State of Colorado Sales
License
1
Q: How many motor vehicles can an individual sell in a 12-month period without
being considered a dealer?
A: Up to 2 vehicles titled in their name. Selling 3 or more requires a dealer license.
2.
Q: The Colorado Motor Vehicle Dealer Board operates under what department?
A: The Department of Revenue – Auto Industry Division (AID).
3.
Q: What is the main purpose of the Colorado Motor Vehicle Dealer Board?
A: To regulate and license motor vehicle dealers, wholesalers, and salespersons to
protect consumers.
4.
Q: A “used motor vehicle” is defined as:
A: Any motor vehicle that has been previously sold, titled, or registered to any
person other than the manufacturer or dealer.
5.
,Q: A licensed salesperson must be employed by:
A: A licensed motor vehicle dealer or wholesaler.
6.
Q: What is required to obtain a Colorado salesperson license?
A:
Completed application
Fingerprint background check
Employment verification by a licensed dealer
Payment of required fees
7.
Q: How long is a Colorado motor vehicle salesperson license valid?
A: 1 year from the date of issuance.
8.
Q: How many days does a salesperson have to notify the Auto Industry Division after
changing employers?
A: 10 days.
9.
Q: True or False: A salesperson can work for two licensed dealers at the same time.
A: False. A salesperson may work for only one licensed dealer at a time.
, 10.
Q: “Curbstoning” refers to what?
A: Selling vehicles without a dealer license, often from unauthorized locations such
as parking lots or streets.
11.
Q: What is the minimum number of vehicles a person can sell before needing a
dealer’s license?
A: Three or more vehicles per year.
12.
Q: What is “bait and switch” advertising?
A: Advertising a vehicle at a low price to attract buyers, then pressuring them to buy
a more expensive vehicle.
13.
Q: When advertising a specific number of vehicles, the dealer must have how many
of that vehicle in stock?
A: The same number as advertised.
14.
Q: What must a dealer do when a salesperson’s employment ends?
A: Notify the Auto Industry Division immediately and return the salesperson’s
license.
15.
License
1
Q: How many motor vehicles can an individual sell in a 12-month period without
being considered a dealer?
A: Up to 2 vehicles titled in their name. Selling 3 or more requires a dealer license.
2.
Q: The Colorado Motor Vehicle Dealer Board operates under what department?
A: The Department of Revenue – Auto Industry Division (AID).
3.
Q: What is the main purpose of the Colorado Motor Vehicle Dealer Board?
A: To regulate and license motor vehicle dealers, wholesalers, and salespersons to
protect consumers.
4.
Q: A “used motor vehicle” is defined as:
A: Any motor vehicle that has been previously sold, titled, or registered to any
person other than the manufacturer or dealer.
5.
,Q: A licensed salesperson must be employed by:
A: A licensed motor vehicle dealer or wholesaler.
6.
Q: What is required to obtain a Colorado salesperson license?
A:
Completed application
Fingerprint background check
Employment verification by a licensed dealer
Payment of required fees
7.
Q: How long is a Colorado motor vehicle salesperson license valid?
A: 1 year from the date of issuance.
8.
Q: How many days does a salesperson have to notify the Auto Industry Division after
changing employers?
A: 10 days.
9.
Q: True or False: A salesperson can work for two licensed dealers at the same time.
A: False. A salesperson may work for only one licensed dealer at a time.
, 10.
Q: “Curbstoning” refers to what?
A: Selling vehicles without a dealer license, often from unauthorized locations such
as parking lots or streets.
11.
Q: What is the minimum number of vehicles a person can sell before needing a
dealer’s license?
A: Three or more vehicles per year.
12.
Q: What is “bait and switch” advertising?
A: Advertising a vehicle at a low price to attract buyers, then pressuring them to buy
a more expensive vehicle.
13.
Q: When advertising a specific number of vehicles, the dealer must have how many
of that vehicle in stock?
A: The same number as advertised.
14.
Q: What must a dealer do when a salesperson’s employment ends?
A: Notify the Auto Industry Division immediately and return the salesperson’s
license.
15.
