Colorado business disposal bonds.
$500 flat.
A business disposal dealer license lets a Colorado business sell off the vehicles in its own fleet without becoming a full retail dealer — and it requires a $50,000 bond with the Auto Industry Division. Ours is $500 flat — set by our carrier for this bond, identical for every dealer. A quick soft credit check may apply — never a hard inquiry; the bond is issued when you pay.
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How much does a Colorado business disposal bond cost?
$500 at the $50,000 amount, the same for every applicant.
Three steps to licensed.
Your business disposal license is waiting on this bond. Here's the entire process — no broker phone tag:
Apply once, online
Business details, owner information, effective date. That is the application — a quick soft credit check may run as part of it, never a hard inquiry.
Approved
Most are approved as soon as you apply. Any credit check is a soft pull that never affects your score. If it needs a second look, one to two business days at most.
E-sign & file with the Auto Industry Division
Pay online and receive the executed bond (form DR 2830) ready to file with your business disposal dealer license application. Wet-ink originals mailed whenever the state insists.
What it is and who needs it.
What the bond actually guarantees
A business disposal dealer is a Colorado license category for a business that needs to sell vehicles out of its own fleet — rental, utility, or company cars — without operating as a retail dealership. The Auto Industry Division conditions the license on a $50,000 surety bond, the same amount as a full dealer.
The bond is a title-and-compliance guarantee: it stands behind clear title on the vehicles you dispose of and your compliance with Colorado's motor vehicle sales laws. It's a three-party arrangement among you (the principal), the surety, and the State of Colorado together with harmed buyers.
It is not insurance for you — if the surety pays a claim, you repay the surety. Confirm with the Auto Industry Division that the business disposal category fits how you plan to sell — the division can tell you whether this license or a wholesaler license is the right one.
You need this bond if you're
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the $50,000 bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The premium covers a one-year term from the effective date you choose; a longer term is the same price per year, chosen at checkout.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
E-sign & file with the Auto Industry Division. Pay online and receive the executed bond (form DR 2830) ready to file with your business disposal dealer license application. Wet-ink originals mailed whenever the state insists.
What sets the price
The premium is fixed at $500 at the $50,000 amount for every applicant: the carrier’s rate book prices this bond by the form, not by your credit or your business profile.
One soft credit pull, never a hard inquiry, and it never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, issued instantly.
These are the actual underwriting fields. A quick soft credit check may run as part of underwriting — never a hard inquiry. Submit once and your bond is issued when you pay.
Start the application →Common questions.
Other Colorado bonds.
Been told you need a different amount?
Price and requirements checked on the carrier’s application, . Page updated .
The Auto Industry Division is waiting on one document.
$500 flat, short application, bond issued when you pay. Free until issued.