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Minnesota Dealer License

Minnesota Dealers Licenses are granted by the Minnesota Department of Public Safety Driver and Vehicle Services.

Minnesota Dealers, Minnesota dealers are regulated by the Minnesota Department of Safety Dealer Licensing unit
Minnesota Department of Public Safety
Dealer Licensing Unit
445 Minnesota Street
Suite 186
St. Paul, MN 55101

Step Number 1 Dealer Surety Bond and Insurance
You will be required to obtain a $50,000 dealer surety bond and insurance before you obtain a Minnesota dealers license. I always recommend this as the first step in obtaining a Minnesota dealers license. The cost of a dealer surety bond is based on your credit score and the cost of your insurance is based upon your driving record. I am often asked what it costs to obtain a Minnesota dealers license and I can never answer that question accurately because the total cost will depend on your credit score and your driving record.
is the bond going to cost you $50,000, of course not, with good credit you should be spending about 200 to 300 dollars a year for your bond, your insurance company will normally send you an invoice every year or every other year. If you have a couple of blemishes on your credit score, the price of your bond can increase dramatically. The bond must be a surety bond e ecuted by an insurance or bonding company authorized to do business in Minnesota

You must also obtain a special insurance policy before the State of Minnesota will allow you to have a dealers license. Your insurance policy pricing will be dependent on your driving record so if you have a really bad driving record, you might pay a lot more for your insurance. You must also obtain an insurance policy that will cover the vehicles that are in your inventory. The State of Minnesota requires every vehicle driven on any roadway in the state to have insurance, including the vehicles in your inventory when they are being test driven by your customers.
You must $30,000 per person, $60,000 per accident, $10,000 property damage, $25,000 per person/$50,000 per accident under and uninsured motorist liability protection, $20,000 medical and $20,000 non-medical personal injury protection.

Step 2 Building and Lot
You must have a building for your Minnesota dealers license. Your business building must be a permanent enclosed building owned or leased by you, The established place of business must be devoted mainly to the operation of your dealership
Whether you are a retail dealer or a wholesale dealer you must meet local zoning requirements. You can contact the city hall or county court house’s planning a zoning division to ensure the location you want to use as your dealership meets all local zoning requirements for a Minnesota Dealers license. Youshould contact their local city or county office to ensure compliance with local zoning ordinances.
You will also need to have a display lot that is the same address as the building and your display lot must have room for at least 5 vehicles

Step 3 Submit 5 documents
When you apply for your Minnesota Dealers license you will need to submit the 5 following documents
Commercial Location Checklist PS2410
Zoning Verification PS2421
Certification of Compliance with Minnesota Worker's Compensation Law PS2420
Demonstration/In-Transit Plate Application PS2405
Verification of Property Lease or Ownership PS2407

The State of Minnesota wants to make sure your building is zoned for an automobile dealership before you are granted a Minnesota Dealer license so you must submit Zoning Verification form
Just go to www. , click on dealers, then forms and requirements,

Step 4-Complete Application
The final step you need to do to obtain an Minnesota dealers license is to complete an Minnesota dealer license application in it’s entirety.
If you make mistakes on the application it will be returned, so you want to spend some time and ensure there are not mistakes on the application.

Minnesota Department of Public Safety
Dealer Licensing Unit
445 Minnesota Street
Suite 186
St. Paul, MN 55101

Once you obtain your Minnesota dealers license you must display the license prominently, you are going to work hard to obtain your Minnesota dealers license, you are going to be proud when you obtain your Minnesota dealers license, Minnesota law requires that you display your dealers license prominently when it is granted,

To find out how to get an Minnesota Dealer License, you can call the Minnesota Department of Public Safety Driver and Vehicle Services at 651-296-2977 or write to the Minnesota Department of Public Safety Driver and Vehicle Services at:

Minnesota Department of Public Safety
Driver and Vehicle Services
445 Minnesota Street, Suite 186
St. Paul, Minnesota 55101-5186

Download Minnesota Dealer Application
Download Minnesota Dealer Handbook
Download Minnesota Dealer Licensing Instructions
Dealership Web Application Contract

Good Luck In Obtaining Your Minnesota Dealer License!

We are here to help you maintain your Dealership Compliance!

Dealer License  

Delus Johnson-Lead Instructor
Automobile Dealer Training Association