Summary
To sell used car parts on consignment in Montana, you need a dealers license, even if your client is a licensed salvage yard. Complete the Motor Vehicle Dealer Application, provide proof of business location, insurance, and bonding, and pay the necessary fees. Insurance typically includes general liability and commercial auto coverage, while bonding costs depend on the bond amount. Ensure compliance with local ordinances and environmental regulations.Full Conversation
I sell items on consignment. I have an llc in montana and a business license in gallatin county. I want to sell used car parts for a salvage yard (on consignment.)What do i need to do to make sure i am compliant with the law?
To ensure compliance with the law when selling used car parts on consignment, you should:
- Verify if you need a specific dealer's license for selling used car parts.
- Ensure compliance with environmental regulations for handling automotive parts.
- Check for any local ordinances or zoning laws related to salvage yards.
Would you like more detailed information on obtaining a specific dealer's license in Montana?
Yes
To obtain a specific dealer's license for selling used car parts in Montana, you'll need to:
- Fill out the Motor Vehicle Dealer Application.
- Provide proof of business location, insurance, and bonding.
- Pay the applicable fees.
Would you like information on any other compliance aspects?
So if my client is the salvage yard, that has a liscence, i still need to get a dealers liscence?
Yes, if your client is a salvage yard with a license, you still need a dealer's license to sell used car parts on consignment in Montana. The dealer's license is specific to those selling motor vehicle parts, regardless of the primary business of your client.
Would you like more information on the application process?
Yes
To apply for a dealer's license in Montana, here's what you'll need:
- Motor Vehicle Dealer Application: Complete and submit the form.
- Proof of Business Location: Provide documentation of your business address.
- Insurance and Bonding: Ensure you have the required coverage and bonding.
- Fees: Pay the necessary application fees.
Would you like details on where to find the application forms or more about the insurance requirements?
what do i need for insurance and bonding
For insurance and bonding, you will generally need:
- General Liability Insurance: Covers third-party bodily injury and property damage.
- Commercial Auto Insurance: If you're using vehicles for business purposes.
- Surety Bond: Required to ensure compliance with state laws and to protect consumers.
Would you like more specific details on insurance providers or bonding requirements in Montana?
How much does that cost
The costs for insurance and bonding can vary significantly based on several factors such as the size of your business, the value of the inventory, and the coverage limits. Here are approximate ranges:
- General Liability Insurance: $* - $*,* per year.
- Commercial Auto Insurance: $* - $*,* per year.
- Surety Bond: Typically *-*% of the bond amount annually.
Would you like more detailed information on providers or specific types of coverage?
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