License Bond

Local government agencies require many businesses to provide bonds to be able to open their doors to the public. Policy amounts and premiums vary from state to state dependent on minimum legal requirements in the area.

Some things you will need a license bond to do include contract work such as plumbing or building, importing goods from overseas, insurance sales, sales of motor vehicles, finance positions such as mortgage and insurance brokers, and healthcare providers using Medicaid.

Businesses such as Gyms or health spas can also be required to hold a bond policy that is higher than the amount they receive in annual membership fees. This ensures that they are able to refund any members in the event that the establishment closes or is damaged beyond repair.

Having started a business in a certain field, you are sure to have the knowledge behind you about safe work procedures and the laws regarding the items you sell or deal in. The license bond system works by assuring your customers and clients that you are sure of your obligations and that you have the intention to follow all the regulations correctly.

If you fail to live up to the agreement that you entered into when you obtained your license, your bond is available to be able to quickly fix any financial matters that have been caused by your non-compliance.

Your bond is only able to cover purposeful or illegal acts committed by your business. You will still need to have a comprehensive public liability insurance policy to be able to handle any damages incurred by way of accidents.


Application for


Current or expiring quote we are looking to beat:


Name of previous surety company writing to the bond:


Section I: Bond Applied for

Type of Bond

Effective Date

Expiration Date


Type of Company

CORP

LLC

DBA

Partnership

Bond Amount


(Obligee)


Obligee Address


Section II: General Information

Applicant's Name

Spouse Name


SS#

Spouse SS#

Home Phone


Residence Address

City

State

Zip


Status of Residency

Own

Rent

At Current Address Since


Date of Birth

Spouse Date of Birth

Business License Number


Business Name


Business Phone

Business Fax

Business Email


Business Address

City

State

Zip


Date Business BEGAN Under Present Individual or Firm Name

Business Tax ID


Has any company refused to issue bonds for any purpose?

Yes

No

Do you have any liens, claims or judgements against you?

Yes

No


Has applicant ever failed in business?

Yes

No

Has applicant filed bankruptcy in the last 10 years?

Yes

No


If yes, Chapter 7?

Yes

No

Chapter 11?

Yes

No

Chapter 13?

Yes

No


Date Filed for Bankruptcy?


Date of Discharge?


If yes to any, please explain:


Section III: Additional Parties

Name

Spouse Name


SS#

Spouse SS#

Home Phone


Home Address

City

State

Zip


Personal Financials

(if more than one owner, each has to fill out this app)

Statement of assets and liabilities as of


Assets Liabilities
Cash in Bank Notes Payable to Banks
Cash on Hand Notes to Others(excl. of equipment)
Stocks and Bonds Accounts Payable
Accounts Receivable Federal and State Income Tax Due
Notes Receivable All Other Taxes
Inventory Accruals, Payrolls, Etc.
Cash Value Life Insurance    
Equipment Due on Equipment
Real Estate Due on Real Estate
Other Assets Other Liabilities
    Surplus and Undivided Profits
    Capital Stock(if a corporation)
       
Total Assets Total Liabilities

Net Worth


Name of Owners

Name and Title of Officers

% of Ownership


Are you an insurance agent?

Yes

No

Agent License #

Agent State

Completion of this form constitutes permission for Cal Society Insurance Services to obtain customer information which will be used to determine bonding eligibility. This information will be held in the strictest confidence.