Yes.
In the words of Warren Buffet, "It's good to learn from your mistakes. It's better to learn from other people's mistakes." It's also wise to learn on someone else's dime. Some people have pondered the idea of flipping cars for extra income while maintaining a full-time job. Others want to make a career out of selling vehicles full-time. You should consider working for a dealership before applying for a dealer license to ensure your expectations match reality. If they do not, you can walk away unscathed. Test drive the profession before you commit.
A lot.
A dealer who sells vehicles on a retail basis needs a principal place of business, which consists of an office and a vehicle display area in a commercial location. A dealer also needs a surety bond and inventory to sell. On average, a dealer needs at least $100,000 per year to pay for the surety bond, rent, utilities, insurance, and inventory. Most dealers cannot afford to pay for these costs out of pocket and are expected to apply for a business loan or line of credit to finance these expenses.
What type of dealer license should I get?
It depends.
You may sell vehicles on a retail and wholesale basis with a dealer license. You may sell vehicles on a wholesale basis with a wholesale-only dealer license. The choice boils down to money, education, and risk. Retail transactions yield higher profits but are risky due to consumer protection laws. The number of lawsuits filed against California dealers has increased in the last few years, and most insurance policies don't cover consumer claims. One lawsuit can put a small used vehicle dealer out of business. On the other hand, wholesale transactions are less risky because they are not subject to consumer protection laws. You should do a risk assessment to determine what you are comfortable with before applying for a particular license. Education beyond the preliminary education program is necessary if you want to sell vehicles on a retail basis to consumers.
Can I run a dealership part time?
No.
Selling vehicles for a living is a full-time job. Most used vehicle dealers cannot afford to hire employees such as a general manager, business manager, assistant general manager, finance and insurance manager, advertising manager, or sales manager. Normally, one person wears all the hats, at least for the first two or three years.