Free TC-300, Requirements for Obtaining a Motor Vehicle Dealer License in Utah - Utah

Utah State Tax Commission

Requirements for Obtaining a Motor Vehicle Dealer License in Utah

TC-300
Rev. 5/08

Part One ­ The Paper Chase
Step One: Fill out the Application for Dealer License (TC-301) completely.
· Use the legal name registered with The Utah Department of Commerce and under which you will be conducting your business. Provide complete information, including the name and information of each owner, partner, corporate officer or member. Be certain to have the owner, partner, corporate officer or member sign the application and have the signature notarized. · · Be certain that the notary signs and seals the back of the bond in the appropriate section: · · · If your dealership is an individual proprietorship, the notary seals the first section. If your dealership is a partnership, the notary must seal the second section. If your dealership is a corporation that chose to use a corporate seal when validating documents, you must emboss the bond in the designated position to the left of the notary stamp on the back of the bond. The notary must seal the third section. If your dealership is a Limited Liability Company (LLC), the notary must seal the fourth section. If your dealership is a corporation without a corporate seal, the notary must seal the fourth section.

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Step Two: Complete a standard FBI Fingerprint Card and a Fingerprint Waiver (TC-465) for each owner, corporate officer or member.
· Be certain that each person who submits their fingerprints signs a waiver and has their signature notarized. The fingerprint card must be filled out completely, and signed by the applicant and the peace officer doing the printing or it cannot be accepted. Please note, any criminal conviction for a motor vehicle or drug related crime, fraud or registrable sex offense could be grounds for denial. ·

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The bond company must either have the designated attorney-in-fact sign the back of the bond in the last section, Affidavit of Qualification, or attach a power of attorney to the bond.

Step Five: A photo of the dealership location that
shows the sign must be included with the application. · · Company name on sign must read EXACTLY as it appears on the application and bond. Please be certain that the sign is legible and permanently attached in the photo, and that the facility is shown.

Step Three: Include a passport-type photo of each
owner, partner, corporate officer or member · The photo should only show the head and shoulders and must be large enough to see the face clearly. Photos MAY NOT be smaller than a passport photo, nor larger than a 5 x 7 print. Polaroidtype photos are acceptable if head and shoulders fill the entire frame. Each photo must be of ONE person. Label each photo with the name of the person pictured.

Step Six: You must secure a sales tax number issued to the dealership by the Utah State Tax Commission. Submit the application (TC-69) either by mail or in person to the Utah State Tax Commission at 210 North 1950 West, Salt Lake City, Utah 84134. (Before a Utah State Sales Tax number can be issued you must also have a federal I.D. number for the dealership.)

Step Four: Have your bonding insurance company fill out the Bond of Motor Vehicle Dealer, Crusher or Body Shop (TC-450). The Company name on the bond must read EXACTLY as it does on application form TC-301. The bond must have a revision date of 4/05.
· After the bonding company completes the bond, it should be returned to the dealership. An owner, partner, corporate officer or member must sign the front as "Principle" (line located just above the insurance agent's signature on the face of the bond) in front of a notary.

Step Seven: Each person involved with the dealership as an owner, partner, corporate officer, or member must attend an eight-hour training seminar.

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Training is available online at mved.gov. Live classes are provided through: · · · Sonja Jorgensen (801)347-5405, or via email: [email protected] Real Value Insurance (801) 298-3811 or 1-877-450-9100, or via email: [email protected] Independent Dealer Solutions (801) 566-3802 or 1-800-324-7009, or online: www.idsinfo. com/main.asp

completed and notarized. Be sure to include insurance information including a policy number. Initially there is a limit of two plates. If you do not order plates when applying to become a dealer, it can take 4-6 weeks for future plate orders.

Bonds
Motor vehicle dealer -- $75,000 ATV/snowmobile/motorcycle/small trailer -- $10,000 (A small trailer is a trailer that has an unladen weight of 7501999 lbs.)

Please make your reservations as soon as possible so your license can be processed quickly. · Submit the signed original training certificate or Web training printout with the application.

Fees
New or used motor vehicle/large trailer dealer application -- $127 New or used motorcycle/ATV/snowmobile/small trailer dealer application -- $51 Fingerprint card -- $15 each Dealer plates -- $12.00 each (two plate maximum)

Step Eight: Franchised dealers must include a copy
of the franchise agreement(s).

Step Nine: In order to obtain dealer plates, an Application for Special Plates and Decals (TC-142) must be

Part Two ­ The Location
Requirements
· Permanent office structure where the dealership records can be stored and reviewed safely. This area cannot be shared with any other business and must meet all local zoning and business requirements. · Licensees who finance their own sales in-house must file notification under Utah Consumer Credit Code with the Department of Financial Institutions, located at 324 S. State, Suite 201, SLC Utah 84111 (801) 538-8830. Your business information must be filed with the Department of Commerce at (801) 530-4849. Before registering a name with the Department of Commerce, please contact MVED at (801) 297-2600. MVED will not license dealers with similar names, to avoid public confusion. Names will be considered on a case-by-case basis. If you are registering as a new motor vehicle or new powersport vehicle dealer, manufacturer, distributor or other representative of a franchisor, you may also be required to register with the Department of Commerce under the New Automobile Franchise Act, Utah Code §13-14-105, or the New Powersport Vehicle Franchise Act, Utah Code § 13-35-105. See the following websites: commerce.utah.gov/mvfranchise.html and commerce.utah.gov/psfranchise.html, or call (801) 530-6431 for more information. Salespeople must also be licensed. Please contact Motor Vehicle Enforcement Division for a salesperson packet. Each owner, partner, corporate officer or member of the dealership is issued an owner license which allows them to sell. If you have any questions or concerns, please contact Motor Vehicle Enforcement Division at (801) 297-2600.

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Permanent sign at least 24 square feet. The sign must be painted on or permanently affixed to the building, or cemented in the ground -- ABSOLUTELY NO BANNERS. Display area for at least three vehicles. This area must be used for display only and denoted by a fence, chain or some other approved method. The sign, office and display area must be contiguous. No other business shall have to impede this area to get to their location, nor must anyone have to pass through another business' area to arrive at the dealership. Please note that all licenses issued by MVED expire on June 30. Licenses are not prorated. ·

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Considerations
· After submitting the application packet please allow five to ten working days for a site inspection. After the site passes inspection, you will receive your dealer license within three to five working days. Application packets received that are either incomplete or sent with an incorrect fee will be returned. ·

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