Understand the required obligation.
Government agencies and other obligees may require a license or permit bond before a business can lawfully operate. The exact bond form, amount, term, and filing instructions come from the obligee.
Common uses
- Contractor and trade licenses
- Business and occupational licenses
- Permit obligations
- Compliance with state or local requirements
Information to prepare
- Exact legal business name
- State and licensing authority
- Required bond form and amount
- License or application number
- Effective date
Frequently asked questions
Can a license bond be issued online?
Thousands of eligible bonds can be applied for, purchased, and issued through the online bond center. Underwriting varies by bond.
Does the bond protect my business?
A surety bond primarily supports an obligation owed to the obligee. It is not a substitute for liability or property insurance.
Bond descriptions are general. Availability, underwriting, pricing, indemnity, collateral, form, and delivery vary. The application and issued bond control.