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Securing third party financing: Inform OMVIC first

October 28, 2026
Selling

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Every registrant shall, within five days after the occurrence of the event, notify the registrar in writing of…any change to the information that the registrant supplied for the purpose of obtaining registration.

MVDA General Regulation (s. 31)

Recent OMVIC inspections have identified cases where dealers obtained funds through private investments or new financing sources without notifying the Registrar. Under section 31 of the MVDA general regulation all registered dealers must notify the Registrar in writing within five days of any change to the information provided when applying for registration, by contacting OMVIC’s Registration Department. This includes changes to financing arrangements or funding sources previously disclosed to OMVIC. 

Through inspections and audits, OMVIC assesses dealers’ financial responsibility and compliance with registration requirements, including their obligation to report changes to business information under section 31. Keeping this information current helps dealers meet their regulatory obligations. 

Know where your funding comes from

As the industry evolves, dealers may access funding to support their business from a variety of sources. This includes private lenders, cash advance companies, investors, shareholder loans, or other third-party financing. Dealers should keep track of their funding sources and act when required to notify the Registrar. 

Changing your dealership’s financing arrangements

Section 31 of the MVDA general regulation requires registrants to notify OMVIC of changes to their business structure when financial arrangements change from those submitted at the time of registration. Before entering into a new financing or investment arrangement, be sure to notify OMVIC as required.

Understand your responsibilities as a dealer

Alternative financing arrangements can affect more than a dealer’s source of funding. Before entering into an arrangement, understand the repayment terms, costs, and potential impact on your business. Ensure that financial details are appropriately documented.  

Review, report, and keep records

When your dealership’s financing or funding changes, take these practical steps: 

  • Review your obligations. Determine whether the new arrangement requires notice to the Registrar.
  • Keep your information current. Make sure information provided to OMVIC remains accurate and complete.
  • Maintain supporting records. Keep copies of loan agreements, funding contracts, investor agreements, repayment schedules and supporting banking records.
  • Be ready for an inspection. These documents should be readily available during an OMVIC inspection or upon request.

Keep your dealership’s registration information accurate and up to date. Review your financing arrangements and, if you are unsure whether a change needs to be reported, contact OMVIC’s Registration Department at [email protected] or 1-800-943-6002, ext. 2.