Dismantler/Recycler

Tennessee Motor Vehicle Commission

An Automotive Dismantler and Recycler includes any person, firm, association, corporation, trust resident or nonresident, who is engaged in the business and/or providing facilities for the purpose of recovering parts from automobiles and trucks, which have been wrecked or otherwise rendered inoperable who recovers the parts for resale and further reduces used automobiles and trucks to a condition capable of salvage for their scrap content by scrap processors.

Licensing Requirements

  1. Established Place of Business: Applicants must have a permanent facility primarily used for selling and servicing motor vehicles. Temporary facilities and private residences are not allowed. Modular Units must be underpinned. The facility shall also contain a minimum of three (3) parking spots dedicated to customer parking.
    1. Facility: The building must total 288 square feet and provide functioning restroom accommodations. The facility must be physically separated and apart from any other business and shall not include any private residence, tent, or temporary stand. The facility may be connected to another business facility, provided there is a permanent wall from floor to ceiling between the two businesses and the automotive dismantler and recycler has a separate, outside entrance and exit. Any doors between the businesses shall be permanently sealed.
  2. Signage and Photos: All automotive dismantlers and recyclers shall install signs at their established place of business identifying them as an automotive dismantler and recycler. Such signs shall consist of letters no less than eight (8) inches in height and shall not advertise any other business or product. The sign must be permanently installed and clearly visible from the road. Banners are temporary in nature, and do not satisfy this requirement. Photos being provided as part of this application should be in digital format and include the entire facility, sign, hours and days of operation, phone number, office, and restroom facilities. You must also provide photos from a “street view” which show the facility in its entirety, and all entrances and exits. If photos cannot be provided in printed digital format, all photos should be 8.5 X 11 or affixed to 8.5 X 11 paper, making sure the entire photo is firmly attached on all sides.
  3. Telephone: The facility shall have a primary telephone number listed in the local directory under the name of the automotive dismantler and recycler. The primary phone number of the automotive dismantler and recycler shall be posted either on the door to the automotive dismantler and recycler, in a window of the automotive dismantler and recycler or on the automotive dismantler recycler’s sign.
  4. Insurance: Evidence of minimum general liability coverage in the amount of $250,000.00 per occurrence must be provided by a certificate of insurance from the insurance provider in the name of the entity to be licensed. The name on the insurance certificate must be exactly the same as the entity being licensed. Coverage must be continued in force for the duration of the license. The address on the certificate must reflect the physical location of the business. The certificate holder is to be the Tennessee Motor Vehicle Commission using the address above. Evidence of applicable Workmen’s Compensation may also be shown on the certificate.
  5. Business Tax License: A current business tax license issued by the County Clerk must be obtained prior to completion of the application process and must reflect the exact name of the business being licensed. A copy of the license must be provided with the application which states the Dismantler and Recycler’s address and phone number. The original must be made available at any time during the inspection.
  6. Sales Tax License: A current sales tax identification number as a dismantler and recycler must be obtained in the name of the entity to be licensed and must reflect the exact name of the business being licensed. Either a copy of the Certificate of Registration for Tennessee State Sales Tax or a Letter of Exemption from the Department of Revenue must be provided with the application. The original must be made available at any time during the inspection.
  7. Environmental License: The business must comply with all Federal, State, and Local environmental laws and rules. A copy of the applicant’s current NPDES Permit (Storm Water Discharge) must be submitted with the application.
    1. Information for the NPDES Permit may be found at, and the proper forms downloaded from http://www.tn.gov/environment/permit-permits/water-permits1/npdes-permits.html.
  8. TDOT Letter: A letter from the Tennessee Department of Transportation (TDOT), Outdoor Advertising Office, stating that the location is not in conflict with statutory requirements must be submitted with this application.
  9. Conviction Record:  If any owner or member of a corporation has been convicted of a felony, the applicant must furnish a copy of the final judgment order/disposition signed by the court of issuance in the jurisdiction of the conviction. The final judgment order must detail how the felony was disposed, when disposition occurred, and contain the signature of the judge. Evidence of probation or parole release requirements from the place of incarceration must accompany the applicable order. In the event an expungement order has been granted, it may be required to be submitted if your documentation reflects the felony conviction has not yet been discharged. In the event the applicant has obtained a re-employability certificate, please attach it to the other documents related to the charge(s).
  10. Zoning Compliance: Written approval from the local zoning/land-use authority must be provided and accompany this application. In localities without zoning requirements, a written statement to this effect must be obtained from the authorized county or municipal official. Typically, these statements are prepared by the Office of the County Executive or the Office of the Municipality Mayor.
  11. Corporation/LLC/LLP/LP: A copy of the charter or articles of organization of the entity as filed with the Tennessee Secretary of State’s office must be provided, or if an out-of-state corporation or LLC, provide a copy of the Certificate of Authority to do business in Tennessee. You must list any officer or member who owns more than 5% of the entity, and designate the percentage owned by each individual as well as identify the managing partner and registered agent.

Application & Fees

Complete the “Initial Dismantler / Recycler Application” online at core.tn.gov. The fee for an initial application is $600.

After all proper documentation of the above requirements has been submitted, on-site inspection of the facility will be conducted. After inspection of the facility, a final review of the application, background, supporting documentation, and facility findings is required. Please note that the Field Enforcement Agent is only inspecting your physical location and does not have the authority to authorize the applicant to begin any activity for which a license is required. Final eligibility determination requires satisfaction of all items identified above. Until all required documents have been submitted, the license application's final eligibility cannot be determined.

In the event the facility is deemed inadequate and fails to meet the minimum requirements, the application will be denied. A $600 fee will be assessed upon any re-application and/or re-inspection.

Upon final review and approval, the license will be issued. Licenses should be received no later than fourteen (14) business days from the date of approval. Every effort is made to expedite the license issuance.