State of Minnesota - Motor Vehicle Dealer License Surety Bond
Motor Vehicle Dealers (Franchised Only) - New or New and Used Vehicles
Overview
What it is.
Motor Vehicle Dealers (Franchised Only) - New or New and Used Vehicles
Who usually needs it
Businesses and individuals engaged in selling, leasing, or arranging the sale of motor vehicles in Minnesota must obtain this bond as part of their motor vehicle dealer licensing requirements. This includes those who have leased or sold more than five vehicles in one year, those who sell used vehicle parts or process scrap metals from vehicles, and those wh…
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.
Tell us the bond name, state, and amount on your form.
Share business and applicant info so the team can quote it.
Sign and pay; we issue the bond and send you the documents.
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.
StateMNBond amount$50,000ObligeeState of MinnesotaBond classLicense BondCategoryOtherBondState of Minnesota - Motor Vehicle Dealer License Surety BondPlain descriptionMotor Vehicle Dealers (Franchised Only) - New or New and Used VehiclesWho needs this bondBusinesses and individuals engaged in selling, leasing, or arranging the sale of motor vehicles in Minnesota must obtain this bond as part of their motor vehicle dealer licensing requirements. This includes those who ha…
