In the state of Wisconsin, anyone who sells, leases or negotiates the sales or leases of more than 5 vehicles annually must have a dealer license. Motor Vehicle Wholesale Dealer Licenses allow you to purchase and resell used vehicles to licensed dealers only, never to the public. An important requirement for the license is the submitting and maintaining of a Surety Bond with the Wisconsin Department of Transportation (WDOT). This surety bond protects dealerships from financial loss due to unethical or unlawful acts committed by the principal (wholesale dealer) during the course of business, and guarantees that the principal complies with all conditions and provisions of Chapter 218 Wisconsin Statutes. Wholesale Dealer License applications can be found here. To meet the WDOT requirements, the Wholesale Dealer must have the following:
- A permanent business location with indoor office space
- An outdoor vehicle display lot adjacent to the business office, unless all vehicles will be displayed indoors
- A $25,000 surety bond
- Zoning and local permit approval for the location
- At least one licensed representative. That may be you or someone else.
- An outdoor sign showing business name
- A sign with your business hours posted on or next to the entrance door
- Posted notice that sales are restricted to licensed dealers only
- A lease for the business real estate unless the license applicant owns it
- Fees for a two-year wholesale dealer license, dealer plate fee, and representative license fee
- You must be at least 18 years old.
- You must be of good character, and must not have been convicted of a serious crime directly related to the sale of motor vehicles.
Wisconsin Motor Vehicle Wholesale Dealer Surety Bonds have a continuous term and remain in full effect until canceled by the surety. The bond may be terminated at anytime by giving 60 days written notice to the WDOT.
Pacific Surety is proud to offer industry low rates and quick turnaround time for quoting for Wisconsin Motor Vehicle Wholesale Dealer Bonds. Feel free to complete our simple application to obtain an approval within hours.