Florida Motor Vehicle Dealer Bonds

A customer gives a "thumbs-up" at a car dealership.
SuretyGroup.com can help your business get bonded.

Licensing Periods for Florida’s Six Dealer Classes

 

If you are selling motor vehicles in Florida, chances are you need to be licensed. Dealing three or more motor vehicles in a 12-month period is considered to be a business. A part of doing business in Florida involves obtaining either a surety bond or a letter of credit before a license can be issued. This ensures that motor vehicle dealers conduct business ethically and comply with state laws.

Florida has six classes of Motor Vehicle Dealer Licenses with a bond amount of $25,000:

Independent Dealer licenses are for those selling used cars only, at retail or wholesale. The license period is from May 1 – April 30.

Franchise Dealers licenses are for new car sales from the manufacturer, and the license also allows for used car sales. The license period is from Jan. 1 – Dec. 31.

Service Facility licenses are for those who do maintenance and repair on vehicles. The license period is from Jan. 1 – Dec. 31.

Wholesale Dealer licensees may only buy from, sell to and deal at wholesale with other licensed dealers. The license period is from May 1 – April 30.

Auction licensees deal with the auction bid process for licensed dealers. The license period is from May 1 – April 30.

Salvage licensees deal with salvaged or wrecked vehicles. The license period is from May 1 – April 30.

 

Surety Bonds are also required for other businesses in the motor vehicle industry:

Mobile Home Dealers:  A license is required for anyone that deals in one or more new mobile homes in a 12-month period. A surety bond of $25,000 is required, and the license period runs from Oct. 1 – Sept. 30.

Mobile Home Brokers: A licensee may only sell used mobile homes at retail or wholesale. A $25,000 surety bond is required.

Mobile Home Installers must be bonded for $5,000, and Mobile Home Manufacturers are required to have a $50,000 bond.

Recreational Vehicle Dealers: Licensees deal in one or more recreational vehicles during a 12-month period. There are two classes of licenses. Both require a $10,000 bond and expire on Sept. 30.

New Recreational Vehicle Dealer – can sell new and used vehicles.

Used Recreational Vehicle Dealer – can only sell used recreational vehicles.

Recreational Vehicle Manufacturer, Distributor, Importer or Van Converter licensees must be bonded for $10,000.

 

Bond premiums depend on various factors including the bond amount, the dealer’s financial strength, experience in the industry and stability in the market.

 

How to Get Bonded

If you are a motor vehicle dealer in Florida and you need a surety bond, SuretyGroup.com can help. Our Surety Bond Specialists can give you a free, no-obligation quote and walk you through the bonding process.

Contact our Surety Bond Specialists to get started. Call 1‑844‑432‑6637 or email info@suretygroup.com.

 

SuretyGroup.com – Your Online Bond Provider.

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