Once you have determined if you are in the business, the next step is to ask: “what type of license do I need?” The Division of Motorist Services issues specific licenses based on the types of vehicles and/or type of transaction being conducted. As a dealer, it is important to understand which license(s) may apply to you, as the requirements may change. These specific licenses are defined as follows:

VF Franchised Motor Vehicle Dealer – 320.27, F.S.— This type of license allows dealers to sell new motor vehicles, authorized by a manufacturer, importer or distributor. A franchised dealer has exclusive rights to sell a particular line in an agreed upon territory. The manufacturer, importer, or distributor under such agreement must also be licensed by the State of Florida. No manufacturer, importer or distributor shall engage in business in the state without a license issued to them by the Department. No dealer can sell new line-make(s) without a dealer sales and service agreement with the manufacturer.

The Franchised Motor Vehicle Dealer License applies to all dealers of new motor vehicles, mini-trucks, tri-vehicles, electric or gas-powered motorcycles, and low speed vehicles.

A Franchised Motor Vehicle License is not required for dealers selling:

electric motorcycles with an engine displacement of 2bhp or less,

electric motorcycles with an engine displacement of 1492 watts or less

gas powered motorcycles with an engine displacement of 50 cc’s or less

Please note that all manufacturers, importers, or distributors of motorcycles regardless of engine displacement must be licensed by the State of Florida.

Franchised dealers can sell new and used vehicles at their licensed location.

SF Franchised Motor Vehicle Service Facility – 320.642(6), F.S. — This license allows franchised dealers to operate a service and repair facility at a location other than their licensed dealership. This location will serve as a service and repair facility only. No vehicle sales new or used will be permitted. Further, this license will only be granted to franchised dealers licensed by the Division as Franchised Motor Vehicle Dealers.

VI Independent Motor Vehicle Dealer – 320.27, F.S. — This license applies to dealers not authorized by a manufacturer with exclusive rights to sell a particular brand. These dealers only buy, sell, or deal in pre-owned motor vehicles (used cars), not to include recreational vehicles. In short independent motor vehicle dealers can buy/sell or deal only in used vehicles. If an independent dealer wants to sell recreational vehicles they must apply for a recreational vehicle dealer’s license.

VW Wholesale Motor Vehicle Dealer – 320.27, F.S. — This license applies to wholesale dealers who only engage in buying, selling, or dealing in motor vehicles at wholesale and/or auction. These dealers are only authorized to transact with other licensed dealers. They cannot sell or auction vehicles to non-dealers. Further, they are not entitled to dealer plates. They also are not required to provide display space for their inventory. They are, however, required to maintain an office where business records can be safeguarded and made available for inspection by the Division.

VA Motor Vehicle Auction – 320.27, F.S. — This license allows any person selling motor vehicles or recreational vehicles to the highest bidder, so long as the bidder is a licensed dealer. Auctions are not authorized to sell to non-dealers. Auctions selling to non-dealers must apply for an Independent Motor Vehicle Dealer’s License. The auction can sell the recreational vehicles to a licensed recreational vehicle dealer only.

SD Salvage Vehicle Dealer – 320.27, F.S. — This license prefix is issued to any person who engages in the business of acquiring salvaged or wrecked motor vehicles for the purpose of reselling them and their parts.

Salvage Vehicle Dealers can only sell vehicles in their salvaged or wrecked condition. Any dealer who repairs or rebuilds vehicles to sell at retail or wholesale will need to apply for the Independent Dealers License.

BH Used Mobile Home Broker – 320.77, F.S. — This license applies to a person who acts as the agent on behalf of the owner or seller of a used mobile home. The broker does not take possession of the sales inventory and, therefore, is not required to obtain a display space. This person can also apply to act as an agent in the process of dealing in recreational vehicles. In order get this endorsement on their license, the licensed mobile home broker must provide Proof of Garage Liability Insurance to the regional office responsible for their dealership.

DH Mobile Home Dealer– 320.77, F.S. — This license applies to dealers engaged in buying, selling or displaying for the sale of mobile homes. These dealers are not granted dealer plates. A Mobile Home Dealer may apply to the Division for authorization to sell recreational vehicles at no additional fee. In order to receive authorization, these dealers must submit Garage Liability Insurance. The dealer may then be permitted to sell both mobile homes and recreational vehicles out of the same location. No other license will be required unless the dealer wishes to sell recreational vehicles from a location operating exclusively for the sale of recreational vehicles. In this case, a Recreational Vehicle Dealer License must be obtained. Per Florida Statute 320.77 (1) (h), a Mobile Home Dealer can display mobile homes for sale in a mobile home park

RV New Recreational Vehicle Dealer – 320.771, F.S. — This license applies to dealers engaged in buying, selling or displaying for the sale of new recreational vehicles. Further, the Recreational Vehicle Dealer is licensed to sell specific line makes for which the dealer has contractual authorization granted by a licensed recreational vehicle manufacturer, importer, or distributor. All manufacturers, importers, and distributors of motor vehicles, recreational vehicles and mobile homes must be licensed by the State of Florida.

Recreational vehicle dealers with RV prefix can sell new and used vehicles at their licensed location.

RU Used Recreational Vehicle Dealer – 320.771, F.S. — This license applies to dealers engaged in buying, selling or displaying for the sale of used recreational vehicles. Per Florida Statute 320.27 (c). A motor vehicle dealer may sell at retail or wholesale a recreational vehicle, if acquired in exchange for the sale of a motor vehicle. The acquisition of a recreational vehicle must occur in the process of conducting a transaction as a motor vehicle dealer. Therefore, no motor vehicle dealer may actively purchase recreational vehicles for resale without obtaining the appropriate license as a recreational vehicle dealer.

NI, NH, NR Non-Resident Dealer – 320.71 F.S — This license applies to (F.S. 320.71 (2)) any person who is a nonresident of the state, who does not have a dealer’s contract from the manufacturer or manufacturer’s distributor of motor vehicles, mobile homes, or recreational vehicles authorizing the sale thereof in definite Florida territory, and who sells or engages in the business of selling said vehicles at retail within the state. These individuals shall register with the Department of Revenue for a sales tax dealer registration number, comply with chapter 212, and pay a license tax of $2,000 per annum in each county where such sales are made. In addition, $1,250 of said tax shall be transmitted to the Department of Financial Services to be deposited in the General Revenue Fund of the state, and $750 thereof shall be returned to the county.