How to Get a Dealer License in Washington: Cost & Requirements

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Washington charges $975 for a vehicle dealer license — the highest first-year fee of any state we have documented, and roughly thirteen times what Kansas charges for the same permission. It renews at $325, the bond is $30,000, used-vehicle sellers need a dealer education certificate, and the state tells you what hours to be open.

The bond name must match the firm name exactly

Washington requires the principal name on the bond to be exactly the same as both the business owner and the business firm name, signed by the applicant and the attorney-in-fact. A near-match gets rejected, and a business structure change later costs the full $975 again. Settling the entity first is what avoids both. ZenBusiness files your Washington LLC.

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What It Costs

Item Cost Notes
Motor vehicle dealer license $975 Renewal $325. Same fee for manufactured home/travel trailer and miscellaneous vehicle dealers
Off-road vehicle or snowmobile dealer $25 $25 renewal
Boat dealer $120 $60 renewal
Dealer sub-agency $100 $25 renewal
Temporary sub-agency (off-site event) $100 No renewal
Business structure change $975 The full original fee again
Address change $25 per endorsement Name change is free
Dealer plates $50.75 original $38.75 renewal, $20.75 replacement
Motorcycle plates $44.75 original $38.75 renewal, $14.75 replacement
Surety bond $30,000 Vehicle, Vessel Dealer Business Bond
Washington LLC $200 online $180 filing + $20 processing, Initial Report included

Note the structure-change line. Converting a sole proprietorship into an LLC after licensing means paying the $975 again, not an amendment fee. In a state this expensive, choosing the right entity before you apply is worth more than it is almost anywhere else.

Washington Tells You When to Open

Most states describe a place of business. Washington schedules it. The Department of Licensing requires the business site to be open from 10 a.m. to 4 p.m., five days per week.

That is a licensing condition, not a suggestion, and it shapes what kind of operation is viable — a part-time weekend dealership does not satisfy it. Alongside the hours, the site must:

  • Be at a commercial property with an enclosed building.
  • Have an exterior sign permanently affixed to the land or building showing the business name and the type of business.
  • Have an area to maintain books, records and files at the business site.
  • Have an operating phone system listed in directory assistance.

The Education Certificate Applies to Used Sales Only

Washington requires a Certificate of Dealer Education — but only for used vehicle sales. It is obtained through the Washington State Independent Automobile Dealers Association (WSIADA) or the Independent Dealers Education Association (IDEA).

If you are opening a new-vehicle franchise only, this does not apply to you. If you are doing what most first-time applicants do — buying and reselling used cars — it does, and it needs to be in hand before the file is complete.

The Paperwork on the People, Not Just the Business

  • Financial / Source of Funds Statement. Sole proprietors and partnerships file one per person. Corporations, LLCs and LLPs file a single form covering only the business’s assets and liabilities.
  • Personal Criminal History Statement for each owner, officer or member of the business.
  • Proof of the site: a copy of your property tax statement, or the rental or lease agreement.
  • The bond, with the principal name exactly matching both the business owner and firm name, signed by the applicant and the attorney-in-fact for the bonding company.

How to Get Licensed, In Order

  1. Choose the entity carefully and form it — changing structure later costs the full $975 again.
  2. Secure a commercial site with an enclosed building and get the lease or property tax statement as proof.
  3. Fit the exterior sign, permanently affixed, showing the business name and the type of business.
  4. Get the phone listed in directory assistance and set aside space for books and records.
  5. Complete the Certificate of Dealer Education through WSIADA or IDEA if you will sell used vehicles.
  6. Bind the $30,000 bond, checking the principal name matches the firm name character for character.
  7. Collect a Personal Criminal History Statement from every owner, officer or member, plus the Financial/Source of Funds Statement in the right format for your entity type.
  8. Apply with the $975 fee, plus $50.75 for your first dealer plate.

$975 to start, and $975 again if you change structure

Washington charges the highest dealer license fee in the country and charges it a second time if your business structure changes after licensing. The bond principal must match the firm name exactly. Getting the entity right before you apply is the single cheapest decision on this page. ZenBusiness handles the Washington filing for $0 plus the state fee.

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Data for Washington

Free research and planning tools for starting a dealership in Washington. Most of the data pages compare every state, so look for Washington in the table or map.

Frequently Asked Questions

How much does a Washington dealer license cost?

$975 for a motor vehicle dealer license, renewing at $325. That initial fee is the highest of any state we have documented. A sub-agency is $100 with a $25 renewal, and dealer plates are $50.75 for the original and $38.75 to renew.

How much is the Washington dealer bond?

$30,000 for vehicle dealers, on a Vehicle, Vessel Dealer Business Bond. The principal name must be exactly the same as both the business owner and the business firm name, and the bond must be signed by the applicant and by the attorney-in-fact for the bonding company.

Do I need a course for a Washington dealer license?

Only if you sell used vehicles. Washington requires a Certificate of Dealer Education for used vehicle sales, available through the Washington State Independent Automobile Dealers Association or the Independent Dealers Education Association. Dealers selling only new vehicles do not need it.

Does Washington require dealers to keep set business hours?

Yes. The Department of Licensing requires the business site to be open from 10 a.m. to 4 p.m., five days per week. Washington is unusual in writing minimum opening hours into the licensing requirements rather than leaving them to the dealer.

Sources

Source What it confirms
WA DOL — Fees: Vehicle and boat dealers $975 license, $325 renewal, sub-agency, structure-change and plate fees
WA DOL — Get your license: Vehicle dealers $30,000 bond, opening hours, site and sign requirements, criminal history and financial statements, dealer education certificate
Motor Vehicle and Other Dealer Licensing Requirements Full requirement list and bond amounts by dealer type
WA DOR — Vehicle and Vessel Dealer endorsement Business license endorsement

Comparing states? See our dealer license guides for every state we cover.

Robert Smith
About the Author

Robert Smith has run a licensed private investigation firm for 8 years from the Florida-Georgia state line - where he learned firsthand how wildly business licensing rules differ between states just miles apart. He personally researched requirements across all 50 states and D.C., reviewing hundreds of government sources over hundreds of hours to build guides he wished existed when he started. Not a lawyer or accountant - just a business owner who has done the research so you don't have to.