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Section 2

Main and Branch Location Requirements


2.6 Branch Location for Dealerships

  1. A Branch is any location, other than the principal place of business of the dealer, maintained for the sale or exchange of vehicles. A branch location must comply with Vehicle Code §§320 and 11709. [C.C.R. §270.02]

When Required

  1. A branch location license is required for any location, other than the principal place of business, where vehicles are displayed and sales are offered, attempted, solicited, negotiated or otherwise transacted. [V.C. §11709 and C.C.R. §270.08]
 
Showroom Photo

Branch Location Requirements

  1. Basically, the rules for the dealer’s main location also apply to the branch location.
  2. Must be actually occupied continuously or at regular periods. [V.C. §320] ]. If you do not maintain regular business hours, you may meet this requirement by posting a sign at the dealership with your limited hours or stating "By Appointment Only" with a phone number. You need to return those phone calls within a reasonable time period, such as 24 hours. Make sure to pick up your mail at regular periods. The DMV may suspend or cancel your license if they cannot contact you.
  3. Must keep books and records pertinent to the type of business being conducted at the branch location. [V.C. §320]
  4. Must conspicuously post the dealer's license and each salesperson's license.
    [V.C. §11709]
  5. Must display signs with the dealer's name, location and address of the dealer's established place of business.
    1. Must be two square feet per side,
    2. Must be readable from 50 feet,
    3. Exception: Broker or wholesaler involved only in sale of vehicles between dealers. [V.C. §11709]
    4. Fee: The fee for a branch location license is $70.00. [V.C. §9262 (a)(3)]

Procedure

  1. A branch location can be applied for by completing Form OL21, “Application for Modifications to Occupational License” and submitting it to the Occupational Licensing Dept. of the DMV. The application form can be obtained from the DMV (or the DMV’s website at http://www.dmv.ca.gov/forms/ol/ol21.htm). In your application you will need to provide the DMV the following:

    1. Your intended branch location address,
    2. Whether you lease, rent, or own the property, (including a copy of your lease or rental agreement)
    3. A completed Property Use Verification for Vehicle Dealer License, form number OL 902 (http://www.dmv.ca.gov/forms/ol/ol902.htm), and
    4. A request for the type of license you wish for the branch location (for example: wholesale or retail).


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