Oregon Farm Labor Contractor Bond

The Oregon farm labor contractor license is obligatory for any entity that wants to conduct activities as a farm labor contractor in the state. Together with all necessary paperwork, you should submit a surety bond in the official bond form to demonstrate your financial responsibility. It ensures your compliance with all applicable state rules, including Chapter 183 of the Oregon Revised Statutes.

The bond amount you have to obtain depends on the number of employees you want to hire. You need a $10,000 farm labor contractor bond for less than 20 employees, and a $30,000 bond for 21 and more employees. The bond requirement for contractors who operate farmworker camps is $15,000.

The bond amount is what you have to provide as a licensing requirement. It is different from your bond premium. This is your actual bond price, and it is typically between 1% and 5% of the bond amount.

Your exact surety bond cost is set on the basis of diverse factors, such as your personal credit score, business finances, and assets and liquidity. By examining them, your surety aims to assess the level of risk that bonding you presents. If your overall profile is stable, you can expect to pay less to get bonded.

If you are struggling with issues such as a low credit score, tax liens, bankruptcies, or civil judgements, you can still get bonded with us. Lance Surety Bonds operates its Bad Credit Surety Bonds program for applicants with problematic finances.

The rates are slightly higher, in the range of 5% to 10%. This is needed to compensate for the increased bonding risk. Our close collaboration with numerous A-rated, T-listed surety companies still allows us to offer you an outstanding bond option.

Need more details about the way bonding works? Our How to Get Bonded page can give you a thorough insight into the topic.

You can also call us at (877) 514-5146. Our bonding experts are here to help you out with any questions or with your application.

Unlike insurance, your farm labor contractor bond does not protect your business. It is required in order to safeguard the interests of your employees and partners. If you fail to make due payments to such parties, or transgress from your legal obligations in another way, you can be kept liable via a bond claim.

Claimants can seek a reimbursement up to the penal sum of your bond. While your surety can take over the costs at first, you have to repay it in full afterwards. This makes claims a serious threat for your company’s stability and finances.