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Last Updated:|Florida FLHSMV dealer bond requirements verified
✓ 2025 Requirements Verified

Florida Auto Dealer Bond: $25,000 FLHSMV Requirement

Get your Florida auto dealer bond with same-day approval. Required $25,000 bond (expires April 30) for all Florida car dealers. A-rated carriers, competitive rates from $188/year, all credit types accepted.

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Bond Amount

$25,000

Required by Florida FLHSMV

Cost Range

$188-$2,500

Annual premium (credit-based)

Processing Time

1 business day

Same-day approval available

Bond Term

Annual

Expires April 30 each year

Written by BuySuretyBonds.com
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Florida FLHSMV Dealer Licensing Requirements

Complete requirements for obtaining an auto dealer license in Florida, including the mandatory $25,000 surety bond (expires April 30 annually).

Required Documents & Bonds
What you need for Florida FLHSMV dealer licensing
  • Complete Florida FLHSMV dealer license application
  • $25,000 auto dealer surety bond (expires April 30 annually)
  • Garage liability insurance ($50,000 minimum property damage, $100,000 bodily injury)
  • Established place of business meeting square footage requirements
  • Valid Florida business registration
  • Sales tax registration with Florida Department of Revenue
  • Approved business location with proper zoning
  • Completion of pre-licensing course (for first-time applicants)
  • Background check through FDLE
Bond Details
Florida dealer bond specifications
Obligee
Florida Department of Highway Safety and Motor Vehicles
Bond Term
Annual (expires Apr 30)
Bond Purpose
Protects consumers from dealer fraud, unpaid fees, or violations of motor vehicle laws
Claim Coverage
Up to $25,000 per occurrence for valid consumer claims

Understanding Florida Auto Dealer Bonds

Florida requires all motor vehicle dealers to post a $25,000 surety bond before obtaining a dealer license. This bond serves as a financial guarantee that dealers will comply with state motor vehicle laws, pay required taxes and fees, and operate ethically. All bonds expire on April 30 each year, creating a uniform renewal date.

The Florida Department of Highway Safety and Motor Vehicles (FLHSMV) mandates this bond to protect consumers from fraudulent practices, ensure payment of state fees, and provide recourse for individuals harmed by dealer misconduct.

How Florida Dealer Bonds Work

When you purchase a Florida auto dealer bond, the surety company guarantees to FLHSMV that you will:

  • Properly handle title transfers and registrations
  • Pay all sales taxes and registration fees
  • Provide truthful advertising and vehicle condition disclosure
  • Comply with odometer disclosure requirements
  • Honor warranties and service commitments
  • Maintain required business records
  • Operate from an established, properly zoned location

Important: Bond vs Insurance

Your dealer bond protects consumers, not your business. If a claim is paid by the surety, you must reimburse the full amount plus legal costs. This makes the bond a form of credit, not insurance. Maintain strict compliance to avoid costly claims.

Frequently Asked Questions

Common questions about Florida auto dealer bonds

How much does a Florida auto dealer bond cost?

Florida auto dealer bonds ($25,000) cost $188-$2,500 annually depending on credit. With excellent credit (750+), expect $188-$500 (0.75-2%). Good credit (680-749) costs $500-$1,000 (2-4%). Fair credit (620-679) ranges $1,000-$1,750 (4-7%). Lower credit may require up to $2,500 (10%). We offer competitive rates for all credit levels with same-day approval.

Why does the Florida dealer bond expire on April 30?

Florida requires all dealer licenses and bonds to expire on April 30 each year, regardless of when you initially obtained the license. This creates a uniform renewal date across the state. Pro-rated bonds are available if you start mid-year.

How long does Florida FLHSMV dealer licensing take?

Florida FLHSMV dealer licensing typically takes 4-8 weeks from application to approval. The bond can be issued within 1 business day. Other requirements like location inspection and pre-licensing course completion add to the timeline. Start your bond application early to avoid delays.

Do I need both a bond and insurance in Florida?

Yes, Florida requires both a $25,000 surety bond and garage liability insurance ($50,000 property damage / $100,000 bodily injury minimum). The bond protects consumers from licensing violations, while insurance covers property damage and liability claims. Both are mandatory for FLHSMV dealer licensing.

Can I get a Florida dealer bond with bad credit?

Yes, we have specialized programs for all credit situations. We've secured Florida dealer bonds for applicants with credit scores as low as 500. Rates vary based on credit, but approval is often possible. Our underwriters work with multiple carriers to find the best solution.

What happens if someone files a claim against my Florida dealer bond?

The surety company investigates claims filed by consumers or FLHSMV. If valid, they pay up to $25,000. You must then reimburse the surety for amounts paid plus legal costs. Maintain compliance with all FLHSMV regulations and consumer protection laws to avoid claims.

Does Florida require different bonds for franchised vs independent dealers?

No, Florida generally requires the same $25,000 bond for most dealer types, though amounts may vary based on specific dealer classification (independent, franchise, wholesale, auction). Check with FLHSMV for your specific dealer category requirements.

How do I renew my Florida auto dealer bond?

Florida dealer bonds must be renewed annually by April 30. We send renewal reminders 60 days before expiration. Most renewals are approved within 1 business day with updated pricing based on current credit. Never let your bond lapse - it results in immediate license suspension by FLHSMV.

Get Your Florida Auto Dealer Bond Today

Same-day approval • Expires April 30 • All credit types • A-rated carriers

📋 Get Your Auto Dealer Contractor Bond Quote

Fast approval • Competitive rates

Fast approvalA- rated carriersAll 50 states
1-Day Approval
From $188/Year
All Credit Accepted