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How to get a car dealer licence in the NT

In the Northern Territory you need a motor vehicle dealer licence from Licensing NT to buy, sell, offer or exchange vehicles as a business. You need probity and criminal history checks, referee statements, accountant-certified financials, a business plan and properly zoned premises, then you pay an annual fee and lodge an annual statement by 31 October.

Written by
TradeBeat, a licensed QLD motor dealer
Last reviewed
Applies to
Northern Territory
The short version
  • You need a licence to buy, sell, offer or exchange motor vehicles as a business.
  • Applicants must be over 18 and pass criminal history and probity checks, with 2 referee statements per associated person.
  • You need certified financial statements, a business plan and proof your premises are zoned for a dealership.
  • Each manager and each car yard needs approval, and licences can’t be transferred.
  • Dealing without a licence carries fines of up to 500 penalty units (2,500 for a corporation).

Who needs a motor vehicle dealer licence in the NT

You need a licence to buy, sell, offer for sale or exchange motor vehicles as a business. Licences can be held by an individual, a partnership or a corporation. Motor wreckers, finance providers and exempt traders don’t need one. The licensing pages don’t set a number-of-cars threshold, but NT Police have described selling 4 or more vehicles in 12 months without a licence as an offence under section 128 of the Consumer Affairs and Fair Trading Act. Check with Licensing NT if you are unsure.

Licence types and approvals

  • Motor vehicle dealer licence for an individual, partnership or corporation, including your car yards.
  • Manager approval: every manager working for your car yard must be approved, and so must each car yard you operate.
  • Licences aren’t transferable. If you buy an existing dealership, you must apply for your own licence.

Eligibility and fit and proper rules

  • You must be over 18.
  • You need a criminal history name check and a probity check, with detailed personal and financial information.
  • Each associated person needs 2 written referee statements saying they are a fit and proper person to be a licensed dealer, plus current photo ID.

Training and qualifications

Licensing NT doesn’t list a training course or qualification. Instead you show you can run the business, with accountant-certified financial statements and a business plan.

Fees

ItemFee
Application fee (person or corporation, non-refundable)$580
Granting fee, licence including one car yard$333
Each additional car yard (grant)$166
Annual fee, one car yard$333
Each additional car yard (annual)$166

These are the amounts on the NT Government fees page, which doesn’t state the financial year they apply to. Check the current fee with Licensing NT before you apply. Licence fees are GST exempt.

Processing time

Licensing NT doesn’t publish a licence processing time. The criminal history check alone can take up to 6 weeks, and an incomplete application delays the licence further.

Premises and business requirements

  • Proof of premises, such as ownership or a lease with the owner’s consent.
  • Proof the site is zoned for a dealership. The Development Consent Authority can help with zoning.
  • A current ASIC business name extract, accountant-certified financial statements and a business plan.

Ongoing obligations

  • Annual fee and statement: pay the annual fee and submit an annual statement by 31 October each year.
  • Dealings register: dealers keep a dealings register issued by the Commissioner.
  • Statutory warranty: cars under 10 years old with under 160,000 km carry 3 months or 5,000 km, whichever comes first.
  • Approvals: get approval before a new manager starts or a new car yard opens.

Penalties for unlicensed dealing

Dealing without a licence, trading from unlicensed premises or breaching licence terms carries fines of up to 500 penalty units for a person (NT Police have quoted 2,500 penalty units for a body corporate), and vehicles and sale proceeds may be forfeited.

How to apply

Apply online through Licensing NT, or on paper at a Territory Business Centre, with the application fee and supporting documents.

What software you’ll need

Once you hold the licence, the paperwork is ongoing: a record of every car you buy and sell, the right warranty terms on each contract, PPSR checks, and licence and staff expiry dates. Our car dealer compliance tools log PPSR, odometer, written-off and stolen checks on every car, track licence and salesperson expiry dates, and keep a full audit trail.

NT compliance packs aren’t on the current roadmap. Queensland is live now, with NSW and VIC next, so ask us about the NT in a demo.

For the detail, read our guides to the NT dealer stock register and NT statutory warranty.

How to apply for a motor vehicle dealer licence in the NT

  1. Secure zoned premisesGet a lease or ownership of premises zoned for a dealership, with the owner’s consent if leased.
  2. Prepare business documentsGet an ASIC business name extract, accountant-certified financial statements and a business plan.
  3. Arrange checks and refereesOrganise criminal history checks, and 2 referee statements and photo ID for each associated person.
  4. Apply to Licensing NTApply online, or on paper at a Territory Business Centre, and pay the $580 application fee.
  5. Get managers approvedApply for approval for each manager and each car yard.
  6. Pay the granting feePay the granting fee once approved, then the annual fee and statement by 31 October each year.

Questions dealers ask

How much is a dealer licence in the NT?

The NT Government fees page lists a $580 application fee, a $333 granting fee for one car yard and a $333 annual fee, with $166 for each extra yard. Check the current fee with Licensing NT.

Can I buy a dealership and keep its NT licence?

No. Licences aren’t transferable, so the new owner must apply for their own.

Do managers need approval in the NT?

Yes. You must get approval for each manager you recruit and for each car yard you operate.

When is the NT annual statement due?

You must pay the annual fee and submit an annual statement by 31 October each year.

What is the penalty for unlicensed dealing in the NT?

Fines of up to 500 penalty units, and vehicles and sale proceeds may be forfeited.

Sources

Rules and fees change. Check the official source before you rely on anything here; this guide is general information, not legal advice.

  1. NT Government: Motor vehicle dealer licences
  2. NT Government: Apply as an individual or partnership
  3. NT Government: Fees, motor vehicle dealer licences
  4. NT Government: Apply for approval as a manager
  5. NT Government: Keep your licence current
  6. NT Government: Buying a used vehicle
  7. NT Government: Application for a motor vehicle dealer licence (individual or partnership)

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