Dealers Pointe knows that being licensed to sell cars as a wholesale automotive dealer provides more benefits than most people realize.
Here’s what you need to know about having a wholesale automobile dealer license, whether you’re in the auto sales business, repair business, or just looking to make some extra money on the side!
The Benefits of Having a Wholesale Dealer License
Having a wholesale dealer license comes with many benefits! Not only can you legally sell more than 5 vehicles per year, but you also become your own small business.
Here are 5 other benefits of being a licensed wholesale dealer:
1. A license gives you access to dealer-only auctions where you can find good deals on vehicles, and the ability to buy wholesale trade-ins from other dealers.
2. A license ensures that you are a legitimate business owner and you will not appear as a scam artist to potential buyers.
3. A license allows you to legally import and export vehicles overseas.
4. A license allows you to buy salvage vehicles from insurance auctions.
5. Finally, having a license just makes good business sense and shows that you are professional and serious about your venture!
What Do I Need To Get a License?
To get a license, you need to:
1. Be over 18 years old
2. Have a clean driving record
3. Pass a state dealer education course
You are also required to have insurance and a bond which Dealers Pointe can get you pricing for. We can also help you handle the background check!
How Long Does It Take To Get Licensed?
The process of getting a wholesale dealer license takes approximately 30 days.
Dealers Pointe helps you through the process of submitting your completed application. Your application will be sent to Idaho’s Transportation Department for approval through Dealers Pointe.
How Much Does An Automobile Dealer License Cost?
The initial cost of an automobile wholesale dealer license setup fee is $1,350. The state-required and approved office that you will need is only $400 a month.
When deciding to get your wholesale dealer license, consider that this is an extremely low cost to enter the automobile industry! You also now have the ability to attend private auctions and salvage auctions to buy and sell cars with dealers and import and export vehicles.
Why Is Getting Licensed Important?
If you want to start your own small business flipping cars, you will need to obtain an automotive dealer license. There are several reasons why this is important.
1. All auctions and dealers require that you have a license to purchase as a dealer.
2. By having a wholesale dealer license, you do not have to pay sales tax on vehicles that you purchase from other dealers, because these vehicles are for resale to other licensed dealers.
3. Getting licensed helps establish the legitimacy of your business, which in turn makes you more profitable. Dealers tend to find that doors of opportunity open up for them with a license that now allows them to make a lot more money by being legitimate.
4. If you’re in business long enough and have developed a good reputation for selling quality vehicles, it could lead to more dealership referrals who might otherwise not have found out about your business.
5. You legitimize yourself as a wholesale dealer license without taking shortcuts, which means you are now a legal business.
6. There are several floor plan companies that are available to help you finance your inventory, and we can put you in contact with them.
How Can a Wholesale Dealer License Benefit Your Career
1. An automotive dealer license will give you the ability to buy and sell vehicles without going through a middleman since you can buy directly from all dealer auctions.
2. You’ll be able to access wholesale inventory from other dealerships and wholesalers, giving you a wider selection of vehicles to choose from.
3. With the ability to purchase vehicles from private dealer auctions and even salvage auctions, you now have the opportunity to recondition cars and remarket them to make a profit.
4. Having a wholesale license gives you the ability to purchase vehicles from wholesale dealerships that they would otherwise not offer you.
5. When you get your wholesale dealer license through Dealers Pointe, you receive 3 dealer plates. This will allow you to move your inventory across the country legally!
Get Your Wholesale Dealer License Through Dealers Pointe
Owning your own small automotive business is closer than you think! The beautiful part of this business is that you can make it as big as you want with low operation costs and low upfront costs.
Dealers Pointe can help you get licensed in as little as 30 days. Call us for more information at (765) 822-2202 and speak with one of our experts.
