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10 Maine Dealer License Requirements
Maine Dealer Licenses are issued by the Secretary of State's Bureau of Motor Vehicles (BMV), Dealer Licensing Section. This page covers Maine's 12 Dealer License types, their requirements, bond size, costs, and how to apply.
Name your Dealership
Your company name is the first step, because you use it through the entire Dealer License process. Maine's Dealer application accepts an individual, a partnership, or a corporation, and an LLC checks the “Corporation (LLC)” box. The BMV's instructions also cover an LLP and an LP.
An LLC keeps your business separate from your personal life and adds trust to the name. A corporation, LLC, LLP, or LP includes its organizational documents from the Bureau of Corporations, Elections, and Commissions. An out-of-state entity also files its Application for Authority to do Business in Maine.
Start as the business type you'll keep. A change of ownership or business type is filed on the full application again, with the $150 filing fee.
Choose your Dealer License Type
Maine issues 12 main Dealer License types, segmented by vehicle type. Motorcycles, trailers, and equipment are separate from the New Car and Used Car Dealer Licenses. An Annex License or a Secondary Location License adds a location to a license you already hold.
| License Type | What It Lets You Do |
|---|---|
| New Car Dealer License | Sell new vehicles, and buy and sell at the dealer auctions. Requires the 3,500-square-foot display area and a 400-square-foot repair facility |
| Used Car Dealer License | Buy and sell used vehicles, at the dealer auctions and to the public. Same display area and repair facility as a New Car Dealer; Maine has no lighter wholesale tier |
| Motorcycle Dealer License | Sell motorcycles. $50 a year, $5 dealer plates, and a display area for 2 of the largest units instead of 3,500 square feet |
| Equipment Dealer License | Sell equipment. No bond and no liability insurance filing; display area for 2 of the largest units |
| Heavy Trailer LicenseTrailers over 3,000 lbs. | Sell heavy trailers. Display area for 2 of the largest units; the bond and insurance filing apply |
| Light Trailer LicenseTrailers of 3,000 lbs. or less | Sell light trailers. $50 a year and no bond; the insurance filing applies only if you request dealer plates, at $5 each |
| Trailer Transit License | No display area required, so the office is the only building rule. $150 a year |
| Transporter License | No display area required, and no dealer training. $150 a year |
| Loaner License | No display area, no dealer training, and no new inspection if you already hold a Dealer License. $150 a year |
| Recycler License | Run a vehicle salvage yard. The application adds salvage-yard questions, an NMVTIS ID, and proof of compliance with 30-A M.R.S. §3753 |
| Auction LicenseVehicle Auction Business License in the statute | Run a vehicle auction. Requires its own Secretary of State facility inspection and can't be transferred |
| Online Used Car Dealer License | Sell used vehicles online only, with no lot in Maine. For a corporation or LLC with 100 or more sales a year in more than one state; $500 a year, a $350,000 bond, and no dealer plates |
Get your Dealer Bond (Surety Bond)
A Maine Dealer License requires a surety bond of $25,000 to $100,000, sized by the prior year's sales (29-A M.R.S. §901(4)). The bond protects customers if you break Maine's dealer laws. A $25,000 Dealer Bond costs only $250 a year at the base rate, after a credit check.
Equipment Dealer and Light Trailer Licenses require no bond. An Online Used Car Dealer License requires a flat $350,000 bond instead of the tiers. A claim must be filed within 3 years of the sale, and letting the bond lapse is grounds for immediate suspension.
| License Type | You Pay | Bond Amount |
|---|---|---|
| Dealer License, up to 50 sales a yearMaine - Motor Vehicle Dealer (Continuous). Credit check required | $250/yearabout $21 a month | $25,000 |
| Dealer License, 51 to 100 salesMaine - Motor Vehicle Dealer (Continuous). Credit check required | $500/yearabout $42 a month | $50,000 |
| Dealer License, 101 to 150 salesMaine - Motor Vehicle Dealer (Continuous). Credit check required | $750/yearabout $63 a month | $75,000 |
| Dealer License, 151 or more salesMaine - Motor Vehicle Dealer (Continuous). Credit check required | $1,000/yearabout $83 a month | $100,000 |
| Equipment Dealer License | No Bond Required | |
| Light Trailer License | No Bond Required | |
Get your Liability Insurance (R-1348 Filing)
A Maine Dealer License requires automobile liability insurance before the license or dealer plates are issued (29-A M.R.S. §1612). The minimum is $100,000 per person, $300,000 per accident, and $100,000 for property damage. That is the limit of the policy, not the cost; your insurance agent quotes the price.
Your agent sends the BMV an R-1348 insurance filing, and it isn't due until the facility inspection is complete. You can file a surety bond of the same amounts in place of insurance.
Equipment Dealer Licenses are exempt, and so is a Light Trailer License that requests no dealer plates. A trailer dealer that certifies it never hauls on public roads is exempt too.
Set up your Dealer Office (Established Place of Business)
A Maine Used Car Dealer License requires an established place of business, a permanent building with a 3,500-square-foot display area (29-A M.R.S. §851(4)). The office may be attached to your home.
The rule says it “is separated from any living quarters by a solid wall without access points” and “has an entrance used exclusively to gain access to the established place of business.” The same rule appears in every license type's section except the Online Used Car Dealer License, which needs no office at all.
Transporter, Trailer Transit, and Loaner Licenses need no display area, so the office is their only building rule. The location is in a Maine city or town, whose official signs the zoning form.
| What Maine Requires | |
|---|---|
| Building | A permanent, enclosed building, heated and in good repair, owned or leased by you, with its own entrance and a solid wall from any other business |
| Office | At least 64 square feet, heated in business hours, with at least one desk, 2 chairs, and a filing cabinet; walled floor to ceiling, and separated from any living quarters by a solid wall with no access points |
| Display area | At least 3,500 square feet for a New or Used Car Dealer, on pavement, gravel, crushed rock, or mowed grass, plowed in winter; customer parking and gas pumps don't count. Motorcycle, trailer, and equipment dealers: room for 2 of the largest units |
| Repair facility | At least 400 square feet of workable floor space, heated, on a hard surface, for New and Used Car Dealers |
| Sign | Permanently mounted, at least 12 square feet, readable from 200 feet, with the business name |
| Hours | At least 30 hours a week over at least five 6-hour days, between 6:00 a.m. and 9:00 p.m., posted and visible from outside |
| Equipment | A computer with internet access and a printer in the office, for Dealers licensed on or after January 1, 2026 |
| Zoning | Form MVD-363, signed by a city or town official and notarized, showing the location meets local building codes and land use ordinances |
Complete the Dealer Training (Dealer/Title Training)
A new Maine Dealer License applicant completes the BMV's Dealer/Title Training and signs an affidavit before the license is issued. The training is free, with no published hour count, and Maine has no Dealer exam. The owner or an employee of the dealership reviews the BMV's training documents, then signs the Dealer Licensing Training Affidavit.
Loaner and Transporter Licenses are exempt, and nothing repeats at renewal.
Pass the Background Check (SBI Background Check)
A Maine Dealer License application requires a State Bureau of Identification (SBI) background check for every owner, officer, director, shareholder, member, manager, and partner. It costs $21 per person, and the BMV requests it from the State Police; you supply each person's full legal name and date of birth. It repeats at every renewal.
For a corporation, “officer” means the President, Vice-President, CEO, CFO, COO, Secretary, and Treasurer.
If you have a record
- Denial is discretionary, not automatic. Maine law says a record “shall not operate as an automatic bar” to a license (5 M.R.S. §5301), and the Secretary of State “may” deny.
- The crimes that count. Fraud in the business of selling vehicles, or a civil judgment for fraud, misrepresentation, or conversion (29-A M.R.S. §903). The BMV's rule adds crimes against persons.
- The waiting period has two clocks. The BMV rule counts from the conviction: a Class D or E crime against a person within 3 years, or Class C or higher within 5. Maine's general licensing law counts 3 years from your final discharge (5 M.R.S. §5303).
- What you disclose. Any finding of guilt in the past 5 years and any fraud judgment, sworn before a notary. For a corporation or partnership, each director, officer, and partner answers.
- A pardon or set-aside clears it; sealing is narrow. Sealing reaches only Class E convictions after 4 years, and the Secretary of State can still see a sealed record.
- You can appeal. A refused applicant gets a hearing before the Secretary of State on request (29-A M.R.S. §902).
Submit your Dealer License Application (MVD-350)
You apply to the Bureau of Motor Vehicles on paper. The Complete Dealer Packet is mailed or faxed, with notarized forms and a check or a phone-in card payment; there is no online application. The filing fee is $150, plus the annual license fee for each type, and every fee is itemized under costs.
The application asks for a Federal ID Number or the owner's SSN, plus a copy of your Maine sales tax certificate. That tax registration asks for the SSN of every director, partner, officer, or member, and an EIN for every business type except a sole proprietor.
Pass the Facility Inspection (BMV Detective)
A Maine Dealer License location is inspected after you apply and before the license and plates are issued. A Bureau of Motor Vehicles Detective visits to confirm the facility meets the minimum requirements for your license type. An inspection report then goes to the Secretary of State before approval.
A Loaner applicant who already holds a Dealer License skips it, and the BMV re-inspects periodically after licensing.
Get your Dealer License Plates
Maine dealer license plates cost $20 a year each, or $5 for a Motorcycle or Light Trailer Dealer. A new Dealer generally gets up to 4. After that the count follows the BMV's sales chart: 4 to 12 sales a year earns 2 plates, 13 to 25 earns 4, and 26 to 50 earns 5.
Dealer tags let you drive your inventory, and you can use one plate for your own personal use plus one more for your immediate family. A full-time sales representative, general manager, sales manager, or service manager on your payroll can drive on them too. A customer can demonstrate a vehicle for up to 7 days.
- Family plates: after 1 year in business with at least 20% ownership, up to 5 per license and 1 per owner. For a spouse or a child under 19 living with you, on an inventory vehicle
- Expiration: the last day of the month, one year from issuance
- Weight: a 10,000 lbs combined vehicle-and-load cap, unless you hold a written demonstration or laden permit
- Temporary registration plates: $2 each, good for 30 days
- Online Used Car Dealer License: no dealer plates; Maine temporary plates only for sales to Maine buyers
Dealer License Cost
A Maine Dealer License is $150 a year for most license types, plus a $150 filing fee with the first application. A Motorcycle or Light Trailer Dealer is $50 a year. Every other fee on this page is in the table.
| Fee | Amount |
|---|---|
| Filing feeWith a new application, a change of location, or a change of ownership or business type | $150 |
| Dealer LicenseNew Car, Used Car, Loaner, Equipment, Transporter, Recycler, Auction, Heavy Trailer, or Trailer Transit | $150 a year each |
| Motorcycle Dealer License | $50 a year |
| Light Trailer License | $50 a year |
| Online Used Car Dealer License | $500 a year |
| Annex LicenseA second established place of business under your license | $150 a year |
| Secondary Location LicenseA smaller display-only location, at least 2 vehicles | $100 a year |
| SBI background check | $21 per owner, partner, or officer, at application and each renewal |
| Dealer BondCredit check required | $250 a year, $25,000 bond$500 a year, $50,000 bond$750 a year, $75,000 bond$1,000 a year, $100,000 bond |
| Liability insurance | $100,000/$300,000/$100,000 policy, priced by your agent |
| Dealer plates | $20 a year each$5 a year each, motorcycle or light trailer$50 New Car or New Car Loaner vanity plate$20 plus $0.50 per sticker to replace a lost plate |
| Service vehicle plates | $50 a year each, up to 3 per location |
| Wrecker plates | $50 a year, up to 26,000 lbs$200 a year, up to 80,000 lbs |
| Temporary registration plate | $2 each |
| Sales promotion permitA temporary sale away from your lot | $50 up to 7 days$100 for 8 to 60 days$150 for 61 to 90 days |
| Demonstration permitsFor a loaded truck or heavy combination | $1 permit to demonstrate$200 10K laden permit, 90 days, heavy trailer dealers |
| Consumer mediation feeNew and Used Car Dealers collect it from each retail buyer and remit it at renewal | $1 per retail sale |
Dealer License Renewal
A Maine Dealer License is valid for 1 year. It expires on the last day of the month, one year from issuance, so the date depends on when yours was issued. Renewal costs the same annual license fee, without the $150 filing fee. The BMV mails renewal packets around the 15th of the month, two months before your license expires.
- Every renewal repeats the $21 SBI background check for each owner and officer, plus a fresh copy of your sales tax certificate
- The plate count is reviewed against the prior year's sales
- An Online Used Car Dealer License renews at $500 a year, and its statute repeals itself on December 31, 2028
Common Questions
Can you get a Maine Dealer License with a felony?
Yes. A record isn't an automatic bar to a Maine Dealer License (5 M.R.S. §5301). The Secretary of State may deny for fraud in the vehicle business. The BMV may deny for a crime against a person: Class D or E within 3 years, Class C or higher within 5. A refusal comes with a hearing right.
Can you get a Dealer License in Maine without a lot?
No, on a Used Car Dealer License. It requires a permanent building with a 3,500-square-foot display area and a 400-square-foot repair facility. Maine has no wholesale license that skips the lot. The Online Used Car Dealer License needs no lot. It's for a corporation or LLC with 100 or more sales a year in more than one state.
How many cars can you sell in Maine without a Dealer License?
In Maine, a Dealer License is required once you sell more than 5 vehicles in any 12-month period. It's also required if you advertise or display 3 or more vehicles for sale within 30 days, or buy a vehicle to resell it. Vehicles you've owned and registered for at least 6 months don't count (29-A M.R.S. §951).
Do I need a business bank account?
No. Nothing in Maine's dealer statute, rule, or application forms asks for a bank account. The two money items are a Maine sales tax number and a Federal ID Number or the owner's SSN.
Do salespeople need their own license?
No. Maine has no salesperson license, so an employee who sells for a licensed Dealer needs no license, application, fee, or background check of their own. The SBI check reaches the owners, officers, directors, shareholders, members, managers, and partners.
How long does a Maine Dealer License take?
The Secretary of State must act on an initial application or a renewal within 90 days of receiving it (29-A M.R.S. §902). The facility inspection comes before approval, and the insurance filing is due after the inspection. An incomplete application you don't correct is withdrawn after 90 days.
Does Maine have a wholesale dealer license?
No. Maine has no wholesale-only or no-display Dealer License. A Used Car Dealer License carries the full 3,500-square-foot display area, and there is no lighter tier for selling only to other Dealers. An out-of-state Dealer who sells only to licensed Maine Dealers needs no Maine license (29-A M.R.S. §951).
Support
The Dealer Licensing Section handles every license on this page. Insurance filings go to a separate mailbox, listed below.
| Contact | Detail |
|---|---|
| Department | Maine Secretary of State, Bureau of Motor Vehicles, Dealer Licensing Section |
| Phone | (207) 624-9000 ext. 52143(207) 624-9126 fax |
| [email protected][email protected], for insurance filings | |
| Address | 29 State House StationAugusta, ME 04333-0029 |
Additional sources (9)
The forms and the rules for each step are linked in the steps. These are the law, the rules, and the agency pages the page was checked against.
- 29-A M.R.S. §1612, liability insurance — why insurance is required: the $100,000/$300,000/$100,000 policy or a bond in lieu, filed before the license or plates issue, and who is exempt
- 5 M.R.S. §5303, time limits on considering a record — the 3-year clock from final discharge that binds every state licensing agency
- 5 M.R.S. §5302, rehabilitation — a conviction supports denial only if the agency finds you not sufficiently rehabilitated, and the applicant carries the burden
- 15 M.R.S. §2261, sealing eligibility — sealing reaches Class E convictions, not felonies
- 15 M.R.S. §2265, who still sees a sealed record — the Secretary of State keeps access to sealed records for motor vehicle law compliance
- P.L. 2025, ch. 637 (PDF) — the act creating the Online Used Car Dealer License: its fee, bond, plate ban, and December 31, 2028 repeal
- Enacted-law summary, 132nd Legislature, Second Regular Session — the Legislature's own effective date for the online dealer act, July 29, 2026
- 29-A M.R.S. §1002, use of dealer plates (PDF) — one plate for the dealer's personal use, one for immediate family, and use by payroll managers
- 17-A M.R.S. §4-A, crime classes — what Class C, D, and E mean in the background check rule
