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  • How to Start a Used Car Business: The Legal and Business Requirements

    The Legal and Business Requirements

    You may have questions such as what are the requirements to buy and sell used cars? Or more directly, who needs to be registered as a motor vehicle dealer?

    In general, like any business, a used car sales business comes with many regulations and rules which must be followed and adhered to. Furthermore, depending upon each individual jurisdiction, the rules and regulations can vary greatly.

    Every individual who is the used car sales business, or in trading of motor vehicles, whether as an individual or part of a large enterprise, needs to follow certain rules.

    How do I get registered as a motor vehicle dealer?

    This process will vary slightly from jurisdiction to jurisdiction but in general it consists of essentially the same requirements. You must apply to the appropriate department or division of government to obtain a permit or license to operate as a motor vehicle dealer. The Department of Motor Vehicles or provincial centres like Access Nova Scotia can get you on your way.

    For example, in Ontario, Canada, many different classes of motor vehicle dealers exist. Each particular class requires different registration requirements. These requirements can be obtained from the OMVIC and are explained in the certification course. Your application for the appropriate type of registration must be completed and sent to the OMVIC. In time you will receive your certificate.

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