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Towing company license and permit checklist

What to research and who usually issues it. Requirements vary by state and city.

By the Cheap Cheap Websites team · Updated October 6, 2026

The short answer

Towing rules are often local: city and county towing licenses, rate caps for non-consent tows, police rotation requirements, private property towing rules with signage and notice requirements, storage lot standards and release procedures, plus state commercial vehicle rules and FMCSA requirements for some trucks.

Who to ask and what to ask

OfficeQuestion
City licensingDo I need a towing license, and what are the non-consent rate rules?
Police or sheriffHow do I join the rotation list?
CountyAre there storage lot standards?
State DOT or DMVWhat commercial vehicle rules apply?
FMCSADo I need an USDOT number for my trucks?
Insurance agentWhat coverage do rotation lists require?

Private property towing basics

Many places require a written contract with the property owner, specific signs at entrances, notice to police after a tow, and specific release hours and payment options. Follow local rules exactly; violations often lead to fines or license loss.

Mistakes

  • Towing from private property without required signs
  • Refusing card payments where required
  • Missing police notice

Worked example: preparing for a rotation list

Ray's city police department keeps a rotation list for non-consent tows. Its requirements include a city towing license, minimum insurance limits, a storage lot within city limits with fencing, lighting and posted release hours, response time standards, and specific truck types. Ray prepares documentation of each item, invites the inspection of his lot and trucks, and trains drivers on scene safety and police procedures. Once approved, he keeps records of response times because rotation agencies review performance.

Records to keep

  • Tow authorizations and police requests
  • Property owner contracts and sign photos
  • Vehicle photos and condition notes
  • Release records and payment receipts
  • Notices sent to owners as required

Rules owners often miss

Many towing ordinances require specific receipts, notices to owners and records of each non-consent tow. Keep these organized and retained for the period required.

What to research

RequirementUsually handled by
Towing license or permitState or city towing regulator (varies)
USDOT number if requiredFMCSA
Non-consent towing rules and rate capsState and city rules
Storage facility licensingState or local
Insurance requirementsRegulators and clients

Free tools

Renewal tracker

Common questions

Are tow rates regulated?

Non-consent towing rates are often capped locally.

Do I need an USDOT number?

Depends on truck weight and operation.

What signs are required for private property?

Local rules specify; check before towing.

What are release hours?

Times when owners can retrieve vehicles; often set by law.

Can private property towing be done anytime?

Usually only under a written contract with the property owner and with proper signage and notice. Follow local rules exactly.

Sources

Sources checked October 6, 2026. Rules, fees and forms change; confirm details with the agency or provider before you act. This guide is general information, not legal, tax or insurance advice.

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