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When starting a new business, one of the most important steps is getting bonded and insured. Advertising that your business is bonded and insured, is the best way to tell your customers that you are reliable and trustworthy. It also helps keep you compliant with all federal and state regulations surrounding business bonding.
In todays day and age, people want to know that they are spending their money wisely. They will often only seek out establishments which are licensed, bonded, and insured. Business bonds instill a sense of confidence in your customer, as they know your work is guaranteed and they are protected.
This page serves as an explanation for the process of becoming insured and bonded, however you can reach out to us directly with any additional questions. We also have some helpful videos that explain the process of how to get a surety bond.
Being Licensed in Your Profession
A surety bond is only one step in starting your business. Often, holding a surety bond is a requirement in your state licensing process. Each obligee has their own specific requirements. For example, to receive your Auto Dealer license in the State of Alabama, you must fulfill the following requirements, in addition to the Surety Bond:
- Provide evidence of blanket liability insurance
- Have a sign on your property designating it as a business
- Ensure permanency of the business
- Have a display area for at least one motor vehicle, and a place to maintain books and records
As you can see, there are a lot of factors that go into the process of being licensed, bonded and insured. Thats why working with an Agency that specializes in insurance and bonding for small businesses is so important.
How to become bonded.
First, visit our page Bonded vs Insured to understand the difference between a Surety Bond and traditional insurance. Many insurance brokers may claim they are able to help you get bonded, however this is a truly a niche market, and most insurance agents dont even know how surety bonds work. Working with an agency specializing in the Surety Bond market, means you will have access to pricing and premiums that traditional insurance agencies cannot offer. Also, since Surety is all we do, you can get bonded instantly once approved. This helps you get your business up and running sooner, and gaining the trust of your customers more quickly.
Next, complete our online application for an instant quote for your specific business bond needs. Whether you are looking to become a bonded contractor, grow your business by adding a bonded employee, start a brand new auto dealership, or any of the multitude of other arenas in which you may be required to be licensed and bonded, we are here to get you set up as quickly as possible, and at the lowest prices in the market.
Our online application can be completed at your convenience. Those who are not instantly approved online, can expect a quote within hours. We strive to make the experience of getting bonded as simple as possible.
Cost to Get Bonded
When obtaining a surety bond the premium paid will be a percentage of the bond size you are required to have. The percentage is determined by several factors, among them are: Bond Type (Commercial, Contract and Court bonds are all underwritten very differently), financials, experience and credit. Learn more about what your surety bond cost will be here.
How to Purchase a Bond
Once approved, we offer secure online payment, check by mail, or wire transfer. We know that for your business, to be bonded means you can start attracting customers quickly, and thats why we offer a 24 hour turn around on issuing your Surety Bond.
Bonded Employees: Getting insured
Once a business has its license (and a surety bond to secure that license) it may be time to start looking at fidelity bonds. Surety Bonds and fidelity bonds secure your business in two different ways. Because of this many business owner want their employees bonded and a fidelity bond is a way to go about this. Fidelity bonds can be secured for employee dishonesty (theft, typically when dealing with money) or for Business service (to protect your customers from damage). Learn more about which fidelity bond is right for your business here.
Frequently Asked Questions
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