License & Permit Bonds
Serving Dallas, Fort Worth, Carrollton, Arlington, Austin, El Paso, Houston, San Antonio, Irving, Plano, Grand Prairie and throughout Texas
License and Permit Bonds are surety bonds that some businesses are required to have in order to get a business license. This bond guarantees that the bondholder will abide by any applicable laws and regulations placed on their business by the city and/or state.
There are different types of license and permit bonds for different industries. For example:
- Contractors are required to hold a Contractor License Bond
- Car dealerships need a Motor Vehicle Dealer Bond
- Collection agencies are required to have a Collection Agency Bond
While it is the business that is required to obtain the bond, these bonds actually help to protect the consumers and not the business. In fact, bonds are to businesses as insurance is to individuals; they are paid for by the business. This bond guarantees that the business will operate safely and honestly, and abide by laws and regulations. If the business fails to do so, a consumer can make a claim against the business bond, which will be paid out by the surety company.
A License and Permit Bond does not qualify as insurance, however. If a business is licensed, bonded, and insured, it means they have all three components: a business license, a bond by a reputable surety company, and the necessary insurance for their business.
Who Needs A License And Permit Bond?
Most contracting businesses in Texas are required to hold a license and permit bond, which must be obtained before the business can be granted a license.
Doing business without a license and permit bond could result in penalties, including financial or criminal charges.
How To Get A License And Permit Bond
Since the requirements and the type of bond may vary from industry to industry, the best way to get your license and permit bond is to contact us directly. A qualified agent can give you a quote, help you through the process and tell you what you need to do to obtain a bond for your business.
You can easily get a quote on our website, call, or apply online.