Salesperson - Auto Industry Division

MOTOR VEHICLE SALESPERSON/POWERSPORTS VEHICLE SALESPERSON
 
Definitions for Motor Vehicle Salesperson and Powersports Vehicle Salesperson can be found in C.R.S. 12-6-102 (14) and C.R.S. 12-6-502 (15). Colorado Revised Statutes may be found on the Secretary of State website.
 
An application for a Motor Vehicle Salesperson or Powersports Vehicle Salesperson license requires the following information:
  • In Colorado salespeople are required to be licensed to a Motor Vehicle Dealer.  You must first find a dealer who wishes to hire you and that dealer must complete page 7 of your application.
  • All Auto Industry applications and forms require that a licensee use their FULL LEGAL name as shown on the applicants Driver License or Identification Card.
  • More information can be found on form: Salesperson Application Information (DR 2234)
The following documents are required for a complete salesperson application:

AUTHORITY TO SELL MOTOR VEHICLES

First time applicants may begin selling motor vehicles when:

  • The TEMPORARY LICENSE is subject to denial pending the results of a background investigation. The application review and investigation process may take several weeks. If an applicant has been the subject of Dealer Board licensing or disciplinary action within the past 5 years, the applicant will not receive a temporary license and may not start selling until the Board reviews the application and grants a license.
  • The TEMPORARY status is in effect until the license is approved or denied. If the application is approved, a permanent license will be issued. If the application is denied, a Notice of Denial is issued and the applicant must immediately cease selling motor vehicles upon receipt of the Board Order. The Notice of Denial documents explain an applicant’s right to request a formal hearing.
When a motor vehicle salesperson license is issued, it is valid for one year following the month of issuance. For example, if a motor vehicle salesperson license is issued on September 5th, the license is valid for one year and expires on September 30th of the following year. The license is mailed to the employing dealer. The dealer will post the license at their place of business.

DETAILED EXPLANATION OF REQUIRED DOCUMENTS
Mastery Examination: An applicant must pass the Online Mastery Exam with a passing score of 85%. This is an open book exam. The Mastery Exam will be administered to the applicant by the hiring Dealer or one of the approved third party providers. There is no fee to take the exam. The examination affidavit must accompany the completed license application. For more information go to the Mastery Exam page.
 
  • ​Examination Affidavit — (DR 2097) must be filled out completely and signed by the applicant and examination administrator. 
  • Surety Bond with FULL LEGAL NAME  in the amount of $15,000. A photocopy may be submitted.
  • Secure Verifiable Identification — A photocopy of an appropriate identification such as a Colorado Driver License. For more information visit the Secretary of State website.
     
  • Court Records:
  • If the applicant has ever been charged with, convicted of, received a deferred judgment/sentence, or pled no contest, to any felony, full details must be provided including type of crime, date, place of conviction, sentence received, etc. Certified court records must be included with the application.
  • If the applicant has been charged with, convicted of, received a deferred judgment/sentence, or pled no contest, to any misdemeanor crime in the past ten years, full details must be provided including type of crime, date, place of conviction, sentence received, etc. Certified court records must be included with the application.
  • It is the applicant’s responsibility to provide rehabilitation information for their criminal convictions.
  • Written Correspondence — If you have anything you wish the Motor Vehicle Dealer Board to take into account or need to explain any licensing character, criminal character, or financial character issues please provide it with the application. Failure to disclose any licensing character, criminal character, or financial character issues in writing with the application is considered a material misstatement and may result in your license being denied. When in doubt provide an explanation.
You cannot hold a license issued by the Colorado Motor Vehicle Dealer Board if you have been convicted of a felony within the last 10 years of an Article 3, 4, or 5 if Title 18 of the Colorado Revised Statutes or any crime involving odometer, salvage, motor vehicle title fraud, or the defrauding of a retail consumer in a motor vehicle sale or lease transaction.
 (See C.R.S. 12-6-118(7)(a) and C.R.S. 12-6-520(6)(a).
  • Article 3 of Title 18 includes but is not limited to crimes against persons such as murder, assault, kidnapping, sexual assault, custody violation, menacing weapon, vehicular homicide, manslaughter, criminal extortion and enticing a child.
  • Article 4 of Title 18 includes but is not limited to crimes against property, arson, theft, burglary, robbery, criminal mischief over $500, criminal trespass in the 1st degree and unlawful transfer for sale (copyright infringement).
  • Article 5 of Title 18 includes but is not limited to fraud, forgery, criminal possession of a forged instrument or forging instrument, criminal impersonation, fraud by check (over $500), commercial bribery, bribery in sports and equity skimming.
Any license issued by the Colorado Motor Vehicle Dealer Board may be denied, suspended, or revoked if a material misstatement is made in an application for a license. A “Material Misstatement” means any false or misleading statement, omission, or misrepresentation regarding personal identification information, employment history, prior occupational licensing history, criminal background and history, including filings, indictments, municipal, misdemeanor, and/or felony convictions and deferred judgments.
 
CHANGING DEALERSHIPS

When a salesperson terminates employment with a dealership, the dealer is required to return the salesperson license to the Auto Industry Division. The salesperson must immediately cease selling until employment at another dealership is obtained and proper notification is given to the Auto Industry Division. The applicant must submit the “Change of Employer Notification” form and fee to the Auto Industry Division. The “Change of Employer Notification” form is at the bottom of the salesperson’s license.
  • The form must be filled out completely and signed by both the salesperson and the new employing dealer. There is a fee to transfer a license. Mail or hand deliver to the Department of Revenue, Auto Industry Division, 1881 Pierce Street #112. Lakewood, CO 80214.
  • The new license will be issued for the remaining months of the 12-month license and will display the salesperson’s name, the new employing dealer’s name, license number and address. The license will be mailed to the new employing dealer.
LICENSE RENEWAL

The license and surety bond expire 12 months after the month of issuance. A renewal application is mailed to the licensed dealer prior to the expiration of the salesperson license. The renewal application must be completed and returned along with the renewal fee and a copy of the new bond (a photocopy may be submitted) or continuation certificate. A courtesy grace period of 30 days is granted after the expiration date. In order to renew a current existing license, the Auto Industry Division must receive the renewal application prior to the license expiration date, after which a late fee will be assessed. A request for a license to be renewed after the expiration date and 30 day grace period requires a new original application, surety bond (a photocopy may be submitted), and fee.
 
For additional information contact the Auto Industry Division at (303) 205-5604.