NJ New & Used Motor Vehicle Dealer Application Package

NJ New & Used Motor Vehicle Dealer Application Package – Starting a new or used motor vehicle dealership in New Jersey requires a license from the New Jersey Motor Vehicle Commission (NJ MVC). The official New and Used Motor Vehicle Dealer Application Package is the essential first step for anyone planning to buy, sell, or deal in motor vehicles in the state. This comprehensive guide explains what the package includes, eligibility requirements, supporting documents, fees, and how to submit your application correctly.

Whether you are launching a new car franchise, a used car lot, or a combined new-and-used operation, following the official process helps avoid delays and ensures compliance with New Jersey law.

What Is the New and Used Motor Vehicle Dealer Application Package?

The New and Used Motor Vehicle Dealer Application Package is the official set of forms and instructions issued by the NJ MVC Business Licensing Services Bureau. It is required for anyone who wants to operate as a licensed new and used motor vehicle dealer in New Jersey.

A licensed dealer may also sell mopeds and engage in long-term vehicle leasing without needing a separate endorsement. The package is designed for both sole proprietors and business entities such as corporations, limited liability companies, and partnerships.

You can download the complete application package directly from the official NJ MVC website:

Download the New and Used Motor Vehicle Dealer Application Package (PDF)

Who Needs This License?

Under New Jersey law (N.J.S.A. 39:10-19), any person or business engaged in the business of buying, selling, or dealing in motor vehicles must hold a valid dealer license issued by the NJ MVC. This includes:

  • New motor vehicle dealers (franchise dealers)
  • Used motor vehicle dealers
  • Combined new and used motor vehicle dealers

Individuals or businesses that only lease vehicles long-term may apply for a leasing dealer license, which has slightly different facility requirements.

Key Requirements for an Established Place of Business

Before applying, you must establish a qualifying place of business in New Jersey. According to the NJ MVC and N.J.A.C. 13:21-15.4, the location must meet these standards:

  • A permanent building with an office of at least 72 square feet containing a desk, chair, landline telephone, and a working safe for storing motor vehicle documents.
  • Climate-controlled office space.
  • A clearly identified display area capable of showcasing at least two vehicles (not required for pure leasing licenses).
  • An exterior sign permanently affixed to the building or land that is consistent with local ordinances and legible from major roadways. Banners are not permitted.
  • For new motor vehicle dealers only: a permanent building of not less than 1,000 square feet used principally for servicing and displaying vehicles.
  • Compliance with all municipal zoning, planning, use, and environmental requirements.

The premises cannot be shared with another currently licensed dealer or certain allied businesses unless specific firewall and ownership conditions are met.

Documents Required in the Application Package

The application package contains multiple forms that must be completed accurately. Incomplete or inconsistent information is a common reason for delays or rejection. Required items typically include:

  • Completed Application for a Dealer License
  • Applicant’s Information form (BLC-205B) for each owner, partner, officer, or member
  • Child Support Certification (BLS-43) for each individual applicant (required even if no obligations exist)
  • Fingerprint Request Notification form (BLS-163) for each individual applicant
  • Copy of driver’s license (or 6 points of identification for non-New Jersey residents)
  • Passport-size color photograph of each owner/partner/officer/member (name printed on the back)
  • Copy of business formation or incorporation papers filed with the New Jersey Division of Revenue
  • Alternate or fictitious name filing certificate (if using a trade name)
  • Federal Employer Identification Number (FEIN) registration certificate
  • New Jersey Sales Tax Certificate of Authority
  • Deed, lease, or purchase agreement for the business premises (leases must be for a minimum of 12 months and cover the license term)
  • Telephone bill or installation order showing the business name and address (landline required)
  • Business Hours of Operation form
  • Authorized Signatories form (employees must provide proof of employment such as W-2, W-4, or pay stubs)
  • Municipal Approval Certificate for Business License (signed and stamped by the municipality)
  • Dealer Certification of Licensed Location Type and Proper Walls (BLS-158) with supporting documentation
  • Photographs or plans clearly showing the complete premises and exterior signage
  • Franchise agreement (new car dealers only)
  • Certified statement that the facility is not less than 1,000 square feet (new car dealers only)

After preliminary approval and a successful site inspection, you will be notified to submit:

  • License and registration fees
  • Original $10,000 surety bond (copies are not accepted)
  • Original certificate of liability insurance

Insurance and Surety Bond Requirements

Once the application receives preliminary approval, you must provide:

  • Surety Bond: $10,000 surety bond in favor of the State of New Jersey, issued by a company authorized to do business in New Jersey. The bond must remain valid through March 31 of the license expiration year.
  • Liability Insurance: Minimum coverage of $100,000 per person/incident up to $250,000 for bodily injury or death, $50,000 for property damage, and $250,000 combined personal injury and property damage per incident covering all dealer plates/vehicles. The certificate must name the NJ Motor Vehicle Commission as certificate holder and include a 30-day cancellation clause.

Application Fees

Fees are not paid with the initial application package. After the NJ MVC conducts its investigation and site inspection and grants preliminary approval, you will receive a notice requesting payment. Typical fees include:

  • Wall license fee: $100
  • One set of five dealer license plates (vehicle registration codes 55/60): $257.50
  • Alternative: one set of three motorcycle dealer plates: $77.00

Payment is generally required by certified check or money order payable to the NJ MVC.

How to Submit the Application?

Mail the completed application package and all supporting documents to:

New Jersey Motor Vehicle Commission
Business Licensing Services Bureau
P.O. Box 170
225 East State Street
Trenton, NJ 08666-0170

All correspondence during the licensing process is sent to the business address listed on the application. The NJ MVC will fully investigate both the applicant(s) and the proposed place of business. A site inspection is required before final approval.

Processing times vary. Complete and accurate packages typically move faster. Applicants (or at least one controlling person for business entities) may also be required to attend a prelicensure interview.

Background Checks and Eligibility

Every individual applicant must undergo a criminal history background check via fingerprinting. Applicants must be at least 18 years of age and of good character. A conviction for a crime arising out of fraud or misrepresentation in the sale, leasing, or financing of a motor vehicle generally disqualifies an applicant from receiving a license.

Tips for a Successful Application

  • Ensure all names, addresses, and numbers match exactly across every form and supporting document.
  • Submit clear, legible copies of all required papers.
  • Verify that your lease or ownership documents cover the full license period.
  • Confirm municipal zoning approval before submitting the package.
  • Keep copies of everything you mail for your records.
  • Contact the Business Licensing Services Bureau with questions before mailing if anything is unclear.

Official Resources and Related Links

For the most current information, always refer to the official New Jersey Motor Vehicle Commission website at www.nj.gov/mvc. Requirements and fees can change, so verify details directly with the Business Licensing Services Bureau before submitting your application.

Obtaining a New Jersey motor vehicle dealer license is a structured process that protects both consumers and legitimate businesses. By carefully completing the New and Used Motor Vehicle Dealer Application Package and meeting all facility, insurance, and documentation standards, you can position your dealership for successful operation in the Garden State.

Leave a Comment