Licence and permit applications - Second hand dealer (including cars) licence

Apply for this if your business buys or sells second hand goods and articles.

• Duration: 3 years
• Fees: Application or renewal: £420
• Note: Fees are non-refundable and will be taken as part of the application process.

 Before applying

• Ensure any relevant Planning or Building Control Consent is in place.
• Have a Plan of the Premises to upload as part of your application.
• Read the guidance below.

Apply for a second hand dealer licence

If you cannot apply online, contact us for assistance.

What happens next?

Once we receive your application, we will:

• Acknowledge receipt
• Complete the relevant consultations, including background checks by Police Scotland
• Issue the Licence under delegated powers or invite the applicant to the General Purposes Committee (which meets once per month) for a decision.

Timescales

We have 3 months to consider your application and 6 months to make a decision. Most applications will be dealt with in less time.

Guidance

Introduction

This guidance reflects the Scottish Government's interpretation of the legislation. However, the views expressed do not bind licensing authorities or the courts. It is ultimately a matter for the courts to take a final view on the interpretation of legislation.

Who needs a licence?

1. A Second-Hand Dealer's Licence is required by Second-Hand Dealers in stamps, books, coins, jewellery, antiques, furniture, cars, clothes, memorabilia, leisure equipment, and or tools etc.

2. A Second-Hand Dealer's Licence shall not be required for carrying on:-

(a) the business of a Pawnbroker (that is to say, a person who, under a regulated agreement under the Consumer Credit Act 1974, takes an article in pawn);

(b) a business as a wholesale dealer purchasing exclusively from Second-Hand Dealers licensed under this Act;

(c) a business which is charitable for the purposes of the Income Tax Acts;

(d) a business as a dealer in second-hand goods or articles incidental to another business not being that of a dealer in such goods or articles; and

(e) a business either of financing the acquisition of goods by means of hire purchase agreements, conditional sale agreements or credit sale agreements or of financing the use of goods by means of hiring agreements.

Dealing with an application

1. Individual applicants will be asked for full details, including name, address, date and place or birth, contact information, and National Insurance Number. 

2. Where applying as a business (non-natural person), the details of those who will carry out the day-to-day management, as well as those of the Directors, Partners or other persons responsible for the management of the business will be required.

3. Subject to the provisions of the Rehabilitation of Offenders Act 1974, all unspent convictions, fixed penalties and alternatives to prosecution must be declared including all breaches of road traffic law, and you can find further information on that by using this link Scottish Government Guidance on Disclosure of Convictions.  

Any person with previous convictions who has doubts as to which offences are spent may wish to seek legal advice before completing an application.

Failure to make a full declaration may lead to refusal of the application, prosecution and, if any omission is discovered after the Licence has been granted, suspension of that Licence.

4. All applications must be accompanied by a Plan of the Premises, which should be submitted during the application process.

5. The applicant shall, for a period of 21 days beginning with the date on which the application was submitted, display an Intimation of Application confirming that application has been made and after the expiry of the 21 day period, duly certify that this Notice has been posted.

6. The Council will consult the Chief Constable, Chief Fire Officer, the Council's Trading Standards Officer and Planning Manager OR The Council will consult the Chief Constable, Chief Fire Officer, local Councillors, the Council's Environmental Health and Trading Standards Manager and Planning Manager; and will cause public notice to be given of the receipt of the application.

7. It should be understood that any Licence does not carry with it the necessary consent or approval to any proposed development which may be required under Planning or Building Control legislation or under any other Statutes and Enactments.

8. If the property to which the application relates is owned by the Council, landlords' consent for the proposed use should be obtained.

9. It is the responsibility of the person who has responsibility for the premises to ensure that a fire risk assessment is carried out by a competent person and to record outcomes.

Record keeping

Second Hand Car Dealers are required to maintain records of purchases and sales in the form of a register detailing date of purchase; purchase price; colour; make and model of vehicle; date of first registration; engine and chassis numbers; registration number; name and address of seller; name and address of any previous owner shown on the registration document; odometer reading both on purchase and on sale; date of sale; sale price; date of most recent MOT Certificate; and name and address of purchaser; and trade sales reports.

Support

For further assistance, contact the Licensing Team:

• licensing@midlothian.gov.uk
• 0131 271 3529