To apply, you must:
9 New Mexico Dealer License Requirements
New Mexico Dealer Licenses are issued by the Motor Vehicle Division (MVD) of the Taxation and Revenue Department. This page covers New Mexico's 7 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. New Mexico's MyMVD dealer application accepts 8 ownership types: Corporation, Government, LLC, Non-Profit, Other, Partnership, Proprietorship, and S Corporation.
An LLC keeps your business separate from your personal life and adds trust to the name.
Choose your Dealer License Type
New Mexico issues 7 main Dealer License types. The Dealer's License covers both new (franchise) and used (nonfranchise) Dealers, marked Retail Dealer on the application. A Supplemental License adds a location, and an Off-Site Sales Permit covers a temporary one.
| License Type | What It Lets You Do |
|---|---|
| Dealer's LicenseNew (franchise) or used (nonfranchise); Retail Dealer on the application | Buy and sell vehicles to the public and at the dealer auctions. A used Dealer completes 8 hours of education first; a new Dealer files a manufacturer franchise agreement instead |
| Wholesaler's License | Sell to other licensed Dealers and at the dealer auctions, not to the public. Same $50,000 bond and the same place-of-business rules as the Dealer's License |
| Distributor's License | Licensed under the same chapter as the Dealer's License, with the same $50,000 bond and place-of-business rules |
| Auto Recycler's LicenseAlso called a wrecker | Wreck and dismantle vehicles. One $50,000 bond covers dealing and recycling together, and 8 hours of education are required |
| Title Service Company License | Licensed under the same chapter, with the same $50,000 bond and the same 8 hours of education |
| Dealer's License for Motorcycles Only | Sell motorcycles only, with a $12,500 bond and $10 dealer plates. The license also makes you a licensed motorcycle recycler |
| Recreational Vehicle Dealer License | Deal in recreational vehicles under its own statute (§66-4-2.1), with its own 12-month renewal and its own special-event permit |
Get your Dealer Bond (Surety Bond)
A New Mexico Dealer's License requires a $50,000 bond, filed with the Motor Vehicle Division (§66-4-7). The bond protects customers if you break New Mexico's dealer laws. A $50,000 Dealer Bond costs only $500 a year at the base rate, after a credit check.
The Wholesaler's, Distributor's, Auto Recycler's, and Title Service Company licenses require the same $50,000 bond. The bond is continuous and must stay in effect for the whole license period, from a surety licensed by the New Mexico Public Regulation Commission.
| License Type | You Pay | Bond Amount |
|---|---|---|
| Dealer's LicenseNew Mexico - Motor Vehicle Dealer ($50,000). Credit check required | $500/yearabout $42 a month | $50,000 |
| Dealer's License for Motorcycles OnlyNew Mexico - Motorcycle Dealer ($12,500). Credit check required | $125/yearabout $10 a month | $12,500 |
Set up your Dealer Office (Established Place of Business)
A New Mexico Dealer License requires an established place of business: an enclosed building on a permanent foundation that meets all local zoning requirements (18.19.4.50 NMAC). A home office isn't allowed. On the Place of Business Affidavit you certify that the “Business is NOT operated out of a residence location.”
The building is devoted exclusively to the licensed business, though F&I insurance, maintenance contracts, and parts sales are allowed alongside it. A leased location needs a lease of at least 6 months; a lease either party can cancel at will counts as shorter than that. The table below is the rule's own list.
| What New Mexico Requires | |
|---|---|
| Building | An enclosed building on a permanent foundation, used exclusively for the licensed business |
| Lease | At least 6 months, if the location is leased |
| Display | Adequate space to safely display at least 1 vehicle of the type you sell |
| Parking | Adequate customer parking, as local zoning requires |
| Office | Adequate customer space, the office furniture and equipment reasonably necessary, and space to store your books and records |
| Sign | Prominent signage naming the Dealer or trade name exactly as it appears on the business license and bond |
| Zoning | A city or county representative certifies compliance on the inspection form, with a letter on the zoning office's letterhead attached |
Complete 8 Hours of Pre-Licensing Education — Nonfranchise Dealers, Auto Recyclers, and Title Service Companies
A New Mexico used (nonfranchise) Dealer's License requires 8 hours of education approved by MVD before the license is issued (§66-4-2(A)). Auto recyclers and title service companies complete the same 8 hours. A new (franchise) Dealer files a manufacturer franchise agreement instead, and New Mexico has no Dealer exam.
MVD's How to Apply guide points used Dealers to an industry association for the education certificate; ask MVD for the current provider. The state publishes no price for the course.
Pass the Background Check (Applicant Affidavit)
A New Mexico Dealer License requires no fingerprints and no state-run background check. MVD screens instead for one thing under the Criminal Offender Employment Act: a felony related to the use, sale, or exchange of a motor vehicle.
The Applicant Affidavit (MVD-10037) asks one question about your record, for the applicant and any partner, corporate officer, or operating partner. It covers any arrest, charge, conviction, or no-contest plea for a felony or misdemeanor in the past 10 years, excluding minor traffic violations. A yes needs full details and a certified copy of the court disposition records.
You sign the affidavit under penalty of perjury, and it authorizes MVD to pull your employment and criminal background records.
If you have a record
- Denial is discretionary, not automatic. MVD “may” refuse a license for just cause, and the Act says a conviction “shall not operate as an automatic bar.”
- Only vehicle-related felonies count. MVD considers only felonies “related to the use, sale or exchange of a motor vehicle” (18.19.4.14 NMAC), for a corporate officer, general or limited partner, or sole proprietor, before and after licensing.
- No waiting period. New Mexico sets no number of years; the affidavit's question reaches back 10 years.
- Misdemeanors and arrests aren't grounds. Only a felony can be, though the affidavit still asks about misdemeanors, and an arrest not followed by a conviction can't be used.
- Sealed, dismissed, expunged, or pardoned convictions can't be used against your application.
- You get a hearing. MVD can refuse only after a hearing before the administrative hearings office, with a written decision within 10 days, and you can appeal to district court.
Submit your Dealer License Application (MyMVD Partner Portal)
You apply for a New Mexico Dealer License online through MVD's MyMVD Partner Portal; there is no paper application. The license fee is $50 a year, non-refundable, and every fee is itemized under costs. Paying by credit card adds a $1.25 processing fee; an e-check adds nothing.
The Applicant Information form (MVD-10036) asks for an SSN, date of birth, and residence address. It asks for them from the sole proprietor, the proprietor's spouse if any, and every partner, corporate officer, or LLC operating agent on the license.
Pass the Location Inspection (Inspection Certification)
New Mexico's MVD inspects and approves every proposed location after you apply and before the license is issued (18.19.4.10 NMAC). The inspection can be a site visit or a review of your photos and drawings, at MVD's discretion. The result is certified on the Inspection Certification form (MVD-10178).
Get your Dealer License Plates
New Mexico dealer license plates cost $50 per plate per license year, or $10 for a Dealer's License for Motorcycles Only (§66-6-17). A Dealer gets 5 plates automatically in its first calendar year, and again the next year if first licensed on or after August 1.
After that, the plate limit follows the previous calendar year's sales:
- 5 to 49 vehicles sold: 1 plate
- 50 to 99 sold: 3 plates
- 100 to 499 sold: 5 plates
- 500 or more sold: 10 plates
Dealer tags let you drive your inventory. They are not for a Dealer's work or service vehicles, parts or delivery vehicles, tow vehicles, courtesy shuttles, or vehicles loaned to customers. Plates can't be transferred to another Dealer, and you surrender them if you stop operating.
Dealer License Cost
A New Mexico Dealer License costs $50 a year, whether it is a new license or a renewal. It is one of the lowest application fees of any state. Every other fee on this page is in the table.
| Fee | Amount |
|---|---|
| License feeDealer's, Wholesaler's, Distributor's, Auto Recycler's, or Title Service Company License | $50 per license year, new or renewal, non-refundable |
| Credit card processing fee | $1.25 per payment; an e-check has no fee |
| Dealer Bond | $500 a year, $50,000 bond, credit check required$125 a year, $12,500 motorcycle-only bond, credit check required |
| Pre-licensing education | Priced by the provider; the state publishes no fee |
| Dealer plates | $50 per plate per year$10 per plate per year, motorcycle-only DealersSame price to replace a lost or illegible plate |
| Supplemental LicenseAn additional location | No fee |
Dealer License Renewal
A New Mexico Dealer License is valid for 1 year and renews for $50 through the same MyMVD portal. MVD must receive the renewal application, the fee, and a current bond on or before the license expires (18.19.4.30 NMAC). Renewal also requires 4 hours of continuing education every year (§66-4-2(A)).
A Recreational Vehicle Dealer License renews on its own 12-month term, and dealer plates renew separately, by December 31.
Common Questions
Can you get a New Mexico Dealer License with a felony?
Yes. A felony isn't an automatic bar to a New Mexico Dealer License; the Criminal Offender Employment Act says a conviction “shall not operate as an automatic bar.” Only a felony tied to the use, sale, or exchange of a motor vehicle counts (18.19.4.14 NMAC). There is no waiting period, and a sealed or expunged conviction doesn't count.
Can you get a Dealer License in New Mexico without a lot?
No. Each New Mexico Dealer License type requires an established place of business: an enclosed building on a permanent foundation that meets local zoning. MVD's Place of Business Affidavit has you certify the business is not run from a residence, and no wholesale license skips the lot. The full list is under Office.
How many cars can you sell in New Mexico without a Dealer License?
In New Mexico, no Dealer License is required to sell up to 4 vehicles you are the registered owner of in a calendar year. Those are casual sales under NMSA 1978 §66-1-4.3 and §66-1-4.4 (MVD Chapter 12). A fifth sale in the same calendar year falls outside the casual-sale exemption, and a Dealer License is required.
Do I need insurance to get a New Mexico Dealer License?
Not for the license. No New Mexico statute or MVD rule requires insurance to get or keep a Dealer License, and the application asks for none.
Do salespeople need a license in New Mexico?
No. New Mexico issues no salesperson license. The Dealer License belongs to the business, and sales staff are not separately licensed or bonded.
Can I sell at a second location or an off-site sale in New Mexico?
Yes, with notice. A Supplemental License covers an additional location, at no fee, with 14 days' notice to MVD (18.19.4.9 NMAC). An Off-Site Sales Permit covers a temporary sale. First you notify a majority of the county's other Dealers by first-class mail and offer them the same chance to take part (§66-4-2.2).
Do I need a business bank account?
No. Neither New Mexico's dealer statute, the MVD rule, nor the application asks for a business bank account or an account number.
How long does a New Mexico Dealer License take?
No New Mexico law sets a deadline for MVD to decide an application. The only 10-day clock in the dealer statute is for a hearing officer's written decision after a hearing, not for a new application. MVD inspects the location after you apply and may ask for more photos or a site visit before issuing the license.
Support
New Mexico's Dealer Licensing Bureau handles every license on this page. MVD is a division of the Taxation and Revenue Department, not a standalone DMV.
| Contact | Detail |
|---|---|
| Department | New Mexico Motor Vehicle Division, Taxation and Revenue Department — Dealer Licensing Bureau |
| Phone | (888) 683-4636 |
| Address | Joseph M. Montoya Building, 1100 South St. Francis DriveP.O. Box 630Santa Fe, NM 87504-0630 |
Additional sources (3)
The forms and the portal for each step are linked in the steps. These are the law, the rules, and the agency pages the page was checked against.
- NMSA 1978 §66-1-4.5, established place of business — the statute's own definition of the place of business, in six elements
- New Mexico Statutes Annotated 1978, Chapter 66 (NMOneSource) — the dealer licensing law: §§66-4-1 to 66-4-10, the bond, dealer plates, the fees, and the casual-sale exemption
- MVD forms page — the current Applicant Information, Applicant Affidavit, Place of Business Affidavit, and Inspection Certification PDFs
