How to Get a Dealer License in Connecticut
In Connecticut, dealer licensing runs through the Connecticut Department of Motor Vehicles (DMV) — Dealers and Repairers Licensing Unit. To get a used car dealer license in Connecticut you'll need a registered business, a compliant location, a $60,000 surety bond, and the fees below. Whether you're opening a car lot, going wholesale-only, or starting a buy-here-pay-here operation, this guide walks the Connecticut auto dealer license requirements, real costs, and the exact steps — in plain English. Rules change, so verify everything against the Connecticut Department of Motor Vehicles (DMV) — Dealers and Repairers Licensing Unit's current pages before you file.
- Surety bond
- $60,000
- License term
- Two-year license term (the $560 used-dealer fee is explicitly a 2-year fee), renewed every two years through the Dealers & Repairers Unit. Late-renewal penalties apply for lapses.
- Sales threshold
- Connecticut licenses anyone 'engaged in the business' of buying, selling, or dealing in motor vehicles (C.G.S. §14-52) rather than by a fixed count — selling vehicles for profit or vehicles not titled in your own name triggers the requirement. Confirm any specific number with the Dealers & Repairers Unit.
- Pre-licensing
- No state pre-licensing school or written exam for the dealer principal, but prior industry experience is verified by DMV, the business must employ at least one fully qualified mechanic, and all owners/officers undergo fingerprint-supported criminal background checks.
License types in Connecticut
| License type | What it covers |
|---|---|
| Used Car Dealer | Sells used vehicles; requires a display area, a repair department able to handle at least two vehicles simultaneously, and a suitable office. |
| New Car Dealer | Sells new (franchised) plus used vehicles; must hold a manufacturer franchise contract for each make. |
| General Repairer | Full-service repair shop able to receive at least one vehicle, with office and parts storage. |
| Limited Repairer | Restricted-scope repair shop meeting the same basic building/office/storage standard. |
What it costs
| Item | Cost | Notes |
|---|---|---|
| Application fee | $140 | Non-refundable, due upon receipt of application |
| Used Car Dealer license | $560 | Covers the 2-year term (New Car Dealer is $700) |
| Surety bond (face amount) | $60,000 | Coverage amount; the premium paid to the surety is a fraction of this |
| Dealer plates | $140 per plate + $5 safety fee | Collected after license approval |
Step by step
- Secure a compliant location and obtain the municipal Certificate of Approval (Zoning, Building, Fire Marshal sign-offs) and prepare the site drawing (Form K-93).
- Obtain prerequisites: a CT Sales & Use Tax Permit, entity/trade-name registration, waste-oil disposal certificate + DEEP compliance, and a Financial Responsibility Insurance Certificate.
- Obtain the $60,000 surety bond (Form K-158).
- Complete the Application (K-7) and License Inspection Application (K-8) with supporting forms, and pay the $140 non-refundable application fee.
- Complete fingerprint-supported background checks for all owners/officers and submit the packet to the Dealers & Repairers Unit.
- Pass the DMV location inspection; after final approval, pay the license fee ($560) and plate fees ($140 + $5 safety per plate) and receive the license and dealer plates.
Premises & temp tags
Location: A used-car dealer needs a fixed commercial location (records kept 2 years) with a used-car display area, a repair department able to handle at least two vehicles simultaneously, and a suitable office. A scaled site drawing (Form K-93) is required, and a Certificate of Approval must be signed by the municipal Zoning Official, Building Official, and Fire Marshal — this local sign-off is where any minimum lot size or display-space count is actually set. A 250-gallon waste-oil retention tank and DEEP environmental compliance are also required.
Temp tags / plates: Licensed CT dealers issue temporary registrations/marker plates and register/title vehicles through the DMV. Dealers wanting to issue plates/registrations directly participate in the Online Registration Program (ORP), which requires a separate $5,000 registration-issuance bond (Form D47). There is no standalone public temp-tag form.
Connecticut-specific things to know
- Triple municipal sign-off: the location will not be approved without Zoning + Building + Fire Marshal certification — zoning is the most common bottleneck, and each town sets its own display/parking minimums.
- Mandatory 2-vehicle repair capacity + qualified mechanic: CT will not license a sales-only lot with no service capability (waivable only for an adjacent second location).
- Environmental compliance is a real gate: a 250-gallon waste-oil tank plus DEEP referral/compliance is required.
- Issuing your own registrations/plates online (ORP) needs the separate $5,000 registration-issuance bond (Form D47) on top of the $60,000 dealer bond.
Official Connecticut resources
- CT DMV — Get a Regulated Business License ↗
- CT DMV — Form K-36 (Dealer/Repairer Procedures PDF) ↗
- CT DMV — Business Forms ↗
Connecticut dealer license FAQ
How much does a dealer license cost in Connecticut?+
Application fee: $140; Used Car Dealer license: $560; Surety bond (face amount): $60,000; Dealer plates: $140 per plate + $5 safety fee. Plus the $60,000 surety bond (you pay a small annual premium on that, not the full amount).
How big is the dealer bond in Connecticut?+
Connecticut requires a $60,000 surety bond. Surety bond for New and Used Car dealers, filed on DMV Form K-158 (name/address must exactly match the K-7 application). This is the current amount in the Rev. 9-2022 procedures (K-36), up from the older $50,000 level. Repairer classes carry lower bonds ($25,000 general, $10,000 limited).
Do you need a physical lot to get a dealer license in Connecticut?+
A used-car dealer needs a fixed commercial location (records kept 2 years) with a used-car display area, a repair department able to handle at least two vehicles simultaneously, and a suitable office. A scaled site drawing (Form K-93) is required, and a Certificate of Approval must be signed by the municipal Zoning Official, Building Official, and Fire Marshal — this local sign-off is where any minimum lot size or display-space count is actually set. A 250-gallon waste-oil retention tank and DEEP environmental compliance are also required.
How many cars can you sell in Connecticut without a dealer license?+
Connecticut licenses anyone 'engaged in the business' of buying, selling, or dealing in motor vehicles (C.G.S. §14-52) rather than by a fixed count — selling vehicles for profit or vehicles not titled in your own name triggers the requirement. Confirm any specific number with the Dealers & Repairers Unit.
How long is a Connecticut dealer license valid?+
Two-year license term (the $560 used-dealer fee is explicitly a 2-year fee), renewed every two years through the Dealers & Repairers Unit. Late-renewal penalties apply for lapses.
Is dealer training or an exam required in Connecticut?+
No state pre-licensing school or written exam for the dealer principal, but prior industry experience is verified by DMV, the business must employ at least one fully qualified mechanic, and all owners/officers undergo fingerprint-supported criminal background checks.
How do temporary tags work for Connecticut dealers?+
Licensed CT dealers issue temporary registrations/marker plates and register/title vehicles through the DMV. Dealers wanting to issue plates/registrations directly participate in the Online Registration Program (ORP), which requires a separate $5,000 registration-issuance bond (Form D47). There is no standalone public temp-tag form.
Data verified 2026-07-17. Requirements change — confirm with the Connecticut Department of Motor Vehicles (DMV) — Dealers and Repairers Licensing Unit before filing.
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