READY TO START YOUR DEALERSHIP?
Form an LLC or Corporation for Your Car Dealership
Start Your Dealership
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Starting a car dealership requires more than just passion — it requires the right legal structure. Choosing between an LLC or a Corporation is one of the most important decisions you'll make. This guide will walk you through the pros and cons of each entity type, explain why it matters for licensing and liability, and help you move forward with confidence.
What’s Covered When You Start for $39
- Your LLC or Corporation is professionally registered with your state.
- All formation documents are prepared and filed for you.
- A registered agent is included to keep your business compliant.
- You get a business address to protect your privacy.
- Optional add-ons like EIN, website, email, and more available during checkout.
We’ll handle your business setup — you focus on becoming a licensed dealer.
LLC vs Corporation Comparison
Feature | LLC | Corporation |
---|---|---|
Liability Protection | ✔️ Yes | ✔️ Yes |
Taxation | Pass-through (default) | Double (C-Corp) or pass-through (S-Corp) |
Formality Requirements | Fewer | More |
Ownership Flexibility | More flexible | Restricted (S-Corp) |
Best For | Solo or small dealership | Larger dealer groups or outside investors |
What’s Included in Your $39 Business Setup
Everything You Need to Launch Your Dealership
A Fully-Formed Business
Your LLC or Corporation is professionally filed and ready for operation — no paperwork confusion or delays.
Registered Agent Service
Keep your business compliant and protect your personal privacy with a trusted registered agent in every state.
Business Address
Use our address, not yours, so you don't have to list your home address.
Business Email
Get up to 10 business emails with your LLC. Free for 90 days, then renews at a low monthly rate. Cancel anytime with one click.
Domain Name
Get a free custom domain name for the first year when you hire us to form your company. After the first year, you can renew for a low annual price.
Custom Website
Get a ready-to-use website with a homepage, about page, and contact form. No coding needed — free for 90 days, then low monthly renewal.
Frequently asked questions:
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Do I need an LLC or Corporation to get a dealer license?
In most states, yes. The DMV typically requires applicants to operate under a formal business entity like an LLC or Corporation. This provides liability protection and ensures proper business registration. Sole proprietorships are usually not accepted.
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What’s the difference between an LLC and a Corporation?
An LLC (Limited Liability Company) offers flexibility and pass-through taxation, making it ideal for small to mid-size dealerships. A Corporation has more formalities, can issue shares, and may offer better options for raising capital or bringing on partners. Both provide liability protection, but differ in tax treatment and structure.
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Can I switch entity types later?
Yes, but it can be complex. Switching from an LLC to a Corporation (or vice versa) may involve dissolving one entity and forming a new one, depending on your state. It’s best to choose the right structure from the start, but it’s possible to change with professional guidance.
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How long does it take to form an LLC?
Most LLCs can be formed within 1 to 5 business days, depending on the state. Some states offer same-day or expedited processing. If you're using a registered agent service like our partner, they’ll handle the paperwork and get you set up quickly.
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Can I use my home address?
Yes, but it's not recommended. Your business address will appear on public records. To protect your privacy and meet DMV requirements, we suggest using a professional business address — which is included when you form through our partner.
Start your dealership the right way.
We’ll handle your business setup — you focus on becoming a licensed dealer.