Pub 5 2023 Issue 2

The buyer’s side can be a little trickier and requires advance planning and preparation in order to make sure that both the DMV and BAR will issue a dealer license and ARD registration in a timely fashion in order to meet the parties’ expectations for the closing date. Once the local DMV inspector reviews and approves the application package, he/she sends it up to the DMV’s Sacramento office for further review and approval. Once Sacramento approves the application, it will enter the new dealer’s info into its computer system. After the applicant’s information has been entered into the DMV’s system, the local DMV inspector will then send the applicant an online link to enter the DMV’s portal to schedule the physical inspection at the dealership. It is strongly recommended that the buyer schedule the physical inspection at least a few days prior to closing to allow for any delays on behalf of the DMV and to correct any deficiencies pointed out by the DMV inspector. Lastly, when scheduling your buy-sell closing date, please keep in mind that most of the local DMV Occupational Licensing Offices are closed on Wednesdays. With respect to the BAR ARD application, the buyer will need to complete the appropriate form and submit it to the BAR with a $200 check for the application fee. Please also note that the BAR has two different application forms — one for corporations and one for LLCs. Unlike the DMV, the BAR application and check must be sent straight to the BAR’s Office in Sacramento. Therefore, it is important to make sure the correct form is being used in order to avoid delays. In addition to the information required for the DMV dealer license, the BAR also requests the applicant’s California EPA license number, which can be obtained in advance from the Department of Toxic Substances Control. The form can be found by scanning the QR code. https://dtsc.ca.gov/ apply-for-hazardous-waste-epa-id-number/ Submit the form via email. The BAR can take upwards of two-four weeks or more to issue the ARD registration. Therefore, it is recommended that this process start at least a month prior to the parties’ scheduled closing date. A 21 California New Car Dealer Quarterly

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