Tesla (TSLA) Said to Apply for Dealership License in Michigan

Tesla Motors (Nasdaq: TSLA) is said to have applied for a dealership license in Michigan.

The Detroit News said that Tesla submitted applications last November to the Michigan Secretary of State Office for a "Class A" dealership license and the company has since submitted follow-up information to the state.

The Michigan SOS is reviewing the apps and expects to make a decision within the next month or two, according to the report. Tesla must also have a "repair facility as part of their business or have an established relationship with a licensed repair facility," the SOS noted.

News comes as Michigan still prohibits direct sales of automobiles to consumers without going through a dealership first, which Tesla has fought tooth-and-nail to avoid. The latest move might signal Tesla's willingness to take the state's denial of a sales license to the next level.

Also of note, CEO Elon Musk and Business Development VP Diarmuid O'Connell have said in the past that the company might move to a dealership model if volume gets high enough.

Shares of Tesla are trading over 2 percent higher Monday.

You May Also Be Interested In

• SpaceX Shares Indicated To Open At $155
• Oppenheimer sees little strategic case for Tesla-SpaceX merger
• Chanos says SpaceX is not worth $1.75 trillion