CONP12622 – Application for an Auction Sales Business Licence

Jurisdiction: Country: Canada | Province/State: Alberta

What is a CONP12622 – Application for an Auction Sales Business Licence?

This form is how you apply for a provincial licence to operate an auction sales business in Alberta, Canada. It tells the licensing office who you are, what you plan to sell, how you will run auctions, and how you will safeguard client funds. You complete it before you advertise or conduct any auctions as a business. The licence you receive is your legal authorization to offer auction services in the province.

You use this form if your business sells goods by auction on behalf of owners or consignors. That includes live, in-person auctions, timed online auctions, webcast auctions, and hybrid events. It covers a wide range of goods. Common examples include vehicles, machinery, industrial equipment, farm assets, surplus inventory, and estate contents. If you plan to hold public auctions or run an online platform that targets Alberta sellers or buyers, you apply using this form.

Typical users

• Sole proprietors who run occasional consignment auctions
• Established auction houses expanding into Alberta
• Corporations launching online auction platforms with Alberta operations
• Brokers who auction goods under consignment terms
• Liquidators disposing of assets by auction as part of a business model.

If you buy an existing auction company, you use this form for your own licence. Licences do not transfer with a sale of the business.

You need this form to meet provincial consumer protection requirements. Auction sales affect both consignors and bidders. The regulator expects transparency, secure handling of money, and clear terms of sale. The application collects the details needed to assess your fitness to be licensed. It also collects ownership and management information, so the regulator can check who is behind the business.

Typical usage scenarios

• You are starting a new auction company in Alberta. You will rent a yard, accept consignments, and run live auctions.
• You operate an online platform in another province. You will now list Alberta sellers and arrange pickups in Alberta. You apply before launching.
• You are a dealer who plans to sell trade-ins and repossessions by public auction. You need a licence to hold those events.
• You buy an existing auction house. The former owner’s licence ends. You submit your own application and supporting documents.
• You add a new location, storage yard, or showroom where auction goods will be held. You update your licence through this form or a related change process.
• You change your business structure or trade name. You file a new application if the legal entity changes.

In short, the form is your gateway to lawful operation. It sets the baseline rules for how you will advertise auctions, receive funds, and transfer proceeds. If you plan to auction goods as a business in Alberta, this is the form you complete.

When Would You Use a CONP12622 – Application for an Auction Sales Business Licence?

You use this form before you run or promote any auctions as a business in Alberta. That includes your website launch, social media ads, roadside signs, and email campaigns. You wait to advertise services until the licence is granted. If you test the market first, you risk enforcement for operating without a licence.

You also use it when you change key facts about your business. For example, you might incorporate a sole proprietorship, add new directors, or move to a larger yard. Material changes often require prior approval or a fresh licence. If the legal entity changes, you apply again. If you keep the same legal entity but add a new location, you update your licence through the process set by the regulator. The form supports both first-time applications and significant updates, depending on instructions on the document.

Typical users are business owners, directors, or partners with signing authority. Operations managers may complete the details, but an authorized person signs the declaration. Lawyers and accountants often prepare supporting documents. You should coordinate early. You may need bank letters, insurance certificates, consignment contracts, and proof of your business name. These items take time.

Common situations

• You are a new entrepreneur. You will host monthly consignment auctions and sell farm equipment. You apply once your structure and location are set.
• You run estate liquidations and plan to use an auction format. You need a licence before holding the first sale.
• You operate in another province and will run pop-up auctions in Alberta. You apply in Alberta before your first event.
• You plan to sell primarily online. Lots will be located in Alberta. Buyers will pick up at your yard. You still need the provincial licence.
• You will handle deposits and buyer’s premiums. You set up a trust account and include the bank letter with the application.
• You bought the assets of a licensed auctioneer. You apply for your own licence since licences do not transfer.

Use the form whenever you plan to run auctions as a business in Alberta. If your activity looks like an auction service for the public, assume you need the licence unless the regulator confirms otherwise.

Legal Characteristics of the CONP12622 – Application for an Auction Sales Business Licence

The application is a legal document. When you sign it, you certify that all information is true, complete, and current. You also agree to follow provincial laws and any licence conditions. False statements can lead to refusal, suspension, administrative penalties, or prosecution. Omitting facts is treated the same as misrepresenting them. Treat each question as material.

The licence the form requests is legally required for auction sales businesses in Alberta. Operating without a licence exposes you to enforcement. The regulator can inspect your premises, review records, and require you to produce documents. The licence may include conditions. Common conditions address recordkeeping, advertising, and handling of trust funds. If you break those conditions, the licence can be suspended or cancelled.

What ensures enforceability?

Enforceability comes from statute and regulations. The regulator has authority to review your fitness, issue licences, impose conditions, and take action if you do not comply. The application supports that process. It collects identity details, ownership, and control structures. It asks about criminal, regulatory, or bankruptcy histories. It also seeks your consent for background checks. That consent allows verification of information with public bodies and other regulators.

General legal considerations

• Your business name and structure must be properly registered in Alberta if required. Use the exact legal name in the form.
• If you hold client funds, you may need a trust account. You must keep those funds separate from operating money. The regulator may require a bank letter confirming the trust account details.
• Security, such as a bond or other financial guarantee, may be required. The amount depends on your business model and applicable rules. The bond protects consignors and buyers if you fail to remit proceeds.
• You must keep accurate auction records. Keep consignment contracts, lot listings, bidding logs, invoices, receipts, and payout statements. Retain them for the period set by provincial rules.
• You must present clear terms and conditions to bidders and consignors. These terms must match your advertising and actual practices. Avoid hidden fees.
• Online operations are treated the same as in-person sales when serving Alberta. If you run auctions online with Alberta inventory or pickup in Alberta, you need the licence.
• Changes in ownership, directors, locations, or business activities must be reported promptly. Failure to report can invalidate your licence.

The application does not itself grant the licence. It starts the review. The licence is effective only when issued. Do not hold or advertise auctions until you receive the licence certificate or number and any stated conditions.

How to Fill Out a CONP12622 – Application for an Auction Sales Business Licence

Follow these steps to complete the form and prepare a clean submission. Focus on accuracy and complete supporting documents. Incomplete filings cause delays.

1) Confirm your business model and need for a licence.

• Define what you will auction, how, and where. List in-person and online methods. Note any storage yards or showrooms.
• Identify whether you will hold deposits, buyer’s premiums, or consignor proceeds. This affects trust account and security requirements.
• Decide your business structure. Sole proprietor, partnership, or corporation. You will need registration documents that match.

2) Gather your core documents.

• Proof of legal name and status. For a corporation, include incorporation documents and any name change certificates. For a partnership, include the partnership registration. For a sole proprietor using a trade name, include the business name registration.
• Proof of trade name(s) you will use in advertising.
• Government-issued ID for each owner, partner, director, and officer named in the application. Follow the form’s ID rules.
• A current corporate registry printout or status report if you are incorporated.
• A lease, purchase agreement, or other proof of control for your auction premises and storage yard. Include municipal address details.
• A bank letter confirming your trust account, if you will hold client funds. The letter should identify the account as a trust account and list the business legal name.
• Security or bond documents, if required. Include the bond number, amount, and the named obligee as set by the regulator. Use the exact legal name for the principal.
• Sample consignment agreement and auction terms and conditions. These should show fees, buyer’s premium, reserves, payment timelines, and dispute handling.
• Insurance certificate if the regulator requests proof of coverage for stored goods or operations.

3) Complete the Applicant Information section.

• Enter the exact legal name of the business. Do not use a trade name here.
• Select your business type. Sole proprietorship, partnership, or corporation.
• Provide incorporation or registration number, jurisdiction, and date.
• List all trade names you will use in advertising and auction signage.
• Provide your physical business address and mailing address. Use a street address for the physical location. Include phone and email.

4) Describe your auction activities.

• Specify the types of goods you will auction. Examples: vehicles, equipment, household goods, or surplus stock.
• Note your auction formats. Live, online timed, webcast, or hybrid.
• Indicate whether you will accept consignments, sell owned inventory, or both.
• State how you will receive and pay funds. Outline deposits, buyer’s premiums, and payout timing.

5) List all Alberta locations.

• Include auction sites, storage yards, warehouses, and offices used for auction operations. Provide full addresses.
• If you will host auctions at temporary venues, note this and describe your plan for handling funds and records.
• If you share space with another business, describe how you will segregate auction assets and records.

6) Identify ownership, directors, and key personnel.

• For a sole proprietor, provide your full legal name, date of birth, home address, and contact details.
• For partnerships, list each partner with the same details. Include ownership percentages.
• For corporations, list all directors and officers. Include full names, dates of birth, positions, and home addresses.
• Disclose any person who owns or controls a significant interest, directly or indirectly.
• Attach extra pages if the form does not have enough space.

7) Answer background and suitability questions.

• Disclose any criminal charges or convictions related to fraud, dishonesty, or financial crimes. Provide dates and outcomes. Attach court documents if the form instructs.
• Disclose bankruptcy or insolvency events for the business or any listed individuals. Include discharge details if applicable.
• Disclose past licence refusals, suspensions, or enforcement actions in any jurisdiction. Provide explanations and supporting documents.

8) Provide trust account details if applicable.

• Indicate whether you will hold client funds in trust. If yes, give bank name and branch.
• Attach a bank letter on bank letterhead confirming that the account is a designated trust account in the exact legal name of your business.
• Describe your process for reconciling the trust account and issuing payouts. Keep it practical and consistent with your policies.

9) Attach your security or bond if required.

• Use the form of security accepted by the regulator. Ensure the bond names the correct obligee and matches the required amount.
• Check that the legal name on the bond matches your application exactly.
• Include any riders or endorsements that apply to your business operations.

10) Add your policies, contracts, and disclosures.

• Attach your consignment agreement. Show fees, reserve rights, lien or storage fees, payout timelines, and dispute process. Make sure it uses plain language.
• Attach your bidder terms and conditions. Include buyer’s premium, payment deadlines, accepted payment methods, and pickup rules.
• Include your advertising and representation policy. State how you describe lots, handle errors, and issue corrections.
• Include your recordkeeping plan. Describe how you keep lot files, bidder logs, invoices, and payment records. State your retention period based on provincial rules.
• If you run online auctions, include your platform’s user terms and privacy statement. Align these with your bidder terms.

11) Identify responsible contacts.

• Name a designated contact for compliance and inspections. Provide phone and email.
• Name a financial contact for trust account inquiries.
• If you will appoint auctioneers or ring staff, note the lead person responsible for sale-day controls.

12) Review and sign the declarations.

• Read each declaration clause carefully. Confirm accuracy and completeness.
• Authorize the regulator to verify information with third parties as stated in the form.
• Confirm you understand and will follow all licence conditions and legal requirements.
• Sign and date the form. Use blue or black ink if filing on paper.
• The signatory must have authority. A proprietor, a partner, or a corporate officer usually signs. Print your name and title below your signature.

13) Pay the application fee.

• Calculate the correct fee based on the form’s instructions.
• Pay using an accepted method. Keep the receipt.
• If the form allows installment or proration in limited cases, follow those instructions exactly.

14) Submit your package.

• Assemble the completed form and all attachments. Use a clear index or cover sheet.
• Double-check names and numbers are consistent across all documents.
• Submit as instructed on the form. If submitting electronically, upload legible scans. If by mail or in person, use copies as instructed and keep originals secure.

15) Prepare for follow-up.

• Respond quickly to any information requests. Delays can extend processing time.
• Be ready to provide extra documents. Common requests include clearer ID, bank confirmations, or more detail on ownership.
• If an inspection or interview is required, schedule it promptly and have your records ready.

16) After approval.

• Read your licence and any conditions. Note the expiry date and renewal process.
• Display the licence at your place of business. If operating online, include the licence number where bidders can see it.
• Keep your licence details in your advertising. Use the exact licensed trade name.
• Maintain records and trust reconciliations as required by provincial rules.
• Report changes in ownership, directors, locations, or business model within the required timeframe.
• Renew before expiry to avoid a lapse. Start renewal early so you can update bonds, insurance, and bank letters.

Practical filing tips

• Match names across every document. A small mismatch can delay approval.
• Keep your terms and contracts consistent. Your consignment agreement and bidder terms should align.
• If you do not hold client funds, explain your payment flow clearly. Show how consignors are paid and who processes payments.
• If you use third-party platforms or payment processors, describe those relationships. Clarify who holds funds and at what stage.
• Keep a checklist. Tick off each attachment as you compile the package.

Complete, consistent, and honest information gets processed faster. Treat this application as the foundation of your compliance program. Set strong controls now, and your auctions will run smoothly under your licence.

Legal Terms You Might Encounter

• Application for licence means your formal request for permission to run an auction sales business. In the CONP12622 – Application for an Auction Sales Business Licence, this is the document you complete and sign to start the licensing process.
• Licensee means the person or entity that holds the auction sales business licence. When you complete the form, you identify who will be the licensee. That may be an individual, partnership, or corporation.
• Authorized signing officer is the person who signs the form on behalf of the applicant. If you are a corporation or partnership, the authorized signing officer must have legal authority to bind the business. The form asks for their name, title, and contact details.
• Designated representative is the individual the regulator contacts about the licence. This person may also be the on-site manager. On the form, you list this person so the licensing office knows who speaks for the business day to day.
• Consignor is the person who owns the goods you auction. You sell the goods on their behalf. Your form and licence obligations often require clear terms with consignors. You may later need to show the regulator your consignment agreements.
• Trust account is a bank account where you hold money that belongs to others. Auction proceeds often go into a trust account before you pay the consignor. The form may ask for proof of a trust account, such as a letter from your bank with the account details.
• Security or bond is financial protection for the public. Some auction businesses must provide a bond to cover potential losses caused by misconduct. The form can ask for the bond amount, the surety company’s details, and the bond number.
• Reserve price is the minimum price the consignor will accept for an item. You must disclose how you handle reserves in your auction terms. The licence conditions may limit how you advertise or conduct reserve auctions, so the form asks about your business practices.
• Trade name is the name you use in advertising if it differs from your legal name. If you operate under a trade name, list it on the form exactly as registered. Your licence will show the trade name. Your ads must match that name.
• Material change is any significant change in your business that affects your licence. Examples include ownership changes, relocation, or a new designated representative. You must report material changes to the regulator. The form asks you to promise to report them promptly.
• Records retention refers to the duty to keep your auction records for a set time. This includes consignor agreements, bidder registrations, auction catalogs, and trust account reconciliations. The form may ask you to acknowledge your recordkeeping obligations.

FAQs

Do you need a licence if you only conduct online auctions?

Yes, in most cases. The licence covers auction sales whether you conduct them in person, online, or hybrid. If you regularly auction goods on a platform for others, you generally need the licence. If you only sell your own goods, you may not need this licence. Review your business model before you apply.

Do you need a separate licence for each business location?

Often you need one licence per business. Some regulators also require location approvals or endorsements. If you run multiple permanent locations, expect to identify each site on the form. Mobile or temporary venues may need added details. List all places where you conduct auctions or keep records.

Can you start operating before your licence is issued?

No. Do not advertise or hold auctions until the licence is granted. Submitting the CONP12622 – Application for an Auction Sales Business Licence does not authorize you to operate. Wait for written confirmation. Operating early risks refusal, penalties, and future compliance audits.

Do you need a trust account to complete the application?

Usually, yes, if you receive money that belongs to consignors. The application often asks for a trust account letter from your bank. Set up the trust account under the licensed name. Keep it separate from your general operating account. Delays happen when applicants provide only a generic bank letter.

Do you need a bond or security with the application?

Many auction sales businesses must post a bond. The amount depends on your business model and expected volume. Confirm whether your activities require security. If yes, attach the bond certificate or undertaking and list the surety’s details on the form. Missing bond details cause processing delays.

Do the owners and managers need background checks?

Yes. Most applications require background disclosures. You must state whether officers, directors, partners, or key managers have past convictions, bankruptcies, or regulatory actions. Some regulators also ask for recent criminal record checks. Be complete and truthful. Omitting information is a common reason for refusal.

How long does the application process take?

Processing times vary with volume and completeness. Accurate, complete submissions usually move faster. Incomplete forms, missing signatures, or absent trust account and bond documents cause delays. If the regulator requests more information, respond quickly to keep your file moving.

Do you need to list sales staff or contract auctioneers?

You often must list individuals who conduct auctions or handle trust money. Include employees and contractors who will act for your business. If you add staff later, notify the licensing office as required. Keep your staff list current to avoid compliance issues.

What if your business changes ownership after licensing?

You must report ownership changes promptly. Major changes can trigger a new application or re-vetting. Do not assume the licence transfers automatically. File an amendment or a new CONP12622 – Application for an Auction Sales Business Licence as instructed. Keep operating only if you remain licensed.

Does the licence cover all types of goods, like vehicles or antiques?

The licence generally covers auction sales of goods. Some categories—such as vehicles, industrial equipment, or agricultural goods—can have extra rules. Confirm the categories you plan to sell. If you need additional permits or insurance, secure them before you schedule any auctions.

Checklist: Before, During, and After the CONP12622 – Application for an Auction Sales Business Licence

Before you sign

• Confirm your legal entity details. Have your legal name, incorporation or registration number, and date of formation.
• Confirm your trade name registration if you use one. Make sure the name matches all ads and contracts.
• Identify your designated representative and authorized signing officer. Have their titles and direct contact information.
• Set up your trust account. Obtain a bank letter that confirms the account is a trust account in the exact legal or licensed name.
• Obtain your bond or security if required. Get the bond number, the amount, and the surety details. Have the original certificate or an official confirmation.
• Prepare ownership information. List all directors, officers, partners, and owners with their legal names, home addresses, and percentages owned.
• Collect background documents. Prepare disclosure statements for criminal history, bankruptcies, prior discipline, or past licence refusals.
• Draft your standard consignment agreement. Be ready to show how you handle reserves, fees, and payment timelines.
• Prepare your commission and fee schedule. The regulator may ask for copies or summaries.
• Verify your business location. Gather your lease, landlord consent, or evidence of premises control. If zoning approval is required, have confirmation.
• Compile staff lists. Identify auctioneers, clerks, cashiers, and anyone who will handle trust money.
• Set up recordkeeping tools. Have software or forms for bidder registration, lot tracking, invoices, and trust reconciliations.
• Confirm insurance. Keep proof of business insurance available if requested.
• Plan your advertising standards. Ensure your ads will show your licensed name and any required licence number after approval.
• Arrange payment for fees. Have a method ready that the licensing office accepts.

During signing and final review

• Check legal names. The applicant’s name must match the registry document and the trust account name.
• Verify addresses. Include the physical business address and a reliable mailing address. Do not use a PO box where a physical address is required.
• Confirm contact details. Provide a general email and phone number plus direct contacts for your designated representative.
• Review ownership entries. Ensure percentages total 100%. Spell names correctly and use full legal names.
• Complete all disclosures. Answer every question on convictions, bankruptcies, and prior regulatory issues. If a question does not apply, mark it clearly as not applicable rather than leaving it blank.
• Enter trust account information. Include bank name, branch, and full account title showing it is a trust account.
• Enter bond details. Add the bond amount, number, and surety information. Attach any required bond certificate.
• List staff. Add auctioneers and staff who handle funds. Use legal names and positions.
• Attach supporting documents. Include copies of ID if requested, corporate registry records, trade name registrations, and your fee schedule.
• Sign and date. The authorized signing officer must sign. If the form needs a witness or corporate seal, apply them as instructed.
• Keep copies. Scan the full package for your records before you submit.

After submission

• Submit the package. Use the intake method the licensing office accepts. Include all forms, attachments, and payment.
• Watch for follow-ups. Respond quickly to any requests for more information or corrections.
• Do not operate yet. Wait for written licence approval before advertising or holding any auction.
• File your approval. When issued, store the licence in a secure folder. Post it at your business location if required.
• Update internal records. Add the licence number to your contracts, invoices, and templates.
• Calendar renewals. Set reminders at 90, 60, and 30 days before expiry.
• Train staff. Review trust handling, recordkeeping, bidder registration, and consignor payment timelines.
• Prepare for audit. Implement monthly trust reconciliations and retain records in an organized system.

Common Mistakes to Avoid

• Don’t forget to align names across documents. Mismatched legal names between your corporate record, trust account, bond, and the form cause immediate delays. The regulator may return your application as incomplete.
• Don’t omit required disclosures. Failing to disclose a past bankruptcy or conviction can lead to refusal. Full disclosure with context is better than discovery after the fact. Inconsistent answers across owners raise red flags.
• Don’t use a general operating account in place of a trust account. Mixing funds is a serious compliance breach. You risk refusal or later enforcement action. Open a proper trust account in the licensed name before you apply.
• Don’t skip the bond or send an informal letter. A quote or application for a bond is not enough. The licensing office needs a valid bond commitment or certificate. Missing or incorrect bond numbers stall your file.
• Don’t list a trade name you have not registered. If your trade name is unregistered or spelled differently, your ads and contracts will not align with your licence. This can trigger complaints and compliance action.
• Don’t start advertising “coming soon” auctions using the licensed title before approval. Pre-licence advertising can be seen as operating. You risk refusal and sanctions. Wait for your licence confirmation.

What to Do After Filling Out the Form

File your application package

• Submit the CONP12622 – Application for an Auction Sales Business Licence with every attachment. Include your trust account letter, bond certificate, ownership disclosures, staff list, and fee payment.
• Use the submission channel the licensing office accepts. Confirm delivery and keep proof of submission.

Monitor and respond

• Watch your email and voicemail for questions from the licensing office. Reply within one business day.
• If you’re asked for more documents, send them promptly and label them clearly. Use your legal name and the application file number if provided.

Prepare your compliance systems while you wait

• Finalize your consignment agreement. Include terms on reserve price, fees, removal deadlines, dispute handling, and payment timelines.
• Build a bidder registration process. Capture identity, contact information, and any deposits or pre-authorization rules.
• Establish trust procedures. Set timetables for depositing funds, reconciling the account, and paying consignors.
• Set retention rules. Decide where and how long you will store catalogs, invoices, payout sheets, and bank records.

On approval

• Read your licence conditions. Note any limits on goods, advertising, or staff roles.
• Post your licence at your premises if required. Keep a digital copy in your compliance folder.
• Update your templates. Add your licensed name and licence number to consignment agreements, invoices, and advertisements.
• Train your team on licence conditions and recordkeeping. Confirm who can sign consignment agreements and who handles trust money.

If your application is refused or returned

• Ask what corrections or information the licensing office needs. Fix gaps quickly.
• If refused, review the reasons. You may be able to reapply after addressing issues, such as missing security, unclear ownership, or incomplete disclosures.

Maintain your licence

• Report material changes promptly. This includes new owners, location moves, or a new designated representative.
• Renew on time. Submit renewal forms and fees before the expiry date. Keep your bond and trust account in force.
• Keep records current. Reconcile the trust account monthly. File signed consignment agreements and payout records by auction date.

When expanding or changing your services

• If you add online auctions or new categories of goods, confirm whether your current licence covers them.
• Update your staff list with new auctioneers or cashiers. Provide any required background updates.
• If you open a new location, follow the process for adding or licensing that site.

Handling complaints and inspections

• Respond to complaints promptly and respectfully. Keep a log of issues and resolutions.
• Cooperate with any inspection or audit. Provide documents on request, including trust reconciliations and consignor payments.
• Use findings to improve processes. Update training and checklists based on any compliance feedback.

Amending the application after filing

• If you discover an error in your submitted CONP12622 – Application for an Auction Sales Business Licence, notify the licensing office immediately.
• Send corrected pages with a cover note that references your file. Make sure the authorized signing officer re-signs if required.

Recordkeeping and storage

• Store your application, licence, bond, trust letters, and approvals in a secure compliance folder.
• Keep digital backups with restricted access. Maintain a retention calendar so you know when to archive or destroy records.