How to make money selling cars with a Dealers License in Texas in 2023

Would you like to get into Texas dealer auctions in 2023, I am going to show you how easy it is to obtain your own Texas dealers license and gain entry, not only into the Texas dealer auctions, but you will be able to take your Texas dealers license and enter every dealer auction in the United States and Canada with your own Texas dealers license. We are going to talk about Texas dealer licensing right now.

Before we get started, I want you to be aware that I have posted a link to our Texas Dealer license startup guide in the description below, you can download this guide for free, you don’t even have to enter your email, you can just click on link in the description below to download your free Texas Dealer License Startup Guide

Or you can go to and click on the Get Licensed Link at the top of any page, you an view the startup video here:

You can scroll down and download your Texas Dealer License Startup Guide for free, I hope you find that free guide very helpful

First let’s go over some Texas dealership trends for 2023.

We have obviously had a couple of very abnormal years in the motor vehicle industry in Texas in the last couple of years. First of all, things were going very good for Texas dealers at the beginning of 2020 by some indications of sales volume in the first quarter of 2020 it appeared that we could have another record breaking year in the Lone Star State for the sale of motor vehicles. And even during the first quarter we were all hearing about a virus coming out of China, but it did not really start affecting the car dealership industry until about the middle of March of 2020.

And then did things REALLY change. First of all, due to covid restrictions many dealership lots had to greatly limit the number of persons visiting the dealership and many, many states decided that dealerships must be shut down completely.

Many state and city governments determined that dealerships were not vital businesses and many governments across the country required dealerships to close completely, some dealers were allowed to remain open if they had a service facility but many of us dealers are small, and do NOT have service facilities or repair shops.

In fact, I would say a very large percentage of the dealers that I have trained throughout the United States do not even have a garage at their dealership. There is a hand full of states that require a dealer to have a repair garage, but that is not the norm. So, any dealer without a garage or repair facility that was located in a state that required dealers to have a repair facility to remain open, in fact closed. In fact, I actually saw some dealers located in a state that required them to close during the pandemic actually left those states and opened there dealerships in other states.

Think about the hardship on these dealers, they had to close the dealership in one state and move to another just to keep food on the table.

So then for the next few months Texas Dealers wer either were required to close dealerships completely or drastically reduce the number of persons that were allowed in our dealerships which really reduced or completely eliminated the money that was coming into our dealer's car lot.

At that time dealers in Texas had plenty of inventory and business was going well then the pandemic hit, changed everything including our vehicle supply chain.

During the pandemic, millions of persons stayed at home and dramatically increased there use of electronic devices, especially laptops used by kids staying home from school and parents that were working at home, which led to an unbelievably demand for computer chips.
The shortage of chips, used in everything in a vehicle from brake sensors to power steering to entertainment systems, has led motor vehicle manufacturers around the world to reduce or stop production, which increase the price of vehicles and let to a shortage of vehicles as well.
And this is part of the problem that led to the problem we have experienced in the last year, the motor vehicle inventory shortage, which has had a very negative affect on not only brand-new franchise dealers but used motor vehicle dealers as well.

In 2021, Ford manufactured about 700,000 less vehicles than normal as a direct result of the ongoing semiconductor chip shortage. This semiconductor shortage has also forced Ford like many other motor vehicle manufacturers to change the way they do business, prioritizing high-margin and strategically important vehicles over others, deleting features where possible, and shifting toward more of a build-to-order model rather than filling dealer lots with inventory. This could really alter the way that manufacturers deliver vehicles to franchisees leading to a build to order way of doing business. So instead of the band new car model that manufacturers have used for over 100 years, where the manufacturer sends thousands of vehicles to franchises lots and waits for customers to come onto the lot and purchase a vehicle, this new model could become the norm where a person places an order for a brand new vehicle and the vehicle is made as per there instructions with the exact options, then delivered to the local dealership directly in about 2 -3 months. Ford had great success with this ordering model with the new Ford bronco. If you wanted a new ford bronco, you had to order it, wait for it to be manufactured, then delivered to your local dealership. This model was very profitable for Ford because they did not have to have millions of dollars of ford bronco inventory either stored locally near where the vehicle was made or stored locally on the dealership lot.

By the way on a side note, there are some states that are trying to pass bills that would allow a manufacturer like Ford, Chevy, Toyota etcetera to sell a vehicle, have the vehicle manufactured, then deliver the vehicle directly to the customer, therefore bypassing the middleman, or the FRANCHISE dealer completely. Right now, this is not allowed, most motor vehicle manufacturers are required by law to sell a vehicle to a franchisee whom must then sell the vehicle to the customer. Several electric motor vehicle manufactures have lobbied our state legislatures to allow them to sell and deliver a vehicle directly to a person whom which allows them to buy pass dealers completely. We are keeping a watch on these types of bills which could really affect our industry in a dramatic fashion.

Another advantage to this model for new vehicle dealers is in the numbers themselves. 94 percent of vehicles that were sold in 2023 sold at or above MSRP where only 12 percent of vehicles sold in 2019 sold at msrp, think about this from the manufacturer’s perspective of profits. This could be the new norm for brand new motor vehicle manufactures to sell vehicles on a pre-order basis only.

So, some positive news for us is that slowly but surely the semiconductor chips are starting to become available again, not very quickly but slowly and surely the are beginning to return.

So, what does this mean for used motor vehicle dealers in Texas? Well it is great news because we are getting ready to see a HUGE influx of vehicles that are going to flood every dealer auction in Texas and throughout the United States.

Here are a couple of scenarios that could lead to more vehicles going through the dealer auction lanes in Texas. First of all, RENTAL RETURNS
You are probably aware of this, large rental car companies like enterprise. Thrifty, and hertz will buy several thousands of brand new vehicles to rent to customers and they normally rent a brand new vehicle for about 2 years, when they have rented a vehicle for 2 years and made their money with it, they will then sell all the vehicles they have been renting so they can buy more brand new vehicles so the vehicles they are renting are going to be fairly new with low miles which is what rental car customers have come to expect, I mean if you rent a car from enterprise you are not going to expect to rent a car that is 5 or 6 years old with 80 or 100 thousand miles you expect a late model vehicle with a low number of miles for the money that you are spending on the rental. So, in the past the rental car companies would sell vehicles that they have been renting at dealer auctions. Most rental car companies sell there used fleet vehicles at dealer auctions when the vehicle is around 2 years old, but that model has changed in the last year or so because the rental car companies realize they are unable to replenish their rental car fleets because there are no new vehicles to purchase because of the chip shortage.

So, in order to remain in business, they have been holding onto their rental car fleets much longer than normal, which led to a massive reduction in the number of rental returns that are coming through the dealer auction lanes. During normal years in the past, you could go to your local dealer auction and one day, you might see the enterprise lane with all the enterprise rental return vehicles coming through one lane, in the lane next to enterprise you might see the thrifty rental car lane with all the thrifty rental returns and then in the dealer auction lane next to that you might see the hertz rental returns coming through. Well now that the rental car companies are starting to be able to replenish there inventory, we are not seeing the rental returns coming back through the dealer auctions lanes, this is really great news, so we as used dealers are becoming able to replenish our inventory because of the rental returns that are coming through the lanes again.

Another great thing that I see on the horizon is the return of the off lease vehicles through the Texas dealer auction lanes.

Many consumers in the State of Texas, the US, and abroad prefer to lease vehicles instead of purchase vehicles outright and there can actually be some tax advantage to leasing especially for some business owners. In fact, in 2021 believe it or not nearly one out of four vehicles were actually leased instead of sold out right. So, we do have customers that want to lease a brand new vehicle every 2 or 3 years. No, the problem that these customers have experienced recently is because of the chip shortage as well. Think about this, when a person that leased a vehicle is nearing the end of their lease term, they will normally want to lease a new vehicle to replace the vehicle they are returning. Well in the last year there have not been many new vehicles available to lease so instead of returning the leased vehicles, many lessors have renegotiated there lease to keep the vehicle another year or two which has dramatically reduced the number of lease returns coming through the auction lanes.

During NORMAL times when a vehicle comes off lease it comes through the dealer auction lanes. I remember the day when I would just stand in the lease return lanes at a dealer auction and buy as many leases return vehicles that I wanted. One day at the auction you might see Ford Credit, where all the 2 and 3 year-old fords that came off lease were coming through the lanes, then the next week you might have witnessed GMAC day where all the 2 and 3 year old chevy and gmc vehicles were coming through the lanes. Well with so many lessors hanging onto their vehicles at the end of the lease we have seen a shortage of lease returns coming through the lanes as well, well good news. We know that some manufacturers are at least beginning to get caught up we are now seeing some lease returns coming through the dealer auction lanes in fact it appears that we are seeing a dramatic increase in lease returns coming through the lanes, this is great news and I do feel that are going to see explosive growth in our industry in 2023.

The average American car buyer is ready to buy, we have a pent up buying demand that is going to explode in 2023 that I believe will lead to a record year for motor vehicle sales.

So how do you get into the dealer auctions, with a Texas dealers license that is how.

We have helping entrepreneurs just like you obtain a profitable Texas dealers license, and I am an approved training provider for the State of Texas, Texas dealer licenses are regulated by the Texas Department of Motor Vehicles that is the Texas DMV and the training course we provide is approved by the Texas DMV and will meet your mandatory dealer pre-license training requirements.
As stated earlier you can download your free Texas Dealer License startup manual in the description below, remember you do not even need to enter any contact information or email you can just click the link and download it for FREE!

You can view more information about the Texas Dealer License Training course by watching this dealer video:

It is much easier than you think to obtain a Texas dealers license and you will learn all the startup requirements when you take your online dealer training course. The online dealer training course that you must take is only $149 and that includes your state mandated 6-hour training course. You can easily watch the training videos at your convenience. You can watch all 6 hours today, or if you want to watch a couple of hours today, maybe an hour tomorrow, then finish up next week or next month, or even next year. Our state of the are learning management system will track your progress and when you have watched all 6 hours of your required videos, your official Dealer Educational Certificate of Completion will just download automatically, and I have more great news.

View this video to find out lending options for starting a Texas Dealership:

The Texas DMV Dealer Certificate of Completion that you download when you have watched all the videos NEVER expires. You can hang on to your certificate and apply for your Texas dealer license today, next week, next month, next year, or five years from now. Not only is the State of Texas ranked as the best business environment in the country the State of Texas passed a great law that says a person must only take the dealer pre-license training ONE TIME. In most states a dealer license educational certificate of completion expires in 6 months or a year after the course, but in Texas you can take your required dealer pre-license training and your official certificate of completion will NEVER expire, just be sure to keep it in a safe place so you can use it at any time in the future when you are ready to apply for your Texas dealers license.

You can view the new dealer laws in Texas by watching this video:

You know I am obviously partial to this great business because I have been involved in the motor vehicle dealer industry for many, many years, but I truly believe that having a motor vehicle dealer license is one of the greatest businesses on earth. I have helped entrepreneurs like you that have absolutely no idea of how to get a dealer’s license and I have walked then step by step through the entire startup process and helped them launch a profitable business with their own Texas dealers license.

Before you enroll, I encourage you to read the reviews on our website, just go to and click on the link at the top of the page that says Course Review, these are all folks just like you that have taken our training course and agreed to have there testimonials ad photographs posted on the website.

I procrastinated years and years before I finally made the moves to get my own dealers license and when I did make the move to get my own dealers license, I wished I had gotten the license much earlier.

The dealer training course that you take is only priced at $149, you will learn the step by step startup process, you will learn how to run your new business with 100 percent compliance that way you will be able to run your Texas dealership for many, many years and the profits in this industry are as high as you want to take your new business. You can sell a few vehicles a year with your Texas dealers license, or you can use your Texas dealers license to sell a few thousand vehicles a year.

What are you waiting for? When you are ready to change your life with a Texas dealers license just visit and click on the big blue Enroll Now button.

We are approved by the Texas Department of Motor vehicles to provide you mandatory 6 hour dealer pre-license course, so when you are ready to make the move, click on blue Enroll Now button.

We are here to help you start your Texas motor vehicle dealership!

Texas Dealer License

Delus Johnson-Lead Instructor
Automobile Dealer Training Association