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A California Auto Dismantler License allows you to buy, store, dismantle, and sell used vehicle parts or the materials from salvaged or wrecked vehicles.
While it’s technically part of the dealer license family, the auto dismantler license carries additional environmental and safety obligations due to hazardous materials, fluid drainage, and recycling requirements.
It requires compliance with multiple agencies including DMV, BAR, DTSC, and local fire and zoning authorities.
Core compliance areas: environmental controls, hazardous waste handling, drainage and spill containment, secure storage, and record-keeping.
| License Type | Can Sell to Public | Core Function | Oversight Agencies | Key Compliance Areas |
|---|---|---|---|---|
| Retail Dealer | Yes | Sell vehicles | DMV | Sales, advertising, contracts |
| Wholesale Dealer | No | B2B vehicle trade | DMV | Record-keeping |
| Auto Dismantler | Parts only | Dismantle and recycle vehicles | DMV, BAR, DTSC | Environmental, hazardous waste |
All dismantlers must complete a DMV-approved pre-licensing education course. This ensures understanding of DMV procedures, record-keeping, title handling, and dealer compliance. Include your completion certificate with your DMV application.
The location is the most critical part of a dismantler application. You must have a property zoned for dismantling, wrecking, or recycling, and it must comply with fire and environmental safety codes.
Tip: Obtain zoning approval before signing a lease or purchase. More info → Location Requirements
All dismantlers must carry a $50,000 surety bond. Insurance should include general liability, garage liability, environmental/pollution liability (recommended), workers' comp, and fire/theft coverage for stored vehicles and parts.
Dismantlers must meet environmental and safety requirements enforced by BAR, DTSC, local fire departments, and air/water boards where applicable.
Document all measures—photos, diagrams, and policies strengthen your inspection file.
Package includes DMV Occupational License application, pre-licensing certificate, entity documents, zoning approval letter, lease/property docs, proof of bond/insurance, photos (signage, office, yard, drainage), hazardous waste permits (if applicable), and owner IDs.
Label each section clearly. Include environmental certifications and city permits where required. Full walkthrough → DMV Application
Expect inspections from the DMV and local agencies. DMV checks signage, fencing, office setup, records; environmental inspections check fluid containment, battery/tire storage, spills, labeling, and hauler records.
Perform a mock inspection using our checklist before scheduling your DMV appointment. Download: Dismantler Inspection Readiness Checklist
Once approved you can purchase and dismantle vehicles, sell parts and scrap, report dismantled vehicles to DMV and NMVTIS, and partner with insurance carriers and salvage auctions.
Maintain a file for every vehicle with title/acquisition record, dates, buyer/seller info, NMVTIS reporting confirmation, and disposal/sales documentation. Use a digital database to simplify audits.
Compliance resources → /playbook/dealer-compliance/
Average timeline: 6–10 weeks once environmental and zoning paperwork is ready.
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No. A dismantler license is a separate license type issued by the DMV, although it follows similar requirements.
No. You must have a commercial location zoned for dismantling or recycling with proper drainage, storage, and safety systems.
A dismantler is a licensed, regulated business. An unlicensed “junkyard” without environmental compliance is illegal.
Yes. All dismantler applicants must complete a DMV-approved pre-licensing education course.
Use licensed haulers and maintain manifests for all fluid and material disposals.
Yes. You can sell used parts, materials, and scrap to individuals and businesses.
Typically the DMV, BAR, DTSC, and local fire or environmental agencies.
Yes. You can apply for a separate retail or wholesale license under the same entity if you expand operations.
Access all downloads: /playbook/resources/
Getting your dismantler license in California doesn’t have to be complicated — but it does have to be done right. Our DMV-approved course and setup system walk you through every requirement — from entity formation to environmental clearance.
Enroll in Pre-Licensing Download the Dismantler Checklist Set up your dealer license
Form Header: Get My Dismantler License Plan
Form Subtext: Tell us your city and target open date — we’ll map your zoning, environmental, and DMV requirements.