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Pre-Auction Requirements

Before you apply to ANY auction, you must have these in place:

  • Valid California Dealer License — Active DMV license (not expired, not pending)
  • Current $50,000 Surety Bond — Active bond on file with DMV
  • Garage Liability Insurance — $1M/$2M minimum coverage
  • Seller's Permit (CDTFA) — Required by most California auctions
  • Pre-Licensing Certificate — On file with DMV (required for license; most auctions verify)
  • Verified Business Address — Current address on file with DMV
  • EIN (Tax ID) — For business registration and payment processing

Don't Have Your License Yet?

If you're new to the industry, follow this sequence:

  1. Complete pre-licensing course (California Dealer Academy or approved provider)
  2. Apply for dealer license with DMV (includes pre-licensing certificate)
  3. Wait for license approval (2–4 weeks typical)
  4. Set up bond and insurance
  5. Register with auctions (only after license is active)

Platform-by-Platform Registration Guide

Manheim California (Physical Lanes)

Timeline: 3–7 business days | Fee: $0 (free registration)

  1. Visit www.manheim.com/california → "Dealer Registration" tab
  2. Create online account (username, password, email)
  3. Upload documents:
    • DMV Dealer License (front/back)
    • Surety Bond certificate
    • Insurance proof (garage liability)
    • Seller's Permit
  4. Verify business address and contact info
  5. Set up payment method (wire transfer or ACH)
  6. Receive approval email (typically 2–3 business days)
  7. Attend orientation (optional but recommended for first-time buyers)

ADESA U.S. (Carvana-Owned)

Timeline: 2–5 business days | Fee: $0 (free registration)

  1. Visit www.adesa.com → "Dealer Login" or "Register"
  2. Select your state (California) and nearest yard (San Diego, LA, Sacramento, etc.)
  3. Complete application form with business info
  4. Upload documents (same as Manheim; plus EIN documentation)
  5. ADESA may verify with DMV directly (they have API access)
  6. Receive account activation within 3–5 business days
  7. Set up ACH payment account

Copart California (Salvage Auctions)

Timeline: 1–3 business days | Fee: $0 (free registration)

  1. Visit www.copart.com → "Buyers" → "Register"
  2. Choose "Dealer" registration type
  3. Enter California dealer license number
  4. Provide business name, address, phone
  5. Verify email (instant activation)
  6. Copart automatically verifies with DMV; if active, account granted
  7. Set up payment method (wire or ACH)
  8. Note: Copart has two tiers: Public and Dealer. Dealer tier gives early access; apply for it once account is active.

IAA California (Insurance Auto Auctions)

Timeline: 2–4 business days | Fee: $0 (free registration)

  1. Visit www.iaai.com → "Buyer Registration"
  2. Click "California" and select nearest location
  3. Choose "Dealer" buyer type
  4. Create username and password
  5. Upload documents (license, bond, insurance, seller's permit)
  6. IAA verifies with DMV; typically 24–48 hours
  7. Receive approval and account activation email
  8. Some locations offer Power of Attorney requirement for salvage vehicles (IAA will provide form)

ACV Auctions (Digital D2D Platform)

Timeline: 3–7 business days | Fee: $500–$1,000 account deposit

  1. Visit www.acvauctions.com → "Become a Buyer"
  2. Enter company name, license number, location
  3. Upload documents (DMV license, bond, insurance, seller's permit)
  4. ACV may contact you for verification
  5. Set up ACH payment account (ACV typically ACH-only, no wire transfers)
  6. Pay deposit ($500–$1,000; credited toward first purchases)
  7. Account activation email (3–7 business days)
  8. Once active, you can bid on 20-minute live auctions

OPENLANE (Dealer-to-Dealer Marketplace)

Timeline: 2–5 business days | Fee: $0 (free registration)

  1. Visit www.openlane.com → "Register as a Buyer"
  2. Select California and enter dealer license number
  3. Provide business address and contact info
  4. Upload documents (license, bond, insurance)
  5. OPENLANE verifies with DMV; typically 24–48 hours
  6. Account activation email sent
  7. Set up ACH payment method
  8. Note: OPENLANE is integrated with ADESA network; some OPENLANE inventory comes from ADESA consigners

CarMax Dealer Auctions

Timeline: 5–10 business days | Fee: $0 (free registration)

  1. Call CarMax Dealer Auctions at 1-888-CAR-CARMAX or visit www.carsfordeals.com
  2. Speak with dealer account manager
  3. Submit dealer license, bond, insurance, seller's permit (via email or phone)
  4. CarMax verifies with DMV
  5. Receive account activation email (5–10 business days)
  6. Set up payment and bidding (wire transfer or check)
  7. Note: CarMax Dealer Auctions is more selective; primarily serves high-volume franchises

NPA (Powersport Auctions)

Timeline: 1–3 business days | Fee: $0 (free registration)

  1. Visit www.npaauctions.com → "Register"
  2. Choose "Dealer" registration type
  3. Enter California license number
  4. Upload documents (license, bond, insurance)
  5. NPA verifies with DMV; instant to 24 hours
  6. Account activation; ready to bid

Bring a Trailer (BaT) — Consignment/Buyer

Timeline: 2–5 business days | Fee: $0 (registration); Seller commission 5%

  1. Visit www.bringatrailer.com
  2. Create account as "Dealer Seller"
  3. Submit dealer license, insurance, and business info
  4. BaT approval team reviews application
  5. Approved dealers receive email with consignment guidelines
  6. Submit vehicles for curation (BaT selectively approves listings)
  7. Note: BaT is premium; curates every listing; accepts ~20% of submissions

Cars & Bids

Timeline: 1–3 business days | Fee: $0 (registration); Seller commission 4–8%

  1. Visit www.carsandbids.com → "Sell" or "Consign"
  2. Create dealer account
  3. Submit license, insurance, tax ID
  4. Approval typically within 24–48 hours
  5. Submit vehicle listings for auction
  6. Note: Cars & Bids is faster than BaT; lists vehicles within 2–3 days typically

Documentation Checklist

Have these ready before applying to any auction:

Pro Tip: Create a PDF folder with all these documents. Most platforms accept digital uploads; having everything ready speeds approval.

Common Hold-Ups & How to Avoid Them

Hold-Up 1: Expired License

Problem: Your dealer license has expired; auction rejects registration

Solution: Renew license BEFORE applying to auctions. Renewal should happen 30–60 days before expiration.

Hold-Up 2: Bond or Insurance Lapsed

Problem: Your bond or insurance expired; auction verifies with DMV and finds lapse

Solution: Renew immediately. Most auctions check daily; gaps are caught within hours.

Hold-Up 3: DMV Verification Delays

Problem: Auction sent verification request to DMV; DMV is slow to respond (1–2 weeks)

Solution: Most auctions have API access to DMV now; verification is instant. If delayed, call auction directly and ask them to check again.

Hold-Up 4: Missing Seller's Permit

Problem: You applied before getting seller's permit; auction requires it

Solution: Apply for seller's permit from CDTFA (online, 15 minutes). Upload to auction once received.

Hold-Up 5: Account Deposit Required

Problem: ACV or similar platform requires $500–$1,000 deposit; you weren't expecting it

Solution: Check with each platform before applying. Deposits are typically credited toward first purchases.

Next Steps After Approval

Once Your Account is Active:

  1. Set up payment method — Wire transfer, ACH, or credit card (depending on platform)
  2. Attend orientation or tutorial — Most auctions offer optional training
  3. Familiarize with catalog search — Browse lots before bidding
  4. Study condition reports — Learn platform-specific CR format
  5. Place test bid — Optional; bid on lower-priced vehicle to test process
  6. Calculate all-in cost formula — Know your max bid BEFORE going live
  7. Arrange transport — Line up flatbed carrier or plan self-drive

First Purchase Tips

Get Licensed & Ready for Auctions

California Dealer Academy's pre-licensing course covers auction requirements, compliance, and real-world strategies to start sourcing profitably from day one.

Enroll in Pre-Licensing Course Get dealership setup help

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