Registering as a scrap metal dealer is a prerequisite to legally purchasing regulated metals in most states. Some states have a simple online form and a $50 fee; others require background checks, bond filings, and inspections.
Step 1 — Identify Your State Agency
Scrap metal regulation is handled by different agencies by state:
| Agency Type | Example States |
|---|---|
| Department of Motor Vehicles | Texas (TxDMV), Virginia (DMV) |
| Dept. of Agriculture & Consumer Services | Florida (FDACS), North Carolina |
| Department of Revenue | Georgia, Tennessee |
| State Police | Michigan, Pennsylvania |
| County Auditor / Clerk | Ohio, Colorado (county-level) |
Search "[Your State] scrap metal dealer registration" or use the state lookup tool to find your agency directly.
Step 2 — Gather Required Information
- Business legal name and any DBAs
- Physical address of each purchasing location
- Federal EIN or SSN for sole proprietors
- Names and SSNs of all owners with 10%+ interest
- Criminal history disclosures
- Proof of business entity registration (LLC certificate, etc.)
- Surety bond documentation if your state requires it
Step 3 — Complete and Submit the Application
Most states now offer online registration. Fees range from $25 to $500+ per location. Each physical purchasing location typically requires a separate application and fee.
Step 4 — Background Check
Many states require background checks for all owners and operators. Common disqualifying offenses: theft, receiving stolen property, fraud, and prior scrap metal law violations.
Step 5 — Post Your License and Begin Operations
Once approved, post your license visibly at each registered location during all business hours. Most states require conspicuous posting at the purchase counter.
FAQ
Registration requirements vary by state and change frequently. Verify with your state licensing agency before operating.