benefits with dealer license

[nicholas421]

if i were to get a dealer license (in MI) would i be able to
1) buy cars at auctions for personal use
2) use dealer plates for personal use
3) get converage for my personal cars under fleet insurance
4) avoid paying taxes on used cars

are you required to actually sell cars if you have a dealer license?

any idea on how much fleet insurance costs? MI requires insurance for a minimun of 10 cars.

 

[Carguy!]

I would love to hear what you find out, I was thinking about getting a license also.

I went to a Michigan site and after reading what was required I gave up rather quickly.

http://www.michigan.gov/documents/ar0032_19142_7.pdf

Check out this link and see if there is a way to get around all of the red tape.

Good Luck!

P.S. I was hoping to get out of paying sales tax on the Ford GT if I sell it right away. It seems a little crazy to pay 10K in sales tax on a car that I would only own for a week.

 

[Doug]

Most states have requirements for a liscense like hours of operation and minimum indoor or outdoor sq.ft. with signage. Wholesalers have similar except they do not have to be there but they can only sell locally to dealers. I think EBAY can help skirt the issue in that you are not trying to sell locally. You still have to have the signage, space etc...
Another way to avoid the taxes and buy/sell a few cars a year is to register as a title only. You don't pay taxes, but don't get a plate either. Generally, you can do between 5-8 per year without raising red flags. To get into auctions, just find a local wholesalerer/small dealer and ask if you can pay him $200 cash plus a check for the car if he buys it.

 

[steveny]

if i were to get a dealer license (in MI) would i be able to
1) buy cars at auctions for personal use
2) use dealer plates for personal use
3) get converage for my personal cars under fleet insurance
4) avoid paying taxes on used cars

are you required to actually sell cars if you have a dealer license?

any idea on how much fleet insurance costs? MI requires insurance for a minimun of 10 cars.

In NY
1. no
2. no
3. no
4. no

Yes and there is a minimum per year you must sell in NY. As a individual there is a maximum amount you can sell before you HAVE to get a dealers license.

I have a friend who has a trucking company. He is self insured with a one million dollar bond.

 

[Tom Larkins]

I was hoping to get out of paying sales tax on the Ford GT if I sell it right away. It seems a little crazy to pay 10K in sales tax on a car that I would only own for a week.

Are you getting a GT ?


Excellent ? bye the way. Its been a thought of mine too.

 

[Carguy!]

Are you getting a GT ?


Excellent ? bye the way. Its been a thought of mine too.

I am getting a GT, I still don't know if I will be getting a first year one though. I am second on the list and they are guaranteed one a year for the three years of production. If I do get a first year model, I will probably sell it if they are still going for so much over sticker.

 

[Meeyatch1]

Getting the dealers licenses are not easy....otherwise everyone would have them!!

 

[prova4re]

Getting the dealers licenses are not easy....otherwise everyone would have them!!

Yeah but................. all the kool kids have one.