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License Bond

Dealer Surety Bond

Any person or entity applying for a license as a motor vehicle dealer, remanufacturer, or lessor-retailer in California. Required when: Required as a condition of issuance or renewal of a dealer license. Exemptions: Wholesale-only dealers selling fewer than 25 vehicles per year may apply for an exemption from the $50,…

Overview

What it is.

Any person or entity applying for a license as a motor vehicle dealer, remanufacturer, or lessor-retailer in California. Required when: Required as a condition of issuance or renewal of a dealer license. Exemptions: Wholesale-only dealers selling fewer than 25 vehicles per year may apply for an exemption from the $50,…

Who usually needs it

Any person or entity applying for a license as a motor vehicle dealer, remanufacturer, or lessor-retailer in California.

Pricing & timing

What to expect.

Generic pricing

License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher de…

Typical timeframe

Issuance timeframe varies by bond type and underwriting

Application

What to do next.

  1. Tell us the bond name, state, and amount on your form.
  2. Share business and applicant info so the team can quote it.
  3. Sign and pay; we issue the bond and send you the documents.
  4. Keep your effective date and renewal date on file with us.
Start the application.

You are on the exact bond page. The next step is to start the quick application.

Details

Bond details.

StateCA
Bond amount$50,000
Term lengthContinuous
ObligeeCalifornia Department of Motor Vehicles, Occupational Licensing Branch
RenewalThe bond remains in full force and effect concurrently with the license period. Licensees must ensure the bond is active and at full value for annual license renewal.
Bond classLicense Bond
CategoryMotor Vehicle
BondDealer Surety Bond
Statutory referenceCalifornia Vehicle Code Section 11710
JurisdictionState
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Next step

Ready to move forward?

Pin down whether this is your bond, then start the application. Ava can confirm the right state and license type if you are not sure.