Most Popular Surety Bonds in Texas
Auto dealers in Texas have to get licensed with the state Department of Transportation. One of the main criteria is posting a $25,000 dealer bond. The requirement applies to dealers in Dallas, just like for all other places across the state.
Contractors in Texas may need to get a contractor license bond as a part of their licensing with city, municipal or state authorities. For example, contractors in Dallas need a paving bond in the amount of $10,000 to operate legally in the city. They have to present it to the City of Dallas authorities as a part of the licensing.
Sellers of alcoholic beverages in Dallas and the rest of Texas have to get a liquor tax bond. They have to present it to the Texas Alcoholic Beverage Commission in order to obtain a license.
Retailers in Texas have to obtain a sales tax bond and present it to the Texas Comptroller of Public Accounts. The bond amount depends on the average monthly tax liability of the retailer, but cannot be more than $100,000.
As in all other states, freight broker bonds from Dallas, Texas, have to get licensed with the Federal Motor Carrier Safety Administration. All brokers have to obtain a $75,000 bond.
Overview of surety bonds in Dallas, TX
Similarly to other surety bonds, bonds in Dallas, Texas function like a contract between three parties. The principal is your business. The obligee is the relevant authority that requires from you to post a bond. Finally, the surety is the third entity that provides the bonding.
Besides license bonds, businesses and entities operating in Dallas, Texas, may also need to obtain a contract bond or a court bond. Construction contractors have to get contract bonds when they want to participate in project bidding. As for court bonds, they may be required of Dallas citizens when they become a fiduciary, or want to appeal a court case.
The purpose of surety bonds is to provide protection against illegal actions on the side of the bonded party. In case you transgress from your legal obligations, you can face a bond claim. For proven claims, affected parties can get a compensation up to the penal sum of the bond.
Do you need more information about surety bonds in Dallas, Texas? You can always reach out to us at (877) 514-5146 and we’ll be happy to help.
Frequently Asked Questions
How much does a Dallas, TX surety bond cost?
Your bond price depends on the bond amount required from you. However, you do not have to cover the whole amount, but only a percentage of it. It is called the bond premium, and is typically in the range of 1%-5% for most bonds.
When you apply with a surety, it has to assess the level of risk associated with bonding you. That’s why it has to examine your personal credit score, business financials, and any liquidity and assets. The bond premium is then determined on the basis of your overall solidity as an applicant. Better finances mean a lower bond cost.
Our surety bond cost page is an excellent resource in case you need more information about the formulation of your bond price.
Can I get bonded with bad credit in Dallas?
For applicants with problematic finances, Lance Surety Bonds runs its Bad Credit Surety Bonds program. If you have a low credit score, tax liens, bankruptcies, or civil judgements, you can still get bonded with us. The program is available for most types of bonds, except for contract bonds.
In most cases, the bonding premiums for bad credit bonds are between 5% and 15%. The costs are higher because of the increased risk in the bonding. Since we have close partnerships with numerous A-rated, T-listed surety companies, we can offer you a competitive bond rate irrespectively of your credit score.
How do I get my Dallas surety bond?
It’s easy to apply online for a free, no-obligations bond quote. In case you want your exact bond price, just complete the full application, and we will send it to you in non time.
Need more information? Our How to Get Bonded page is a detailed guide you can consult. If you have further questions, we are here to help. Just call us at (877) 514-5146. Our bonding specialists will assist you.