To apply, you must:
9 Pennsylvania Dealer License Requirements
Pennsylvania Dealer Licenses are issued by the State Board of Vehicle Manufacturers, Dealers and Salespersons, part of the Department of State. This page covers the 7 classes of Pennsylvania's Vehicle Dealer License, 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. Pennsylvania's Board of Vehicles Act defines a “person” as any individual, corporation, partnership, association, or other entity, so an LLC qualifies (63 P.S. §818.102).
An LLC keeps your business separate from your personal life and adds trust to the name.
You can add an owner later and keep your license. If the business name and address stay the same, you report the change to the Board with the new owner's history statement. No new application is required (63 P.S. §818.321(e)).
Choose your Dealer License Type
Pennsylvania's Board issues one Vehicle Dealer License in 7 classes, named for what you sell. It separately licenses the 2 auction types and each branch lot. Pennsylvania issues no broker license; buying or selling vehicles for others requires a Dealer License (63 P.S. §818.303(a)(3)).
| License Type | What It Lets You Do |
|---|---|
| Used Vehicle DealerThe class most people start with | Buy, sell, or exchange used vehicles, trailers, and semitrailers from an established place of business with a salesroom (63 P.S. §818.303(e)(2)) |
| New Vehicle Dealer | Sell new vehicles under a written franchise from the manufacturer or distributor, naming the licensed address. A complete application gets a 45-day temporary permit while the last documents come in |
| New Recreational Vehicle Dealer | Sell new RVs. Requires a usable display area of at least 5,000 square feet (63 P.S. §818.303(e)(5)) |
| Used Recreational Vehicle Dealer | Sell used RVs. The same 5,000-square-foot display area applies |
| New Manufactured Housing Dealer | Sell new manufactured housing. At least 5,000 square feet of usable display area, with exceptions for homes sited in a mobile home park or on a landowner's property |
| Used Manufactured Housing/Mobile Home Dealer | Sell used manufactured housing and mobile homes. No minimum display square footage (63 P.S. §818.303(e)(4)) |
| Mobility Vehicle Dealer | Sell mobility vehicles. A separate class under the Act's Dealer definition (63 P.S. §818.102) |
| Wholesale Vehicle AuctionA separate license, $190 | Run a wholesale vehicle auction. Its own facility standard under 49 Pa. Code §19.20: a permanent enclosed building with its own certificate of occupancy |
| Public or Retail Vehicle AuctionA separate license, $190 | Run an auction open to the public, under 49 Pa. Code §19.19. The 5-vehicle display rule doesn't apply, but the building must still be commercial with a certificate of occupancy |
| Branch Lot$190 per location | Any additional location where you display or offer vehicles for sale. Licensed separately, and it meets the full §19.18 facility standard (49 Pa. Code §19.17a) |
| Vehicle SalespersonNot a Dealer License. $70 to apply | The individual license for anyone selling for a Dealer, at that Dealer's licensed premises, one Dealer at a time. No class and no exam |
Get your Dealer Bond (Surety Bond)
A Pennsylvania Dealer needs a $20,000 surety bond, filed with PennDOT on Form MV-375, before dealer plates are issued (75 Pa.C.S. §1335(a)). The bond protects your customers if you break Pennsylvania's dealer laws. It is not part of the Board's license application.
A $20,000 Dealer Bond costs only $120 a year, after a credit check. If you already have an equal or larger bond on file with the Commonwealth, PennDOT does not require a second one (§1335(a.1)).
Exempt from the $20,000 bond:
- farm equipment dealers
- mobile home dealers and manufacturers
- modular housing manufacturers
| License Type | You Pay | Bond Amount |
|---|---|---|
| Vehicle Dealer LicensePennsylvania - Motor Vehicle Manufacturer / Dealer ($20,000). Credit check required | $120/yearabout $10 a month | $20,000 |
| Mobile Home Dealer | No Bond Required | |
Get your Dealer Liability Insurance — for Dealer plates
A Pennsylvania Vehicle Dealer License itself requires no insurance policy. Your dealer plates do. PennDOT issues them only with proof of liability insurance for as many vehicles as you request plates. The rule is 67 Pa. Code §53.3(b)(iii).
Form MV-349 accepts a certificate of insurance, or a statement on the insurer's letterhead from a carrier authorized in Pennsylvania. Your insurance agent quotes the price.
Set up your Dealer Office (Established Place of Business)
A Pennsylvania Used Vehicle Dealer License requires an established place of business with a salesroom “devoted principally to the vehicle business” (63 P.S. §818.303(e)(2)). The Act defines it as “a permanent, enclosed building” that is “accessible and open at reasonable times” and meets local building and zoning codes.
49 Pa. Code §19.18 sets the details, in the table below, and every branch lot meets the same standard (§19.17a). A home office isn't allowed: the dealership “must be separated from adjoining businesses and residences by partitions or walls” (§19.18(1)).
You also need a visible sign with the licensed dealership name and posted business hours. No minimum sign size is published.
| Vehicle Dealer | Vehicle Auction | |
|---|---|---|
| Structure | A permanent enclosed building you own or rent; an office trailer qualifies with skirting and a permanent foundation. Walls or partitions separate it from adjoining businesses and residences | A permanent enclosed building for use as an auction facility |
| Office | A private office, “separate from display areas and repair and servicing facilities,” where books and records are kept | A private office inside the building |
| Vehicles | Display area for “at least five vehicles — with doors opened.” Outdoor display surfaced with concrete, asphalt, gravel, or similar, graded, and marked off from neighbors' parking | Exempt from the display-area and grading rules |
| Phone | One business phone listed under the dealership's licensed name | A dedicated business phone |
| Zoning | Full compliance with building codes, zoning, and land-use ordinances, plus a certificate of occupancy from a building code official | The same, with its own certificate of occupancy |
Pass the Background Check (Criminal History Records Check)
Pennsylvania runs no fingerprint or Live Scan check for a Dealer License. It asks for criminal history records at two stages, one from each agency.
You provide:
- to the Board, with your PALS application: a Criminal History Records Check from the state police. One for every state you lived, worked, or studied in during the last 5 years
- to PennDOT, with the plate application: an original Pennsylvania State Police criminal history record (Form SP 4-164), not a copy. One for each owner, partner, or corporate officer; an owner who lives in another state also provides a check from that state
- the State Police set the fee; PennDOT's fee schedule doesn't list it
- every owner, partner, officer, and director also gives the Board a statement of their previous history, record, and business reputation (63 P.S. §818.321(a)(6))
If you have a record
Before you apply, you can ask the Board whether your conviction is a problem. A preliminary determination petition costs $45 through PALS, the fee is waivable, and the Board must answer within 45 days (63 Pa.C.S. §3115). A conviction is never an automatic bar: the Board “may” refuse, and Act 53 of 2020 requires a case-by-case review.
- The crimes that count. The Board publishes its own list of directly related crimes. It includes forgery, tampering with records, deceptive business practices, washing vehicle titles, forged documents and plates, and odometer offenses. Pennsylvania's list of crimes of violence also applies
- Waiting period. 3 years for a crime of violence, counted from release from prison or, with no prison time, from sentencing. The Board's own list has no waiting period; it weighs how long ago it happened
- What can't be used. An arrest with no conviction, an expunged or sealed record, a Clean Slate record, a summary offense, or a pardon (18 Pa.C.S. §9124(b))
- Disclose it. A no-contest plea counts as a conviction. PennDOT's plate form asks whether any owner, partner, or officer has “ever been convicted of a felony or misdemeanor”
- If refused. You get notice and a hearing first, and 30 days to appeal to Commonwealth Court
Submit your Dealer License Application
You apply online through PALS, the Pennsylvania Licensing System; there is no paper form. The application fee is $190, and every other fee is itemized under costs. PALS lists 14 checklist items, from the certificate of occupancy and lease to a résumé and photos of the premises.
Every owner, officer, partner, and member signs the application certification. An out-of-state LLC or corporation files its certificate of authority to do business in Pennsylvania. The Board also collects your Social Security number on its SSN attestation form (23 Pa.C.S. §4304.1).
A New Vehicle Dealer gets a 45-day temporary permit on a complete application. The franchise letter, phone line, certificate of occupancy, or lease can follow within that window (63 P.S. §818.321(a.1)). No law sets a deadline for the Board to decide a Vehicle Dealer application.
Pass the Facility Inspection
Pennsylvania inspects your facility after you file and before the license is approved. The PALS checklist says: “This application requires a facility inspection prior to approval... Your facility must be ready for inspection prior to submitting this application.” A failed inspection costs $45 to redo (49 Pa. Code §19.4).
Get your Dealer License Plates
Pennsylvania dealer plates cost $52 a year each and come from PennDOT, not the Board, on Form MV-349 (75 Pa.C.S. §1926). You apply after the Board license and the $20,000 bond are in hand. Dealer tags let you drive your inventory, and you choose how many plates you want; no cap is published.
Personal use is allowed. The Dealer and immediate family, a corporation's officers and their families, and regular employees may drive a plated vehicle for personal use. The rule is 67 Pa. Code §53.4(a), and the vehicle must be held for sale and under 7,500 lbs GVWR (75 Pa.C.S. §1336).
- Renew plates for 1 or 2 years; every plate on the account carries the same expiration date
- A buyer may drive on your plate for up to 5 days, a repair customer for up to 30 days
- Parts and delivery vehicles, courtesy shuttles, wreckers, roll-backs, and truck tractors can't use dealer plates
- Motorcycle dealer plates are $26 a year; motor-driven cycle plates $13. A duplicate registration card is $2
Dealer License Cost
A Pennsylvania Vehicle Dealer License costs $190 to apply and $274 to renew every 2 years. Every other fee on this page is in the table.
| Fee | Amount |
|---|---|
| Vehicle Dealer License | $190 application$274 renewal, every 2 years |
| Branch Lot license | $190 application |
| Vehicle Auction license | $190 application |
| Vehicle Salesperson LicenseThe individual license each salesperson holds | $70 application$141 renewal, every 2 years$25 change of employer |
| Dealer Bond | $120 a year, $20,000 bond, credit check required |
| Liability insurance | Priced by your insurer; required for dealer plates |
| Criminal history record (SP 4-164) | Fee set by the Pennsylvania State Police |
| Dealer plates | $52 a year each$26 a year, motorcycle dealer plate$13 a year, motor-driven cycle plate$2 each duplicate registration card |
| Motor Vehicle Transaction Recovery Fund feePennDOT's fee on the plate application | $60, waived for new dealers |
| Reinspection after a failed inspection | $45 |
| Change of business name or mailing address | $30 |
| Change of physical location | $60 |
| Verification of licensure | $15 |
| Certification of license history | $25 |
Dealer License Renewal
A Pennsylvania Vehicle Dealer License is valid for 2 years and renews through PALS for $274 (49 Pa. Code §19.4). No continuing education is required to renew (63 P.S. §818.304).
Common Questions
Can you get a Pennsylvania Dealer License with a felony?
Yes. A felony is never an automatic bar to a Pennsylvania Dealer License. Under Act 53 of 2020, the Board reviews each conviction case by case, and only a crime of violence carries a waiting period, 3 years. For $45, a preliminary determination through PALS tells you the Board's answer before you apply. More under Background Check.
Can you get a Dealer License in Pennsylvania without a lot?
No. A Pennsylvania Vehicle Dealer License requires an established place of business (49 Pa. Code §19.18): a permanent enclosed building with a salesroom, a private office, and room to display 5 vehicles. A home doesn't qualify, because the building must be walled off from any residence and carry a certificate of occupancy. A lot marked “storage only” needs no license.
How many cars can you sell in Pennsylvania without a Dealer License?
In Pennsylvania, you can sell up to 4 vehicles in a calendar year without a Dealer License (63 P.S. §818.325(3)). The exemption covers only vehicles you paid sales tax on when you bought them. Sell a fifth, or one bought without sales tax, and the Act's “engaged in the business” test applies instead.
Does Pennsylvania have a wholesale Dealer License?
No. Pennsylvania's Vehicle Dealer License has 7 classes, and none of them is a wholesale-only class. The Wholesale Vehicle Auction license is for running an auction, and it needs its own permanent building (49 Pa. Code §19.20). To buy at the dealer-only auctions, you get the Used or New Vehicle Dealer class.
How long does a Pennsylvania Dealer License take?
No Pennsylvania law sets a deadline for the Board to decide a Vehicle Dealer application. The facility inspection comes before approval, so have the building ready when you file. A New Vehicle Dealer gets a 45-day temporary permit on a complete application. Plates come after, from PennDOT.
Do I need a business bank account?
No. Nothing in Pennsylvania's Board of Vehicles Act, 49 Pa. Code §19.12, or PennDOT's Form MV-349 asks for a business bank account. MV-349 collects insurance and criminal history documents, not bank details.
Does Pennsylvania license car brokers?
No. Pennsylvania issues no broker license, and 63 P.S. §818.303(a)(3) says a person “shall not act as, offer to act as or hold himself out to be a broker” unless licensed as a Dealer, salesperson, or auction. To buy and sell vehicles for others, you get a Dealer License.
Support
The Board handles the license; PennDOT's Dealer Services handles the Dealer Identification Number, the bond, and plates. The state's own guidance: “Get a dealer license before registering with PennDOT for DIN and dealer plates.”
| Contact | Detail |
|---|---|
| Department | State Board of Vehicle Manufacturers, Dealers and Salespersons, Bureau of Professional and Occupational Affairs, Pennsylvania Department of State |
| Phone | 1-833-DOS-BPOA (1-833-367-2762) |
| Hours | 9:00 a.m. to 2:30 p.m., Monday to Friday |
| [email protected] | |
| Address | 2525 N 7th Street, Harrisburg, PA 17110Mail: P.O. Box 2649, Harrisburg, PA 17105-2649 |
Additional sources (11)
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.
- 63 P.S. Ch. 3, the Board of Vehicles Act (Act 84 of 1983) — the licensing law. It holds the “person” and “established place of business” definitions, the 7 Dealer classes, and the application items. Also the 2-year term, the change-of-owners rule, the broker ban, and the fewer-than-5 exemption.
- 49 Pa. Code Chapter 19, Board of Vehicles regulations — the chapter index: general provisions, salesperson, dealership, auction, and enforcement rules
- 49 Pa. Code §19.4, fees — the current fee schedule, with the $190 application and $274 renewal in its 2025 column
- 49 Pa. Code §19.12, application — the regulation's application requirements; no bank-account line
- 49 Pa. Code §19.20, wholesale auctions and §19.19, public or retail auctions — each auction license's own facility standard
- 49 Pa. Code §19.22, investigation — the Board's investigation powers; it sets no decision deadline
- 75 Pa.C.S. §1336, use of dealer registration plates — personal use, the 30-day repair loan, the 7,500-lb limit, and the $100 fine
- 23 Pa.C.S. §4304.1 — why the Board collects a Social Security number on every professional license application
- 18 Pa.C.S. §9124, use of records by licensing agencies — arrests without conviction, expunged and Clean Slate records, summary offenses, and pardons can't be used
- Vehicle Salesperson Licensure Snapshot — the Board's own page: no exam, no degree, no continuing education, $70 and $141 fees
- Commonwealth Court, petition for review instructions — the 30-day deadline to appeal a Board decision
