How do I apply for an auto dealers license in Texas? Texas

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Applying for a TX Auto Dealers License

There are several different dealers licenses issued to businesses that wish to sell motor vehicles in the state of Texas. In fact, depending upon the type of auto sales business you own, you may be required to obtain more than one dealer license.

The Independent General Distinguishing Number License


The independent General Distinguishing Number (GDN) license is the most common type of dealers license in Texas. An independent GDN license gives a business the right to buy, sell, or exchange any type of used cars and trucks. There are separate licenses issued for independent motorcycle, towable RV, and trailer sales.

The Franchise License


A franchise license is required to sell new vehicles, including travel trailers, in the state of Texas. A franchised dealer is a car sales business that operates under an agreement with select manufacturers or distributors for selling new cars.

The Leasing License


Depending upon your activities, your business may also need a leasing license, representative license, manufacturer/distributor license, or in-transit license in addition to the GDN or franchise license.

Finding Car Dealer Application Packets

Application forms for the various types of auto dealers licenses are available on the TX Department of Motor Vehicles (DMV) website. You will need the free Adobe Reader application in order to download and print the PDF files.

Payment by check or credit card is accepted for all car dealers license fees, although there is a $1 convenience fee added to all credit card payments.

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