Flag_of_Alabama.svg
An official website of the Alabama State government.

The .gov means it's official

Government websites often end in .gov or .mil. Before sharing sensitive information, make sure you’re on an official government site.

The site is secure

The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely.

Motor Vehicle Dealer, Rebuilder, Wholesale, Auction, and Off-Site Sales Licenses

  • Motor Vehicle Dealer, Rebuilder, Wholesale, Auction, and Off-Site Sales Licenses

Authority

Sections 40-12-390 through 40-12-400, and Sections 40-12-445 through 40-12-450, Code of Alabama 1975.

New Motor Vehicle Dealer – any person which holds a bona fide contract or franchise in this state in effect with a manufacturer or distributor of new motor vehicles and is engaged in the business of selling, advertising, or negotiating the sale of new motor vehicles or new and used motor vehicles, to include trailers (except those not subject to titling in this state) and motorcycles. The term also includes a used motor vehicle dealer, motor vehicle rebuilder, and motor vehicle wholesaler.

Used Motor Vehicle Dealer – any person engaged in the business of buying, selling, exchanging, advertising, or negotiating the sale of five or more motor vehicles not previously titled or registered in the person’s name at retail during a calendar year, to include trailers (except those not subject to tilting in this state) and motorcycles. The term also includes a motor vehicle rebuilder and motor vehicle wholesaler.

Motor Vehicle Rebuilder – any person engaged in the business of making or causing to be made extensive repairs, replacements, or combination of different motor vehicles to the extent of extinguishing the identity of the original vehicle to the extent finished vehicle may be assigned a new identification number by the department. This term also includes refurbishing, repairing, or replacing damaged parts of motor vehicles for the purpose of preparing the vehicle for resale under the same identification and identity as the vehicle had before the refurbishing.

Motor Vehicle Wholesaler – any person, firm, or corporation engaged in the business of buying, selling, or exchanging motor vehicles at wholesale to motor vehicle dealers and not to the public.

Motor Vehicle Wholesale Auction – any person engaged in the business of buying, selling, exchanging, or facilitating the sale of motor vehicles at wholesale to new or used motor vehicle dealers, automotive dismantler and parts recyclers, and secondary metals recyclers, as defined in Section 13A-8-30, and not to the public.

Master dealer license – $125

Each additional place of business – $5

Off-site sales license – $25 (limited to three per dealer license year)

Wholesale auction license – $125

A privilege license under Sections 40-12-51, 40-12-62, or 40-12-169 is also required for each off-site sale.

A minimum of $25 or 10 percent, whichever is greater, of the application fee shall be appropriated to the General Fund. The remaining amount shall be continuously appropriated to ALDOR for the inspection, issuance, and enforcement of the licensing requirements.