Wisconsin Motor Vehicle Dealer License Requirements – 2025 Overview
The Wisconsin Department of Transportation (WisDOT), Dealer and Agent Section issues licenses for retail and wholesale motor vehicle dealers in Wisconsin. This overview focuses on the standard retail dealer license, with notes that also apply to other license categories.
Important: This page is an unofficial summary for convenience only. Always verify details with WisDOT’s official dealer license pages and application forms before you apply.
1. Who regulates dealers in Wisconsin?
Motor vehicle dealer licensing is managed by the WisDOT Dealer and Agent Section, which publishes separate pages for each business license type.
- Regulator: Wisconsin Department of Transportation – Dealer and Agent Section
- Motor vehicle business licenses overview: Motor vehicle business licenses – WisDOT
- Retail dealer license requirements: Retail dealer license – WisDOT
- Retail dealer application instructions: Retail dealer license application instructions – WisDOT
2. Dealer license types in Wisconsin
WisDOT issues several types of business licenses, including:
- Retail motor vehicle dealer license.
- Wholesale motor vehicle dealer license.
- Salvage dealer license and wholesale auction dealer license.
- Recreational vehicle and motorcycle dealer licenses, among others.
Each license type has its own requirements and application instructions on the WisDOT website.
3. Business location and facility standards
To qualify for a retail dealer license, Wisconsin requires a permanent business location that is not a residence and that meets specific space and signage standards.
- A permanent business location with office space.
- A vehicle display area (often described as approximately 12x20 feet or the equivalent of a standard parking stall), adjacent to the business office.
- An outdoor display lot, unless all vehicles are displayed indoors.
- A business sign visible from the highway or main roadway.
- Zoning compliance and any required local approvals.
4. Business setup, bond, and insurance
4.1 Entity and tax registration
- Form your business entity and register with the Wisconsin Department of Financial Institutions, if required.
- Obtain a Wisconsin seller’s permit and a Federal Employer Identification Number (FEIN).
4.2 Dealer bond
Retail and wholesale dealers must provide a motor vehicle dealer surety bond or irrevocable letter of credit using WisDOT-approved forms (such as form MV2511 or MV1046). The required bond amount and form details are included in the retail or wholesale application instructions.
4.3 Insurance
Wisconsin dealers must maintain appropriate liability insurance and may be required to provide proof of coverage when applying for or renewing a dealer license.
5. Wisconsin dealer application process (retail example)
The WisDOT retail dealer application instructions outline the forms and steps required. A typical process includes:
- Review WisDOT’s business license overview and confirm the correct license type.
- Secure a compliant business location, including office space, display area, and sign.
- Form your entity, obtain your seller’s permit, and get a FEIN if required.
- Obtain the required dealer bond using WisDOT’s bond or letter-of-credit forms.
- Complete the retail dealer license forms, which may include the two-year dealer application, owner statement, business facilities statement, bond form, and other required documents.
- Submit the completed application package and fees to WisDOT and prepare for any required inspection.
6. After approval: ongoing Wisconsin dealer compliance
- Renew your dealer license, bond, and insurance in accordance with WisDOT schedules.
- Maintain your business location and sign in compliance with state requirements.
- Keep complete sales, title, and odometer records for the retention periods required by law.
- Ensure salespeople are properly licensed and, if required, have passed the salesperson exam.