# How to start a used car dealership in Missouri > Start a used car dealership in Missouri in 9 steps: a DOR dealer license ($150 or less), a $50,000 bond, a Highway Patrol site check and local licenses. - Canonical URL: https://www.leftlanesoftware.com/blog/how-to-start-a-used-car-dealership-in-missouri - Language: en-US - Spanish version (Español): https://www.leftlanesoftware.com/blog/como-abrir-un-lote-de-autos-usados-en-missouri - State: Missouri - Topic: Starting a dealership - Last verified: 2026-11-09 _Last verified: November 9, 2026. Every rule links to its official source._ To start a used car dealership in Missouri you need a used motor vehicle dealer license from the Department of Revenue (DOR). Plan on a permanent, Highway Patrol-certified building and display lot, a pre-licensing seminar, a [$50,000 bond](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.560) and a [license fee of $150 or less](https://www.sos.mo.gov/cmsimages/adrules/csr/current/12csr/12c10-26.pdf). Financing your own customers needs no separate license unless a finance company you set up buys the contracts or you collect under another name. ## Missouri at a glance | What | The number | Source | | ------------------------ | ------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------- | | License | Used motor vehicle dealer license from DOR; $150 or less for the first year | [DOR manual](https://dor.mo.gov/forms/Dealer-Operating-Manual.pdf) | | Selling without one | Illegal at 6 or more a calendar year; DOR's manual uses 8; stay under 6 | [RSMo 301.570](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.570) | | Bond | $50,000, or $100,000 to deliver a car before its title | [RSMo 301.560](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.560) and [301.210](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.210) | | Seminar | Within the 12 months before you apply; at least 4 hours on DOR's provider form | [Form 5110](https://DOR.MO.GOV/forms/5110.pdf) | | Decision | Within 8 working hours of a complete application | [RSMo 301.560](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.560) | | Financing your own sales | No license to hold and collect your own contracts | [Division of Finance](https://finance.mo.gov/consumer-credit-licensing/motor-vehicle-time-sales) | | Sales tax | Today most buyers pay at the license office: 4.225 percent state tax plus local | [DOR: buying a vehicle](https://dor.mo.gov/motor-vehicle/titling-registration/buying-vehicle.html) | | Sundays | Licensed dealers may not open for sales | [RSMo 578.120](https://www.revisor.mo.gov/main/OneSection.aspx?section=578.120) | | Renewal | Expires December 31; at least 8 sales a year to renew | [RSMo 301.550](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.550) | ## Who will you deal with to open a Missouri dealership? DOR licenses you, the Highway Patrol certifies your site, and your city and county handle zoning and local licenses. The other offices matter for parts of the business. | Office | What it grants, collects or enforces | | -------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | DOR Motor Vehicle Bureau, Dealer Licensing Section | The dealer license, dealer plates, renewals and monthly sales reports ([Form 4682](https://dor.mo.gov/forms/4682.pdf)). Its newsletters call it the Dealer Services Group. DOR also issues the sales tax number cities and counties ask for. | | Missouri State Highway Patrol | The Form 5748 site certification, or city police in a first-class county ([RSMo 301.560](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.560)), and name-based criminal records through [MACHS](https://www.machs.mo.gov/MSHPWeb/PatrolDivisions/CRID/crimRecChk.html). | | Approved seminar providers | The pre-licensing seminar. DOR [lists three](https://dor.mo.gov/motor-vehicle/dealers-lienholders/seminar-requirements.html). | | City planning and licensing offices | Zoning clearance or approval, occupancy permits and the city business license. | | County collector | The merchant's license required under [RSMo 150.100](https://www.revisor.mo.gov/main/OneSection.aspx?section=150.100). | | DOR license offices | Where most buyers title the car and pay sales tax today. | | Division of Finance | A Motor Vehicle Time Sales license, only if a finance company you set up buys your contracts or you collect under another name. | | Attorney General | The Merchandising Practices Act, with civil penalties of up to [$1,000 per violation](https://www.revisor.mo.gov/main/OneSection.aspx?section=407.100). | ## How will you sell: cash, a lender, your own financing or wholesale? The used dealer license covers all three retail options. Financing your own sales adds contract rules, not a second license. - **Cash.** The buyer pays in full. Today most buyers then title the car and pay sales tax at the license office within 30 days of purchase. - **Outside lender financing.** A bank, credit union or finance company buys the contract. Missouri's motor vehicle retail installment contracts fall under Chapter 365, so its contract rules still shape what you sign with the buyer. - **Financing your own customers.** This is buy here pay here. You may charge any time price differential the buyer agrees to, stated as a yearly percentage, with a [$25 minimum](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.120). A late charge after 15 days is capped at [5 percent of the installment or $25](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.100), whichever is less. After a 10-day payment default, you may not repossess until 20 days after you give the buyer a written notice of the [right to cure](https://www.revisor.mo.gov/main/OneSection.aspx?section=408.554). See [Financing your own sales in Missouri](/blog/missouri-buy-here-pay-here-financing-rules). - **Wholesale only.** A wholesale dealer sells only to franchise or used dealers, or through dealer-only auctions ([RSMo 301.550](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.550)). It skips the seminar but still needs the $50,000 bond and a garage policy. ## What are the steps to start a used car dealership in Missouri? There are 9 steps. Each is covered in full in [How to get a Missouri dealer license, step by step](/blog/missouri-dealer-license-step-by-step), and the [one-page Missouri checklist](/blog/missouri-dealer-license-step-by-step) puts them in order. 1. **Set up the business.** Get your Secretary of State registration number if your ownership type requires one, and a DOR sales tax number. Use one business name everywhere, because the seminar certificate and the bond carry it. 2. **Find a location that meets the place-of-business rules.** You need a permanent enclosed building, a display lot visible from the street, a sign with 6-inch letters, and at least [20 posted hours a week](https://www.sos.mo.gov/cmsimages/adrules/csr/current/12csr/12c10-26.pdf) on at least four days from Monday to Saturday. An enclosed garage is not display space, and a banner is not a permanent sign. 3. **Clear the city and the county.** The state form asks for no zoning or local license, so check zoning, the city business license and the county merchant's license yourself. Kansas City's [zoning clearance](https://bizcare.kcmo.gov/kcmobusinesslicense) is free; Columbia charges a [$45 application fee](https://www.como.gov/?p=8900) plus a gross receipts fee. 4. **Take the pre-licensing seminar.** First-time used dealers need an approved seminar within the 12 months before applying. DOR's provider form sets at least 4 hours. 5. **Have the Highway Patrol certify the site.** A Patrol member, or city police in a first-class county, completes Form 5748. The certification repeats yearly for three years, then every other year. 6. **Run the criminal record checks.** Each owner, partner or principal officer needs a record issued within six months. A Missouri name search costs $16 plus a small convenience fee; run it shortly before you file and save a PDF. 7. **Buy the bond and the garage policy.** The bond is $50,000, or $100,000 if you will deliver cars on a 30-day title agreement. The garage policy is required; neither the statute nor Form 4682 sets minimum limits. 8. **File Form 4682 with DOR.** DOR's rule requires its online licensing portal. The first-year fee is $150 in January and $12.50 less each later month, plus $50 for the first dealer plate. 9. **Wait for approval before you buy or sell.** DOR must decide within eight working hours of a complete application. Until then you may not buy or sell any motor vehicle. ## What does it cost to open a used car lot in Missouri? The state's fees are small: $150 or less for the license and $50 for the first dealer plate. Private companies price the bond, the garage policy and the seminar, and your city and county add their own fees. | Item | Cost | Who sets it | | -------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------- | | Dealer license, one year | $150 in January, $12.50 less each later month | DOR manual | | Two-year license, after 3 years | $300 in January, down to $162.50 in December | DOR manual | | Dealer plates | $50 for the first; $10.50 for the second and third | State law | | MACHS criminal record | $16 per name plus a small convenience fee | Highway Patrol | | Seminar | Not published by DOR | The provider | | Bond and garage policy | Quoted privately | The surety and the insurer | | Kansas City | Business license $35 to $10,000 by gross receipts ([2023 tables](https://kcmo.gov/home/showpublisheddocument/11684/638336496833300000)); zoning clearance free | The city | | St. Louis City | [Business license](https://www.stlouis-mo.gov/government/departments/license/business-license-info/graduated-business-license-information-and-fees-schedule.cfm) $200 or $100, plus [$2.50 per City Auto Dealer Tag](https://www.stlouis-mo.gov/government/departments/license/business-license-info/-gbl-businesses-having-additional-requirements.cfm) | The city | | Columbia and Boone County | $45 plus [$0.25 per $1,000](https://www.como.gov/finance/business-licenses/understanding-gross-receipts/) of gross receipts, $75 minimum; [county merchant license](https://www.boonemo.gov/collector/merchant.asp) $25 a year | City and county | | Finance license for your own contracts | None; [$2,000](https://finance.mo.gov/media/221) for the first location if a finance company you set up needs one | Division of Finance | No total appears here, because premiums, rent and inventory vary. ## How long does it take to get a Missouri dealer license? DOR must decide within eight working hours after it receives a complete application. Everything before filing sets the real timeline, and we found no official estimate for the whole process. - **The seminar.** It must be within the 12 months before you apply. - **The criminal record.** It must be issued within six months of the license. - **Local review.** Kansas City's zoning clearance takes 1 to 2 business days online, and its business license takes 7 to 10 business days by form. Springfield requires its [business license](https://mo-springfield.civicplus.com/6002/Obtain-a-Springfield-Business-License) at least 2 weeks before you open. Start with zoning, since a site that fails it stops everything else. ## What do you have to do in your first 90 days as a licensed dealer? Seven things need to be right from your first sale. Each is covered in [After the sale in Missouri, and who can inspect you](/blog/missouri-dealer-after-the-sale-and-inspections). - **Temporary permits.** A permit is valid for 30 days, or up to 60 on a delayed-title sale; you may charge no more than $5 ([RSMo 301.140](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.140)), and the [rule](https://www.sos.mo.gov/cmsimages/adrules/csr/current/12csr/12c10-26.pdf) allows one per vehicle. Keep a record of each permit and void cancelled ones online. - **The title.** Pass the assigned title at delivery. Otherwise the sale is presumed fraudulent and void, unless you use a written 30-day agreement backed by the $100,000 bond ([RSMo 301.210](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.210)). - **Sales tax.** Today most buyers pay at the license office within 30 days: 4.225 percent state tax plus local tax, less any trade-in. A buyer who is late pays a [$25 penalty](https://dor.mo.gov/motor-vehicle/titling-registration/buying-vehicle.html) that grows to as much as $200. - **The monthly sales report.** DOR must receive it by the 15th of the next month, even with no sales ([RSMo 301.280](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.280)). DOR's manual sets a $300 penalty for a late or incomplete report. - **The administrative fee.** It is optional, capped at [$620.79 for 2026](https://dor.mo.gov/motor-vehicle/dealers-lienholders/), and must be the same for every retail customer, itemized, with a notice that begins "AN ADMINISTRATIVE FEE IS NOT AN OFFICIAL FEE" ([RSMo 301.558](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.558)). Ten percent of each fee goes to the state by ACH. - **Records and inspections.** Keep deal files at the licensed location for at least five years. DOR and law enforcement may inspect titles and inventory records during normal business hours ([RSMo 301.564](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.564)). - **The 8-sale minimum.** To renew you must document at least 8 sales in the last year licensed, prorated in your first year. Buyers who live in St. Louis City or St. Louis, St. Charles or Jefferson counties also need an [emissions inspection](https://dor.mo.gov/motor-vehicle/titling-registration/buying-vehicle.html) to register. ## What trips people up - **Counting to eight.** The statute bars six or more sales a year without a license, even though DOR's manual uses eight. - **Planning a home lot.** We found no state ban, but the building, street-visible display lot and 20-hour rules apply, and a home generally cannot meet them. - **Opening on Sunday.** It is a class C misdemeanor for a licensed dealer. - **Delivering a car without its title.** Without the written 30-day agreement and the $100,000 bond, the sale is presumed fraudulent and void. - **Late titles.** Automotive was the second-largest consumer complaint category at the [Attorney General's office in 2025](https://ago.mo.gov/attorney-general-hanaway-announces-missourians-top-consumer-complaints-in-2025/), with more than 2,400 complaints that often involve titles not delivered on time. - **Skipping a no-sales month.** The sales report is still due by the 15th, and DOR will not renew while a penalty is unpaid. - **Missing the 8-sale minimum.** You cannot renew for one year. ## What changed recently - **February 2027 (announced).** FUSION, DOR's new titling system, is announced for February 2027. Dealers will then complete title, registration and tax in a MyDMV Business Account, keep 2 percent of the tax and have it pulled by ACH [10 business days after the sale](https://dor.mo.gov/motor-vehicle/fusion-rollout/October-2026-Dealer-FUSION-Newsletter.pdf). DOR's October 20, 2026 guidance says [no interface is available](https://dor.mo.gov/motor-vehicle/fusion-rollout/Dealer-Title-and-Registration-Information.pdf) between that account and dealer management systems, and its transactions will not support e-signatures. - **November 2026.** DOR's [November newsletter](https://dor.mo.gov/motor-vehicle/dealers-lienholders/documents/Dealer-Newsletter-November-2026.pdf) calls this year's renewal the last in DMV Connect, and renewals now bring expiration tabs instead of new dealer plates. File by November 2 to avoid the $25 fee. - **November 9, 2026.** DOR announced that its FUSION sandbox, a test environment, would open to all remaining licensed entities. - **August 28, 2026.** HB 2423 changed the Motor Vehicle Time Sales license fees ([RSMo 365.030](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.030)); the Division of Finance now charges [$2,000 for the first location](https://finance.mo.gov/media/221). - **August 28, 2025.** Under SB 28, the administrative-fee share sent to the state falls from 10 percent to [3.5 percent](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.558) once the new system is implemented. DOR has not announced when. ## Frequently asked questions ### Do you need a license to sell used cars in Missouri? Yes, if you will sell six or more vehicles in a calendar year. Missouri law makes that illegal without a dealer license (vehicles titled in your own name are treated differently). DOR's manual uses eight as its licensing benchmark. Stay under six unless licensed. See [How many cars can you sell in Missouri without a dealer license?](/blog/how-many-cars-can-you-sell-in-missouri-without-a-dealer-license) ### How much does it cost to start a used car dealership in Missouri? DOR charges $150 or less for a first-year license, depending on the month you start, plus $50 for the first dealer plate and $10.50 for a second. A MACHS criminal record is $16 per name plus a convenience fee. The bond premium, garage policy, seminar and local licenses are priced separately. ### Do I need a separate license for buy here pay here in Missouri? No, if you hold and collect your own contracts; the Division of Finance says a dealer may do that without a license. A finance company you set up to buy your contracts, or collecting under a name other than the dealership's, needs a Motor Vehicle Time Sales license, $2,000 for the first location. ### Do Missouri dealers collect sales tax on cars? Today most buyers pay at the license office when they title the car, within 30 days: 4.225 percent state tax plus local tax, less any trade-in. Under FUSION, announced for February 2027, dealers will collect it, keep 2 percent and have the rest pulled by ACH 10 business days after the sale. ### Can a buyer cancel a used car purchase within 3 days in Missouri? Missouri has no general three-day cancellation right for car purchases that we found. Two narrower rights exist. On a [retail installment contract](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.070), a buyer who has not received the car may rescind until you give or mail a copy you signed. And a buyer may void a sale if a delayed title is not delivered within 30 days. ### Does Missouri tax a dealer's inventory? Missouri levies a [merchants' tax](https://www.revisor.mo.gov/main/OneSection.aspx?section=150.040) on goods a merchant holds on January 1, at the real estate rate, and requires a county merchant's license. We could not confirm whether county assessors apply it to vehicle inventory, so ask your county assessor before your first January 1. ## Your next step Get the one-page [Missouri new dealer checklist](/blog/missouri-dealer-license-step-by-step): every form, fee and office on this page, in the order you will need them, sent to your email. When your application is filed, you can [set up your lot in LeftLane](https://sandbox.leftlanesoftware.com/signup) or [book a LeftLane demo](https://meetings.hubspot.com/greg954/leftlane-request-demo?uuid=b03d2fbc-01be-4deb-8a2a-bf6c5ff6943d) while you wait for DOR. LeftLane is a dealer management system for independent and buy-here-pay-here dealers, it runs in any browser, and real people answer the phone at 512-222-9549. ## Sources - Missouri DOR: [Form 4682](https://dor.mo.gov/forms/4682.pdf), [Form 5110](https://DOR.MO.GOV/forms/5110.pdf), [Dealer and Business Operating Manual](https://dor.mo.gov/forms/Dealer-Operating-Manual.pdf), [seminar requirements](https://dor.mo.gov/motor-vehicle/dealers-lienholders/seminar-requirements.html), [buying a vehicle](https://dor.mo.gov/motor-vehicle/titling-registration/buying-vehicle.html) and [Dealers and Lienholders](https://dor.mo.gov/motor-vehicle/dealers-lienholders/) - Missouri DOR FUSION: [October 2026 newsletter](https://dor.mo.gov/motor-vehicle/fusion-rollout/October-2026-Dealer-FUSION-Newsletter.pdf) and [Dealer Title and Registration Information](https://dor.mo.gov/motor-vehicle/fusion-rollout/Dealer-Title-and-Registration-Information.pdf); [Dealer Newsletter, November 2026](https://dor.mo.gov/motor-vehicle/dealers-lienholders/documents/Dealer-Newsletter-November-2026.pdf) - [12 CSR 10-26: motor vehicle dealer rules](https://www.sos.mo.gov/cmsimages/adrules/csr/current/12csr/12c10-26.pdf) - [RSMo 301.550](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.550), [301.560](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.560), [301.570](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.570), [301.140](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.140), [301.210](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.210), [301.280](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.280), [301.558](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.558) and [301.564](https://www.revisor.mo.gov/main/OneSection.aspx?section=301.564) - [RSMo 365.030](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.030), [365.070](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.070), [365.100](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.100), [365.120](https://www.revisor.mo.gov/main/OneSection.aspx?section=365.120) and [408.554](https://www.revisor.mo.gov/main/OneSection.aspx?section=408.554) - [RSMo 578.120](https://www.revisor.mo.gov/main/OneSection.aspx?section=578.120), [150.040](https://www.revisor.mo.gov/main/OneSection.aspx?section=150.040), [150.100](https://www.revisor.mo.gov/main/OneSection.aspx?section=150.100) and [407.100](https://www.revisor.mo.gov/main/OneSection.aspx?section=407.100) - [Highway Patrol: criminal record check](https://www.machs.mo.gov/MSHPWeb/PatrolDivisions/CRID/crimRecChk.html) - Division of Finance: [Motor Vehicle Time Sales](https://finance.mo.gov/consumer-credit-licensing/motor-vehicle-time-sales) and [application packet](https://finance.mo.gov/media/221) - [Missouri Attorney General: top consumer complaints, 2025](https://ago.mo.gov/attorney-general-hanaway-announces-missourians-top-consumer-complaints-in-2025/) - Local: [Kansas City BizCare](https://bizcare.kcmo.gov/kcmobusinesslicense) and [RD-105 fee tables](https://kcmo.gov/home/showpublisheddocument/11684/638336496833300000); St. Louis [fees](https://www.stlouis-mo.gov/government/departments/license/business-license-info/graduated-business-license-information-and-fees-schedule.cfm) and [dealer tags](https://www.stlouis-mo.gov/government/departments/license/business-license-info/-gbl-businesses-having-additional-requirements.cfm); [Springfield business license](https://mo-springfield.civicplus.com/6002/Obtain-a-Springfield-Business-License); Columbia [licenses](https://www.como.gov/?p=8900) and [gross receipts](https://www.como.gov/finance/business-licenses/understanding-gross-receipts/); [Boone County Collector](https://www.boonemo.gov/collector/merchant.asp) _This guide is general information for dealers, not legal advice. Rules and fees change. Confirm with the agency or a licensed attorney in your state before you act._