Must a dealer take the title in their own name before selling a car to a retail customer?

Prepare for the Colorado Sales License Test. Study with flashcards and multiple choice questions, featuring hints and explanations. Ace your exam!

In Colorado, a dealer does not need to take the title in their own name before selling a car to a retail customer. This means that a dealer can buy a vehicle and sell it directly to a customer without first registering the title in their own name. This practice streamlines the sales process and allows dealers to maintain an efficient inventory turnover without the additional step of transferring the title to themselves initially.

It's important for dealers to ensure that they have the legal right to sell the car and that the vehicle has a clean title at the time of sale, but there is no statutory requirement mandating that the dealer must hold the title in their name before the transaction with the retail customer. This practice helps maintain flexibility in the sales operations of dealerships and can expedite the sale process for both the dealer and the customer.

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