How do I become a part-time motor trader?

Just a few questions as l am quite keen on becoming a part time motor trader, hopefully you can help.

Q1 : Is it necessary to purchase Trade plates even though l will be purchasing minimal vehicles at a time.
Q2 : Do you really need to be registered as a sole trader or is it okay to trade using the PT Motor Trade Insurance.
Q3 : Can you kindly breakdown the key procedures when purchasing and selling vehicles (What needs to be done with the v5 ?

l would really appreciate clarity with the above questions.

Asked on 18 November 2016 by Zafee

Answered by Honest John
Without a Trade Licence you will not be able to legally move vehicles on the road unless you tax them individually. You have to have trade insurance, which will be restrictive. The V5C itself tells you what to do with V5Cs. If your turnover will be more than £83,000 a year you have to register for VAT and conform to VAT rules.
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