- License
- Used vehicle dealer license
- Surety bond
- $15,000 and up, by sales
- State fee
- $900 for 3 years
- Pre-license course
- Free MVA orientation, required
- Background check
- Criminal record check, no fee
- License term
- 3 years
Maryland dealer license requirements
The figures a first-time used car dealer needs before applying to MVA. Each row shows how well it is supported.
- Surety bond
- $15,000 and up, by salesOfficial source
Used dealers post $15,000 for 1 to 250 sales a year, $25,000 for 251 to 500, $35,000 for 501 to 1,000, $50,000 for 1,001 to 2,500 and $150,000 above that. A new dealer's bond is set on estimated first-year sales.
- State license fee
- $900 for 3 yearsOfficial source
The used vehicle dealer license fee covers the 3-year term and includes one salesperson license. Dealer tags are $150 each for 3 years. MVA collects payment after it approves the application.
- Pre-license education
- Free MVA orientation, requiredOfficial source
You must attend a business licensing orientation before the license is issued. Sessions are held online each month and there is no fee. MVA does not publish the length of the session.
- Background check
- Criminal record check, no feeOfficial source
Each applicant and anyone with a financial interest files the MVA Criminal Record Request Form (CS-011) with a copy of a photo ID. If you lived in another state in the last year, add that state's record.
- Insurance
- Liability certificate for tagsOfficial source
To get interchangeable dealer tags you file a certificate of liability insurance naming MVA as certificate holder. If you have employees you also file proof of workers' compensation. The packet lists no dollar limits.
- Business location
- Lot for 10 cars, office, signOfficial source
A fixed location on a public street with room to display at least 10 vehicles plus customer parking, an office in a substantial building, a permanent sign, lighting and posted hours. MVA inspects it before licensing.
- License term and renewal
- 3 yearsOfficial source
Licenses run 3 years. MVA posts a renewal notice in the Business Portal 60 days before expiration and wants the renewal at least 15 working days before it. After 30 days expired you must file a new application.
- Sales allowed without a license
- Fewer than 3 in 12 monthsOfficial source
Anyone who offers three or more vehicles for sale in a 12-month period is presumed to have bought them for resale, which makes that person a dealer. The owner carries the burden of rebutting the presumption.
- Processing time
- Not publishedConfirm with the agency
MVA does not publish a processing time. It warns that incomplete applications delay review, and the site inspection and the monthly orientation both have to happen before the license is issued.
“Official source” means the state agency’s own page, form or law. Where the state’s sources did not settle a point, the row says so instead of showing a guess.
Who issues the license
Maryland Department of Transportation Motor Vehicle Administration, Business Licensing and Compliance Division
License you apply for
Used vehicle dealer license
Official licensing pageThe orientation is online, whatever the form says
How to get a Maryland dealer license
The order that works for a first application. Tick each step off as you finish it.
Choose a location that meets the state rules
Read COMAR 11.12.01.03 and .04 before you commit to a site. You need a visible location on a public street, display space for at least 10 vehicles, customer parking, an office and a permanent sign. Take the Zoning Approval Form (CS-053) to the local zoning office and have an official complete the lower portion.
COMAR 11.12.01.03 · CS-053
Register the business and get a trader's license
Register the corporate name and every trade name with the State Department of Assessments and Taxation, and get an EIN. Then get a trader's license from the Circuit Court in the jurisdiction where the dealership is located. MVA wants a copy of each.
SDAT · trader's license
Line up the bond, repair contract and ERT provider
Get the surety bond (CS-067A) in the dealership's full name with every owner listed exactly as on the application. If you have no shop on site, sign a repair facility contract (CS-125) with a shop within 5 miles. Contract with an electronic registration and titling (ERT) provider, and get your liability and workers' compensation certificates.
CS-067A · CS-125
Complete the Dealer's License packet and file online
Fill out the Application for Vehicle Dealers License (CS-042), the orientation request (CS-303) and a Criminal Record Request Form (CS-011) for each applicant. Upload the packet and all supporting documents through the myMVA Business Portal. Do not start operating until the license is approved.
CS-042 · myMVA Business Portal
Pass the MVA site inspection
An MVA compliance inspector contacts you to schedule a visit, checks the location against the regulations, and uploads a report and photos to your application. Business Licensing then tells you whether you passed and what to do next.
On-site inspection
Attend the business licensing orientation
MVA contacts you to sign up for an orientation session. Sessions run monthly online and are free. Owners must attend before the license can be issued, and MVA encourages title clerks and office staff to join.
CS-303 · free
Pay the fees and collect your license and tags
After approval, Business Licensing contacts you about payment. The used vehicle dealer license is $900 for 3 years and comes with one free salesperson license. Interchangeable dealer tags are $150 each for 3 years. Each additional salesperson needs a license, which is $225 for 3 years.
$900 · tags $150 each
Practical advice
Before you apply
Seven things to settle before any state application: the business, the owners, the money and the property.
Read the startup playbookMaryland dealer location requirements
What the state checks at the business address.
- The dealership must face, adjoin and be fully visible from an improved public street or highway that has a name or postal number.
- Room to display at least 10 vehicles safely, plus customer parking, on a surface MVA approves.
- The location must meet local zoning (Zoning Approval Form CS-053) and be fully lighted.
- An office in a substantial building at the fixed location with a desk and chairs, secure storage for State property, electricity, lighting and heat.
- Telephone service in the dealership's name, and posted business hours when the office is open to the public and to MVA inspectors.
- Permanently affixed signs, legible from the street, that identify the business and direct customers to the office.
- A repair facility on site, or a repair facility contract (CS-125) with a shop within 5 miles of the dealership.
Zoning comes first
Keeping a Maryland dealer license
Renewal and ongoing duties
Report any change of name, address or ownership to MVA within 30 days. Keep the bond matched to your sales volume and keep the trader's license, ERT contract and insurance current. Renew in the Business Portal at least 15 working days before the 3-year license expires. An account more than 30 days expired cannot be renewed.
Federal rules that apply here too
- The FTC Buyers Guide, posted on every used vehicle you offer for sale.
- The FTC Safeguards Rule: a written plan for protecting customer financial information.
- IRS Form 8300 when a customer pays more than $10,000 in cash.
- A federal odometer disclosure on each transfer.
Maryland dealer license FAQ
The questions first-time dealers ask most.
How do I get a used car dealer license in Maryland?
Complete MVA's Dealer's License packet and submit it through the myMVA Business Portal. You need a qualifying location with zoning approval, a trader's license, SDAT registration, a surety bond, a repair facility or repair contract, an ERT provider contract and a criminal record check. An MVA inspector visits the site, you attend a free orientation, and then you pay the license fee.
How much is the dealer bond in Maryland?
For a used vehicle dealer the bond depends on sales in the preceding license year: $15,000 for 1 to 250 vehicles, $25,000 for 251 to 500, $35,000 for 501 to 1,000, $50,000 for 1,001 to 2,500 and $150,000 for more than 2,500. A new dealer's bond is based on estimated first-year sales and cannot be less than $15,000.
How much does a Maryland dealer license cost?
The used vehicle dealer license fee is $900 for the 3-year license, and it includes one salesperson license. Interchangeable dealer tags are $150 each for 3 years, and each additional salesperson license is $225 for 3 years. The bond premium, trader's license, insurance and ERT service are separate costs.
Do I need a pre-licensing course in Maryland?
You need to attend MVA's business licensing orientation before the license can be issued. It is free and held online each month. You request a seat with form CS-303, which goes in with your application. There is no separate paid course or exam in MVA's dealer packet.
Can I get a Maryland dealer license without a car lot?
Not for retail sales. A used vehicle dealer needs a location that can display at least 10 vehicles and has customer parking, an office and a sign. Maryland regulations allow MVA to waive the display requirements for wholesale dealers, but a wholesale dealer may sell only to other dealers and never to the public.
How many cars can I sell in Maryland without a dealer license?
Fewer than three in any 12-month period. Under the Transportation Article, a person who offers three or more vehicles for sale in 12 months is presumed to have acquired them for resale, which makes that person a dealer who needs a license. The owner has the burden of rebutting that presumption.
Sources
- AgencyMVA: Business Licenses for Dealers
- FormMVA: Business Licensing Packet, Dealer's License
- AgencyMVA: Business Licensing Orientation Sessions
- LawCOMAR 11.12.01: Dealers and Salesmen
- LawMaryland Transportation Article §15-308: dealer surety bond
- LawMaryland Transportation Article §15-101: who is a dealer
- AgencyMVA: Vehicle Dealers & Title Services
Checked October 2026. This is general information, not legal, tax or insurance advice. Fees, bond amounts and forms change, and local zoning rules vary. Confirm current requirements with MVA or your attorney before you sign a lease or pay a fee.
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Plan the rest of the launch
- Startup playbookWhat to settle before you apply in any state.
- Startup budget plannerAdd up inventory, the lot, licensing and a cash reserve.
- Opening-day checklistEleven things to have in hand before the first sale.
- Dealer auction sitesWhere licensed dealers buy inventory.
- Floor plan lendersHow dealers finance the cars on the lot.
- Dealer management systemInventory, deals, titles and your website in one place.
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