Wis. Admin. Code Trans § Trans 140.09

Current through December 30, 2024

Section Trans 140.09 - General requirements

(1) OPERATING STATEMENT. If required by the department, the applicant shall submit an income statement or other financial statement. The department may require a dealer to submit updated financial information during the license year if questions arise regarding the dealer's financial condition.

(2) ACCEPTABLE NET WORTH.

(a) The following guidelines are used in determining the acceptable level of net worth of an applicant:

Dealer Type

New Auto or Truck	$50,000 bond or letter of credit required
Used Auto or Truck	$50,000 bond or letter of credit required
Motorcycle and not other motor vehicles	$5,000 bond or letter of credit required
Motorcycle and other motor vehicles	$50,000 bond or letter of credit required
Recreational Vehicle	Minimum required ratio of total assets to total liabilities of 1.4
Moped	Minimum required ratio of total assets to total liabilities of 1.4
Motor Vehicle Wholesaler	Minimum required ratio of total assets to total liabilities of 1.4
Motor Vehicle Salvage	Minimum net worth of $5,000

(b) The department may deny the license of an applicant who fails to meet the net worth criteria set out in par. (a).

Wis. Admin. Code Department of Transportation Trans 140.09

Cr. Register, March, 1985, No. 351, eff. 4-1-85; r. and recr. (2) (a), Register, February, 1996, No. 482, eff. 3-1-96; 2013 Wis. Act 363: am. (2) (a) Register May 2014 No. 701, eff. 6-1-14.