What is a Wholesale Car Dealer?
A Florida Wholesale Vehicle Dealer License, issued by the Florida Department of Highway Safety and Motor Vehicles (DHSMV), allows you to legally buy and sell vehicles in dealer-only markets without needing a commercial car lot.
With this license, you can:
Purchase vehicles from dealer-only auctions, other licensed dealers, private sellers, businesses, and even import vehicles from overseas.
Use Dealer Plates to drive inventory vehicles (cars, trucks, RVs, motorcycles, boats, trailers, etc.) for unlimited personal use — without paying sales tax or registration fees upfront.
Sell vehicles to other licensed dealers, export vehicles internationally, and even rent your inventory through platforms like Turo.
The key limitation is that wholesale dealers in Florida cannot sell directly to the public. However, you can upgrade to a Retail Dealer License at any time once you meet the state’s basic commercial office requirements — no need to reapply from scratch.
No Lot Required in Florida
Unlike traditional retail dealerships, you don’t need a car lot to start as a wholesale dealer in Florida. You can operate legally from a home office as long as it meets the state’s minimum requirements.
Option 1: Home Office Requirements
A dedicated ground-floor office (an attached garage is acceptable).
Direct access to the office from the outside (no need to enter through the living space).
A desk with a lockable filing cabinet for secure recordkeeping.
No exterior signage or display lot is required.
Option 2: Commercial Office (Optional)
You may choose to rent a commercial office space without a display lot.
Must have a desk and a lockable filing cabinet.
No parking or display area required for wholesale operations.
Tip: If you later decide to upgrade to a Retail Dealer License, you’ll need:
A small commercial office.
At least one marked parking spot or enclosed display space.
Signage with your dealership’s name visible on the building’s exterior.
How Much Does It Cost?
Getting licensed as a wholesale dealer in Florida is affordable — often less than the annual cost of owning a single personal vehicle.
Typical Costs:
DMV Dealer Application: $175
Dealer Bond: starting around $100/year
Express Car Time™ Online Pre-License Course: $125 (one-time)
DMV Written Exam (40 questions): $16
Live Scan / Fingerprinting: $20–$50
Dealer Plate (optional): approx. $100/year
LLC or Corporation Setup (optional): around $70
Note: Forming an LLC or Corporation allows multiple individuals to be listed on the same license, offering more flexibility for shared operations.
Step-by-Step Guide to Getting Your Florida Wholesale Dealer License
1. Complete the Wholesale Dealer Pre-License Class
Required by the Florida DHSMV before you can apply.
100% online, self-paced, and designed for first-time applicants.
Guaranteed to pass — includes your DMV Certificate of Completion.
Certificate delivered via email the next business day.
Live support.
2. Submit Your Florida DMV Wholesale Dealer Application
Fully online and paperless application process.
24/7 instant access to your application portal.
Our step-by-step guidance simplifies every stage.
Real-time support available by phone or email.
3. Receive Your Wholesale Dealer License
Once approved, you can:
Buy and sell vehicles to other licensed dealers in all 50 states.
Use Dealer Plates to drive your inventory vehicles tax-free.
Participate in dealer-only auctions.
Export vehicles to international buyers.
Rent vehicles through platforms like Turo or your own rental service.
Driving Privileges with a Dealer License
Anyone listed on your dealer license (such as business partners in an LLC or Corporation) can use dealer-plated inventory vehicles for unlimited personal use without sales tax or registration fees.
If you’re a sole proprietor, only you have this privilege. To extend it to others, you would need to form a business entity and add them to the license.
Selling & Renting as a Wholesale Dealer
Renting Vehicles
A major benefit for wholesale dealers is the ability to avoid paying sales tax upfront on vehicles in your inventory. Instead, you collect sales tax on each rental transaction.
Rent vehicles on platforms like Turo or operate your own rental service.
Offer value-added services like delivery, early pickup, or travel accessories (beach gear, camping kits, car seats, etc.).
Selling to the Public
Wholesale dealers cannot sell directly to the public. However, you can partner with a licensed retail dealer to handle public sales for a fee.
You may upgrade to a retail dealer license later, which requires only the minimal commercial space and signage.
Selling to Other Dealers
Wholesale dealers can buy vehicles locally or at auction and then resell them to other licensed dealers nationwide. This is a common practice in the wholesale industry.
Selling at Dealer Auctions
Dealer-only auctions provide access to vehicles often priced below retail market value. Many auctions offer “green light” guarantees covering major components like engines and transmissions.
Popular auction platforms include:
Manheim Auctions
Adesa Auctions
Copart
CarMax Auctions
National Powersport Auctions
Exporting Vehicles Internationally
Exporting is a profitable opportunity for many Florida wholesale dealers. By selling to international buyers, you can often secure higher profit margins and reach markets where certain vehicles are in higher demand.
Buying Wholesale Vehicles
With a Florida Wholesale Dealer License, you have access to tax-exempt wholesale pricing at dealer-only auctions and through other licensed dealers.
You can also source inventory through trade-ins, local listings (like Craigslist or Facebook Marketplace), and wholesale platforms.
Types of Vehicles You Can Access
A wholesale license gives you access to a wide range of vehicles, including:
Cars & SUVs (standard and luxury models)
Exotics & Sports Cars
RVs & Motorcycles
Commercial Trucks & Trailers
Boats & Personal Watercraft
Golf Carts & Specialty Vehicles
Understanding Wholesale Pricing
Wholesale prices are typically lower than retail, leaving room for profitable resale. However, prices fluctuate due to:
Market Demand: High demand raises prices; low demand lowers them.
Vehicle Condition: Age, mileage, and reconditioning needs affect pricing.
Seasonal Trends: Some vehicles (like RVs) are more valuable in peak seasons.
Inventory Levels: Surplus supply lowers prices; scarcity drives them up.
Many dealers track the market using tools like Manheim’s Used Vehicle Value Index, which provides insights into pricing trends.
Wholesale Parts & Business Perks
Licensed dealers also enjoy tax-free and discounted pricing at many parts and accessory retailers, such as:
O’Reilly Auto Parts
NAPA Auto Parts
OEM Dealerships (e.g., Honda, Mercedes, Ford)
Specialty suppliers for wheels, tires, wraps, and more.
You’ll typically need your dealer license and resale certificate to access these discounts.