NAICS 441110 Quarterly Industry Report
New Car Dealers
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 441110Sector: 44Updated: Q1 2026
About This Report
This Fair Market Value industry report for NAICS 441110 draws on verified data from the U.S. Census Bureau[5], Bureau of Labor Statistics[7], and Small Business Administration[6] to profile the new car dealer sector. Our research team analyzes franchise economics, manufacturer-dealer relationships, and retail automotive trends to provide accurate market intelligence for business valuation purposes. The report covers SBA size standards, related NAICS classifications, and the evolving competitive dynamics in new vehicle retail. Fair Market Value updates this NAICS 441110 profile quarterly to reflect new Census releases and industry developments.
Industry Snapshot
Key metrics for the new car dealers industry.
Industry Definition & Overview
New Car Dealers (NAICS 441110) encompasses establishments primarily engaged in retailing new automobiles and light trucks, including sport utility vehicles, passenger vans, and cargo vans. Most dealerships combine new vehicle sales with used vehicle sales, parts and accessories retailing, and vehicle repair services under one roof. Franchise agreements with automobile manufacturers govern new car dealer operations, specifying brand standards, facility requirements, inventory management, and geographic territories.
The franchise system creates a regulated competitive structure where manufacturers cannot sell directly to consumers in most states, directing all retail transactions through independent franchise dealers. State dealer franchise laws protect existing dealers from manufacturer termination without cause and restrict new point establishment within defined market areas. According to the U.S. Census Bureau[5], new car dealers generate the largest revenue volumes in retail trade, driven by high per-unit transaction values that routinely exceed $40,000 for new vehicles. Finance and insurance (F&I) departments generate additional revenue through loan origination, extended warranties, and protection products sold at the point of vehicle delivery.
The SBA[6] sets the size standard at 200 employees for this industry. Floorplan financing from manufacturer-affiliated captive finance companies and independent lenders funds new vehicle inventory, creating substantial interest expense that dealers manage through inventory turn optimization. Electric vehicle adoption is reshaping dealer operations by requiring charging infrastructure investments, technician retraining for high-voltage systems, and adaptation to direct-order sales models that reduce traditional inventory-based selling. Multi-dealership ownership groups have consolidated the industry, with publicly traded dealer groups operating hundreds of franchise points across multiple brands and states.
What's Included in This Industry
- Retail sale of new automobiles and passenger cars
- Retail sale of new light trucks, SUVs, and crossovers
- Retail sale of new passenger and cargo vans
- Used vehicle sales at new car dealership locations
- Automotive parts and accessories retailing at dealerships
- Vehicle repair and maintenance services at franchise dealers
- Finance and insurance product sales at point of delivery
- New vehicle leasing arranged through dealership operations
- Vehicle trade-in acquisition and reconditioning activities
- Warranty repair services performed under manufacturer programs
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Subsector | Motor Vehicle and Parts Dealers | 441 |
| Industry Group | Automobile Dealers | 4411 |
| NAICS Industry | New Car Dealers | 44111 |
| National Industry | New Car Dealers | 441110 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 441120 | Used Car Dealers | Retails used cars and light trucks as standalone dealerships, competing with the used vehicle departments that new car dealers operate alongside their new inventory |
| 441210 | Recreational Vehicle Dealers | Retails recreational vehicles through franchise and independent dealer networks, sharing the motor vehicle retail classification and some operational similarities |
| 441222 | Boat Dealers | Retails boats and watercraft through dealer networks, sharing the high-value durable goods retail model and F&I revenue structure with auto dealers |
| 441330 | Automotive Parts and Accessories Retailers | Retails automotive parts and accessories, competing with the parts departments that new car dealers operate as a profit center within their dealerships |
| 441340 | Tire Dealers | Retails tires through specialty stores, representing a parts and service segment that new car dealers also serve through their service departments |
| 441227 | Motorcycle, ATV, and All Other Motor Vehicle Dealers | Retails motorcycles, ATVs, and other motor vehicles through dealer networks with franchise structures similar to automobile dealerships |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 9.6% | 2,099 |
| 2 | Texas | 7.7% | 1,686 |
| 3 | Florida | 5.9% | 1,281 |
| 4 | New York | 5.2% | 1,144 |
| 5 | Pennsylvania | 4.7% | 1,035 |
| 6 | Illinois | 4.1% | 893 |
| 7 | Ohio | 4.1% | 887 |
| 8 | Michigan | 3.4% | 731 |
| 9 | North Carolina | 3.3% | 712 |
| 10 | Georgia | 2.8% | 606 |
% Of Establishments
0%
10%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
368
Total SBA Loans
$381.5M
Total Loan Volume
$1.0M
Average Loan Size
12 yrs
Average Loan Term
10.16%
Average Interest Rate
6,824
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: The SBA[6] classifies NAICS 441110 under motor vehicle and parts dealers with a size standard of 200 employees. Businesses at or below this threshold qualify as small for federal contracting preferences and SBA loan programs. New car dealers can access SBA 7(a) loans[8] for working capital, facility improvements, and business acquisition financing. Firms purchasing or constructing dealership facilities may qualify for 504 loans[9]. Floorplan inventory financing operates separately from SBA programs, typically through manufacturer captive finance companies and commercial banks specializing in dealer lending.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Newtek Bank, National Association | 136 | $124.0M | $912K |
| 2 | Live Oak Banking Company | 32 | $102.8M | $3.2M |
| 3 | Celtic Bank Corporation | 16 | $45.5M | $2.8M |
| 4 | Northeast Bank | 88 | $27.2M | $309K |
| 5 | Old National Bank | 8 | $16.8M | $2.1M |
Frequently Asked Questions
Common questions about this industry.
What types of businesses fall under NAICS 441110?
NAICS 441110 covers new car dealers that retail new automobiles, light trucks, SUVs, and vans. Most establishments also sell used vehicles, parts, and provide repair services under franchise agreements with vehicle manufacturers. Source: U.S. Census Bureau[5]
What is the SBA size standard for NAICS 441110?
The SBA sets the size standard at 200 employees for new car dealers. Businesses at or below this employee count qualify as small for federal contracting preferences and SBA financing programs. Source: SBA Size Standards[6]
How does the franchise system work for new car dealers?
Manufacturers grant franchise agreements to independent dealers authorizing them to sell specific brands in defined territories. State franchise laws protect dealers from arbitrary termination and restrict new point establishment. Dealers invest in brand-specific facilities, training, and inventory under these agreements.
What NAICS codes are related to new car dealers?
Related codes include 441120 (used car dealers), 441210 (RV dealers), 441222 (boat dealers), 441330 (auto parts stores), and 441340 (tire dealers). Manufacturing code 336110 (automobile manufacturing) supplies products to this channel. Source: Census NAICS[5]
What revenue streams do new car dealers have?
New car dealers generate revenue from new vehicle sales, used vehicle sales, parts and service operations, and finance and insurance (F&I) products. Service departments and F&I often contribute disproportionate gross profits relative to their share of total revenue.
Can new car dealers get SBA loans?
Yes, small businesses under NAICS 441110 can access SBA 7(a) loans for working capital and facility improvements, and 504 loans for real estate purchases. Floorplan inventory financing typically comes from manufacturer captive lenders rather than SBA programs. Source: SBA Loan Programs[10]
How are electric vehicles changing new car dealerships?
EV adoption requires dealers to invest in charging infrastructure, retrain technicians for high-voltage systems, and adapt to manufacturer direct-order models that reduce traditional lot inventory. Service revenue patterns shift as EVs require less routine maintenance than internal combustion vehicles.
Where are new car dealers concentrated geographically?
New car dealers operate in every state, with concentrations following population density and household income patterns. Texas, California, Florida, and New York host the largest numbers of franchise dealer points. Suburban locations near major highways represent the most common site selection. Source: BLS QCEW[11]
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau census.gov
- [6]SBA sba.gov
- [7]Bureau of Labor Statistics bls.gov
- [8]SBA 7(a) loans sba.gov
- [9]504 loans sba.gov
- [10]SBA Loan Programs sba.gov
- [11]BLS QCEW bls.gov
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