dealership building or on a separate structure, which displays dealership name with easy view for public.
- Dealership is required to conform to any and all building and zoning codes.
- The hours of business must be posted in an area that is easily viewed by public.
- All buildings are required to have certificate of occupancy which meets any and all Pennsylvania Construction Code Act standards.
You must renew the license each odd-numbered year on May 31. You will find all the information you need for Renewal of each type of dealership license.