How to Become a Car Dealer in Oregon

Contact the Oregon DMV for information about car dealership certificates.

Before opening a car dealership in Oregon, you must apply for a car dealer certificate with the Oregon Department of Motor Vehicles. Three-year certificates are available for each dealership. If opening more than one dealership, you may apply for additional certificates. Dealer plates are also available for purchase when applying for a dealer certificate. You can order additional plates as needed through the DMV.

Things You'll Need

• Car dealer application form
• Surety bond
• Liability insurance
• Dealer education certificate

Instructions

1. Complete the car dealer application form found on the Oregon DMV website. Hard copies are available by calling the DMV at 503-945-5052.

2. Purchase a $40,000 surety bond from a licensed insurance provider. A surety bond ensures that you will follow all Oregon state rules and regulations pertaining to car dealerships. In the event of a lawsuit or settlement, the bond will be used to cover some or all of these costs. The Oregon DMV only accepts bonds that have an original bond seal. Bonds should be signed by the business owner and the bonding agent. The bond must also include the business name and business location.

3. Purchase liability insurance. Liability insurance covers your business in the event of a lawsuit or settlement. Complete and submit the liability insurance form found on the DMV website. This form must be stamped by the insurance company.

4. Complete an eight-hour pre-licensing education course offered by the Oregon Independent Auto Dealers Association, Dealer Title Services, Inc. or the Dealer Education School. Each of these providers has been approved by the Oregon DMV. Contact one of these providers for information about dates, times and course locations.

5. Submit your completed car dealer application form, surety bond, certificate of liability insurance and dealer education certificate together to the Oregon DMV. Include dealer certificate fees. A single dealer certificate costs $1,012. Additional certificates cost $230.00.

   DMV Business Unit
   1905 Lana Ave NE
   Salem, OR 97314

Tips & Warnings

• It may take up to 10 days to process car dealer applications. Process times vary based on number of applicants.

• DMV office locations only accept check or cash payments. Office locations do not accept credit or debit card payments.

References

• Oregon Department of Motor Vehicles: Instructions for Becoming a Dealer

Resources

• Oregon Independent Auto Dealers Association
• Dealer Title Services, Inc.
• Dealer Education School