Minnetonka, MN Business Licensing & Operations: Pawnbrokers (2026)

Section 610.015 of the Minnetonka City Code prohibits engaging in the business of pawnbroker, precious metal dealer, or secondhand dealer in the city unless the person is currently licensed. Section 610.010 defines a pawnbroker as a person who loans money on deposit or pledge of personal property, and banks, savings and loan associations, and credit unions are excluded.

Eligibility is narrow. Section 610.025 bars minors, anyone who holds a liquor license under section 600, anyone whose pawnbroker, precious metal dealer, or secondhand dealer license was revoked anywhere within five years, and anyone not a resident of the seven-county Twin Cities metropolitan area. Section 610.030 bars licenses for operation in a residential zoning district, at a place that holds a liquor license, or on premises with delinquent taxes or assessments.

The application goes through the police department for an investigation of the applicant's moral character and finances, then through two public hearings held at least 27 days apart. Each application needs five affirmative votes of the City Council, which can attach conditions and is not obligated to grant a license even to a qualified applicant. Section 610.045 requires a $5,000 bond filed with the city clerk. Licenses expire on December 31st, and renewal applications are due at least 90 days before expiration.

Operating rules are heavy. A pledgor has at least 60 days to redeem, can redeem 72 hours after the pawn excluding Sundays and legal holidays, and items sold to a licensee cannot be resold for 31 days. Licensees keep transaction records for four years, photographic records for three months, and submit daily reports to police electronically. A licensee that pawns a motor vehicle title must hold a used motor vehicle dealer license and cannot sell the vehicle until 90 days after recovery. Pawning firearms requires a federal firearms dealer's license.