Getting a used car dealer license in Nevada

In Nevada, used-car dealers are licensed by Nevada DMV Occupational and Business Licensing.

Before your first retail sale you’ll need a $100,000 surety bond and a business location that meets the state’s rules. The state also inspects the location.

This page gathers what a new independent lot needs, each fact linked to the official source it came from.

Sources checked

At a glance

License
Vehicle dealer, used dmv.nv.gov (source, opens in a new tab)
Issued by
Nevada DMV Occupational and Business Licensing dmv.nv.gov (source, opens in a new tab)
Surety bond
$100,000 for motor vehicle dealer. dmv.nv.gov (source, opens in a new tab) That’s the bond’s face amount, not what you pay: a surety company charges a yearly premium, usually a small percentage of it, set mainly by your credit.
Official fees
$125 new license + $40 fingerprint processing per principal. dmv.nv.gov (source, opens in a new tab)
Site inspection
Yes: DMV site inspection. dmv.nv.gov (source, opens in a new tab)

Step by step

  1. Make sure you need a used dealer license

    Nevada's DMV Occupational and Business Licensing issues the used vehicle dealer license. New-vehicle franchise applicants also file form OBL253, and other occupational licenses differ. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

  2. Set up the site and local license

    Get a city or county business license and set up the entity or DBA with an FEIN. You need a permanent, enclosed building with an office and display space for at least one vehicle, with its boundaries marked. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

  3. Put up a sign that meets the spec

    The permanent sign needs letters at least 8 inches high with a 1-inch stroke, readable from the center of the nearest street. Thin or undersized lettering is a common reason for problems. Take two color photos of the exterior and sign. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

  4. Get the $100,000 bond

    Motor vehicle dealers need a $100,000 bond, the hardest part for most new lots despite the small display requirement. You don't pay that amount: a surety company charges you a premium, a fraction of it, set mainly by your credit. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

  5. History, fingerprints and insurance

    Each principal completes the Personal History Questionnaire (OBL242) and submits one set of fingerprints. Provide insurance information on form OBL273. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

  6. Apply

    Submit the Business License Application (OBL237) with the fees: $125 for a new license plus $40 per principal for fingerprint processing. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

  7. Inspection and approval

    DMV inspects the site and reviews the application before approval. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

The location

Display lot
Display space at least one vehicle, boundaries marked. dmv.nv.gov (source, opens in a new tab)
Office
Permanent enclosed building and office. dmv.nv.gov (source, opens in a new tab)
Sign
Permanent sign: 8-inch letters, 1-inch stroke; readable from center of nearest street. Two exterior/sign color photos. dmv.nv.gov (source, opens in a new tab)
Zoning and home-based lots
City/county business license. dmv.nv.gov (source, opens in a new tab)

Before you apply

Entity/DBA documents, FEIN, local business license, principal history and one fingerprint set per principal. Insurance information required. dmv.nv.gov (source, opens in a new tab)

Forms

OBL237 Business License Application; OBL242 Personal History Questionnaire; OBL273 insurance information. dmv.nv.gov (source, opens in a new tab)

Get the current versions from dmv.nv.gov; we don’t host copies.

Not the license you’re after?

New-vehicle franchise applicants additionally use OBL253; other occupational categories differ. dmv.nv.gov (source, opens in a new tab)

What trips people up

Our read of the requirements above, not official guidance or statistics.

The hardest part: obtaining the $100,000 bond despite a one-vehicle display minimum.

Easy mistakes:

Questions

How much does a Nevada dealer license cost?

$125 for a new license plus $40 per principal for fingerprints. The premium on the $100,000 bond is the big cost. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

How big does the lot have to be?

Big enough to display at least one vehicle, with the boundaries marked. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

What does the sign need?

Letters at least 8 inches high with a 1-inch stroke, readable from the center of the nearest street. dmv.nv.gov › obl243.pdf (source, opens in a new tab)

Sources

Not affiliated with the Nevada DMV. Not legal advice. Requirements change; always confirm with the state.