How to Get a Florida Dealer License: 2026 Requirements and Step-by-Step Process

Florida issues dealer licenses through the Florida Department of Highway Safety and Motor Vehicles (FLHSMV), Division of Motorist Services. The state is one of the largest used-vehicle markets in the country, and the licensing process reflects that volume: it is structured, multi-step, and non-negotiable on documentation. If you are planning to open a dealership in Florida, this guide covers every required step in the correct order.

For a general overview of the licensing process across all states, see our guide to how to get a car dealer license.

Florida Dealer License Types

FLHSMV issues several license classifications. You need to apply for the correct type before you do anything else, because the requirements differ.

VF (Franchise Dealer) — New vehicles sold under a manufacturer franchise agreement
VI (Independent Dealer) — Used vehicles sold retail; the most common license type for independent dealers
VW (Wholesale Dealer) — Vehicles sold only to other licensed dealers, not to the public
SF (Service Facility) — Facilities that service vehicles but do not sell
AB (Auction) — Operates motor vehicle auctions
DH (Dealer Hauler/Transporter) — Transports vehicles on behalf of dealers

Most first-time applicants are applying for a VI (Independent) license. The steps below are written from that perspective, with notes where franchise (VF) applicants have different requirements.

Step 1: Complete the Florida Pre-Licensing Course

Florida requires every first-time applicant for a VI, VW, or AB license to complete an approved 8-hour pre-licensing course (PLC) before submitting their dealer application.

The Florida Independent Automobile Dealers Association (FIADA) is the most widely used approved provider. FIADA offers the course both in-person at various Florida locations and online. Cost is approximately $295 as of 2026. Upon completion, you receive a certificate that must accompany your application.

Franchise (VF) applicants are exempt from the PLC requirement if they provide a valid manufacturer franchise agreement as part of their application package.

If you are still evaluating where to take the course, our guide to dealer license classes near me explains how to find FLHSMV-approved providers by county.

Step 2: Secure a $25,000 Surety Bond

Florida requires a $25,000 surety bond for most dealer license types. The bond must be issued by a surety company authorized to do business in Florida. It protects consumers against fraudulent acts by the dealer.

The annual premium you pay for the bond depends on your personal credit profile. Most applicants with solid credit pay between $200 and $500 per year. The bond must be filed with FLHSMV as part of your application and must remain active throughout the license period.

Step 3: Obtain Garage Liability Insurance

Florida requires dealers to carry Garage Liability Insurance with minimum limits of $25,000 per person / $50,000 per occurrence / $10,000 for property damage. These minimums apply to VI and VW license types.

You must provide a certificate of insurance naming FLHSMV as a certificate holder. The certificate must show the policy effective dates and confirm it meets Florida's statutory minimums. Work with an insurance carrier that specifically writes dealer policies; standard commercial general liability does not satisfy this requirement.

Step 4: Establish Your Lot and Business Location

Florida does not allow you to operate a dealership from a home address or a temporary location. You need a permanent, dedicated business address that meets the following requirements.

Your lot must have a permanent, professionally installed sign identifying the business. The sign must be visible from the road and must display your dealership name as it appears on your license application. The location must have a dedicated business phone number that is answered in the dealership's name. The office must be separate from any other business operating at the same address.

County zoning requirements vary. Some counties specify minimum office square footage and lot capacity for the number of vehicles you plan to display. Verify local zoning approval before signing a lease, because FLHSMV will not issue a license to a location that is not properly zoned for motor vehicle sales.

You will need to provide either a copy of your signed lease or your property deed as part of the application. FLHSMV also requires exterior and interior photographs of the location.

Step 5: Register for Florida Sales Tax

Before submitting your dealer application, you must register with the Florida Department of Revenue to collect and remit sales tax on vehicle transactions. You also need a Federal Employer Identification Number (EIN) from the IRS.

Your Florida sales tax registration number and EIN are required fields on the dealer application. Do not skip this step — the application will be rejected without them.

Step 6: Complete the Application Package

The primary dealer application form is HSMV 86056, available from FLHSMV. Beyond the form itself, your application package must include:

Pre-licensing course certificate (VI, VW, AB applicants)
Surety bond documentation
Certificate of Garage Liability Insurance
Copy of your signed lease or property deed
Exterior and interior photographs of the business location
Florida sales tax registration confirmation
Federal EIN confirmation
Application fee (currently $300 for a new dealer application; verify the current fee with FLHSMV before submitting)

Fingerprints and background check: Florida requires a Level 2 background check through the Florida Department of Law Enforcement (FDLE). You must submit fingerprints through an FDLE-approved Live Scan vendor. Results are transmitted electronically to FLHSMV. Schedule your Live Scan appointment early, because processing can add one to two weeks to your timeline.

Submit the completed package to your regional FLHSMV Regional Compliance Examiner office. Do not mail the package to Tallahassee — regional submission is required for new dealer applications.

Step 7: Pass the Compliance Inspection

After your application is submitted and reviewed, an FLHSMV Regional Compliance Examiner will schedule an on-site inspection of your dealership location. The examiner verifies that your signage, office, lot, and facilities match the documentation you submitted.

Do not plan a soft opening before this inspection is completed. Operating as a dealer before your license is issued is a violation of Florida statute and can result in civil penalties. The inspection is typically scheduled within two to four weeks of application submission, depending on regional workload.

Step 8: Annual Renewal and Continuing Education

Florida dealer licenses renew annually. Each renewal requires an 8-hour continuing education (CE) course completed during the license year. FIADA and other FLHSMV-approved providers offer CE courses. The CE requirement applies to VI, VW, and AB license holders.

Franchise (VF) dealers have a separate renewal process coordinated with their manufacturer franchise agreement. Confirm the specific CE requirement for your license type with FLHSMV at renewal time.

Frequently Asked Questions

How much does a Florida dealer license cost? The application fee for a new dealer license is currently $300. Add to that the pre-licensing course (approximately $295), the surety bond annual premium ($200 to $500 depending on credit), Garage Liability Insurance, and any costs associated with your Live Scan fingerprinting appointment (typically $75 to $100). Total first-year costs, excluding lot setup and insurance premiums, typically fall in the range of $900 to $1,200.

How long does the Florida dealer licensing process take? Plan for 60 to 90 days from the time you start the pre-licensing course to the date your license is issued. Background check processing, application review, and the compliance inspection each add time. Starting your surety bond, insurance, and lot setup in parallel with the PLC will compress the timeline as much as possible.

Can I get a Florida dealer license without a physical lot? No. Florida does not issue retail dealer licenses (VI) to applicants without a permanent, inspectable business location. Wholesale (VW) license requirements also include a physical address, though the lot display requirements are less stringent than for retail. There is no remote or virtual dealer license option in Florida.

What is the difference between FIADA and other state-approved PLC providers? FIADA is the Florida Independent Automobile Dealers Association. It is the most widely used and most frequently recommended provider because it offers both in-person and online formats across the state. Other FLHSMV-approved providers exist, and any course on the official approved list satisfies the requirement. The course content is standardized by FLHSMV regardless of provider; the difference is scheduling convenience and format preference.

What happens if FLHSMV denies my dealer application? FLHSMV can deny an application based on background check results, incomplete documentation, or a failed compliance inspection. If denied, you receive written notice of the reason. Most denials related to incomplete paperwork can be corrected and resubmitted. Denials based on background check findings are subject to a formal hearing process under Florida administrative law. Consult a Florida-licensed attorney who handles FLHSMV matters if you receive a denial for a criminal history reason.

Comparing Florida to Other States

The Florida dealer licensing process is more documentation-intensive than some states but is well-documented and manageable if you follow the steps in order. If you are evaluating other markets, see our guides to the California dealer license and the Texas dealer license for a side-by-side sense of how state requirements differ.

Once You Have Your License

Getting licensed is the first step. Building a sales operation that converts traffic into closed deals is the next one.

DealSpeak is an AI voice roleplay and coaching platform built for automotive dealerships. Once your team is on the floor, DealSpeak gives sales reps unlimited practice on objection handling, negotiation, and financing conversations without pulling a manager off the desk. It is not a licensing prep service and it is not a substitute for your pre-licensing course. It is what you use after the license is on the wall and you are trying to close more deals.

If you are building a new store or expanding an existing one, learn how DealSpeak works for dealerships.

DealSpeak AI