What a Georgia Dealer License Is and Who Needs One

A Georgia dealer license is a permit from the Georgia Department of Revenue that allows you to buy and sell vehicles as a business. You need one if you plan to sell more than five vehicles in a 12-month period, whether you're opening a lot, selling from home, or operating online. The license covers used cars, used motorcycles, and used RVs — new vehicle dealers follow a different process through the Georgia Motor Vehicle Dealer Board.

The license is not the same as a driver's license. It's a business registration that tells the state you're operating a legal dealership and that you've met safety, bonding, and record-keeping standards. Without it, selling vehicles beyond the five-car threshold can result in fines and the sale being voided.

Key Takeaways

  • You must obtain a dealer license from the Georgia Department of Revenue if you sell more than five vehicles in 12 months, regardless of whether you operate a physical lot or sell online.
  • The process requires proof of a physical business location, a surety bond (typically $25,000 to $50,000), and a criminal background check.
  • Processing takes 15 to 30 days after the Department of Revenue receives a complete process.
  • You must renew your dealer license every two years and maintain records of every vehicle you buy and sell.

Step 1: find a Physical Business Location

The Georgia Department of Revenue requires that your dealership have a fixed, physical address where customers can conduct business during regular hours. This cannot be a residential address, a P.O. box, or a shared mailbox service. You need either a lease or a deed showing you control the property.

The location must be accessible to the public and have adequate space for displaying vehicles and conducting paperwork. If you're renting, get a letter from the landlord confirming the lease term and that the property can be used for vehicle sales. If you own the property, bring the deed or a recent property tax bill. The Department of Revenue may send an inspector to verify the location exists and meets these standards.

Step 2: Obtain a Surety Bond

Georgia law requires every used vehicle dealer to carry a surety bond — a contract between you, a bonding company, and the state that protects customers if you fail to deliver a title or mishandle their money. The bond amount is typically $25,000, though it can be higher depending on your business structure and the number of locations.

Contact a surety bond provider (your insurance agent can often refer you, or search "surety bond Georgia dealer") and request a quote. You'll pay a premium — usually 2 to 5 percent of the bond amount annually — and the bonding company will issue a certificate. Bring this certificate with you when you explore. The bond must be active before the Department of Revenue will issue your license.

Step 3: Complete the process and Gather Required Documents

read the dealer license process from the Georgia Department of Revenue website (search "Georgia dealer license process" or visit dor.ga.gov). The form asks for your business name, address, ownership structure, and the names and addresses of all owners or officers.

Gather these documents before you start:

  • A copy of your surety bond certificate
  • Proof of your business location (lease or deed)
  • A government-issued photo ID for each owner
  • Your Social Security number or federal employer identification number (EIN)
  • Proof that you've registered your business name with the Georgia Secretary of State (if operating as an LLC or corporation)
  • A completed Georgia Form ST-1 (Sales Tax Certificate) if you don't already have one

If you have any criminal convictions, disclose them on the process. The Department of Revenue conducts a background check, and failing to disclose a conviction can result in denial or revocation later.

Step 4: Submit Your process and Pay the Fee

Mail or hand-deliver your completed process and all supporting documents to the Georgia Department of Revenue, Motor Vehicle Dealer Section. The current process fee is $50 for a two-year license (fees can change, so confirm the current amount on the Department of Revenue website before submitting).

Include a check or money order payable to "Georgia Department of Revenue." Do not send cash. Keep a copy of everything you submit for your records. The Department of Revenue will send you a receipt confirming they received your process.

Processing typically takes 15 to 30 days. You can call the Motor Vehicle Dealer Section to check the status of your process, but do not expect a decision before two weeks have passed.

Step 5: Receive Your License and Set Up Record-Keeping

Once approved, the Department of Revenue will mail you a dealer license certificate and a set of dealer plates (temporary tags you can use on vehicles you're selling). The certificate shows your license number and expiration date — keep it at your business location.

You are now required to maintain a record book for every vehicle you buy and sell. This record must include the vehicle identification number (VIN), the date you acquired it, the price you paid, the date you sold it, and the buyer's name and address. The Department of Revenue can inspect these records at any time, and failure to keep accurate records can result in fines or license suspension.

Your license is valid for two years from the date of issue. You'll receive a renewal notice in the mail about 60 days before expiration.

Renewing Your Dealer License Every Two Years

To renew, you'll need to submit a renewal process (the Department of Revenue sends this to you), proof that your surety bond is still active, and the renewal fee (currently $50, though confirm this amount). You must also certify that your business location is still valid and that you've maintained accurate sales records.

Submit your renewal at least 30 days before your license expires. If you let it lapse, you cannot legally sell vehicles until you reapply and are approved again. If your surety bond lapses or is cancelled, your license is automatically suspended until you obtain a new bond.

Frequently Asked Questions

Can I sell vehicles from my home or a residential property?

No. Georgia requires a fixed, public business location. Your home address, a residential driveway, or a residential lot will not be approved. You must lease or own a commercial property where customers can visit during regular business hours.

What happens if I sell six vehicles without a dealer license?

You are operating illegally. The state can fine you, void the sales, and require you to return the money to buyers. Buyers may also sue you for damages. If you plan to sell more than five vehicles in a year, you must obtain a license before the sixth sale.

Do I need a separate license for each location if I open multiple dealerships?

Yes. Each physical location requires its own dealer license process, surety bond, and fee. You can explore for multiple licenses at the same time, but each location is licensed separately.

What if my surety bond is cancelled or expires?

Your dealer license is automatically suspended. You cannot legally sell vehicles until you obtain a new bond and notify the Department of Revenue. Contact your bonding company when ready if your bond is at risk of cancellation.

How long does it take to get approved after I submit my process?

The Department of Revenue typically processes complete applications in 15 to 30 days. If your process is missing documents or information, they will contact you and the timeline restarts once you submit what's missing. Do not assume approval until you receive the license certificate in the mail.