Agricultural Bonds

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  • Bad credit program

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How Do I Get Bonded?

What Are Agricultural Bonds?

Agricultural packers, market agencies, and dealers need to obtain agricultural bonds in order to comply with the U.S. Department of Agriculture’s requirements, as well as with state regulations. Agricultural bonds have also been known as agricultural packers and stockyards bonds.

This type of surety bond acts as a safety net for the federal government and the state you operate in. It guarantees that agricultural businesses will abide by the rules set forth in the Packers and Stockyards Act, and will account properly for sales of agricultural products and livestock.

Like other surety bonds, agricultural bonds function like a three-party contract. Your agricultural business is the principal that needs to obtain the bond. The federal or state authority requiring the bond is the obligee. The surety is the entity which provides the bond.

Questions about Agricultural Packers Bonds

Who needs to obtain an agricultural bond?

Different kinds of agricultural businesses need to get an agricultural surety bond. Some of them include packers, market agencies and dealers, which are required to get bonded by the U.S. Department of Agriculture.

However, in a number of states, these companies also need to get a bond to meet state agencies’ requirements. Some of the businesses that have to be bonded include cotton dealers and warehouses, grain dealers and warehouses, agricultural brokers, distributors, dealers and sales agents, and livestock and equine dealers and brokers.

How much does an agricultural bond cost?

The major factor that determines the price of your agricultural bond is the bond amount you are required to obtain. This amount is set by the federal or state authority that regulates your business activity. In some cases, it can be a predefined amount, while in others, the bond amount can be based on your business volume.

While your bond amount can be significant, the bond premium that you have to pay to get bonded is only a fraction of it. If your financial situation is stable, your bonding rates can be as low as 1% to 2.5%. A simple calculation shows that for a $20,000 bond, you might end up paying only $200 to $500.

The bond price is set whenever you apply with a surety. It examines your personal and business finances, including your personal credit score, business financial records, and assets and liquidity. The bond premium is lower if your overall profile is strong.

Our surety bond cost page is a great resource on how your bond price is determined.

Can I get bonded with bad credit?

For agricultural businesses with problematic finances, getting bonded can be a challenge. Lance Surety Bonds’ experts are aware of these difficulties, which is why we operate our Bad Credit Surety Bonds program. It’s here to help bond applicants with low credit scores, tax liens, bankruptcies, or civil judgements to obtain the bond they need.

As the risk of bonding is higher, the bond premiums are in the range of 5% and 10%. With us, however, you can rely on a top bonding rate for your situation. We foster close relations with a number of A-rated, T-listed surety companies. This allows us to shop around for the best matching bond option for you.

How can I get an agricultural bond?

Getting your agricultural bonds is not complicated. You can apply online today for a free bond quote and receive it in no time.

For an exact bond price, just complete the full application package online and attach all necessary paperwork.

Need more information? You can always refer to our How to Get Bonded page for a complete overview of the bonding process.

If you have any questions or concerns, we’re here to help. Just call us at (877) 514-5146. Lance Surety Bonds’ specialists will assist you with your application or bonding queries.

How are bond claims handled for agricultural bonds?

Unlike insurance, surety bonds do not protect your agricultural business. In fact, they work in the interest of federal and state authorities and the general public. They guarantee that your company will abide by all relevant laws and will make all due payments in relation to your business activity.

In case you break your obligations, a claim can be made on your agricultural bond. If proven, the surety will have to financially compensate the affected party. The maximum claim amount is the penal sum of your bond. Afterwards your business is liable to repay it in full.

Claims can lead to serious financial damages for your business. Besides that, getting bonded after a proven claim can be difficult, which means that your future opportunities can be jeopardized as well. The wisest course of action is to avoid situations that can lead to claims as much as possible.

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Find Your Surety Bond

We offer all types of surety bonds in all 50 states. If you can't find your bond in the table below, select "General business license or permit bond (not listed otherwise)" and start your application.
California SURETY BOND / PRODUCE DEALERS ACT Department of Food & Agriculture Apply Now
Federal Government REQUIRED OF LIVESTOCK MARKET AGENCIES, DEALERS, AN US Dept of Agriculture Apply Now
Federal Government H-2A Labor Contractors Bond U.S. Department of Labor Apply Now
Federal Government H-2 Farm Labor Contractor Bond US Deptartment of Labor Apply Now
Federal Government US DOL Farm Contractor Bond US Department of Labor Apply Now
Federal Government USDA Warehouse Operator's Bond U.S. Department of Agriculture Apply Now
Federal Government Livestock Market Agencies, Dealers, & Packers US Department of Agriculture Apply Now
Florida Agricultural Products Dealer Bond Commissioner of Agriculture Apply Now
Florida Citrus Fruit Dealer's Dept of Agricultural & Consumer Services Apply Now
Florida Agricultural Products Dealer Florida Department of Agriculture and Consumer Ser Apply Now
Florida Agricultural Products Dealer Florida Department of Agricultural Apply Now
Florida CITRUS FRUIT DEALER’S Florida Commissioner of Agriculture Apply Now
Florida Fertilizer Dealer Bond Florida Department of Agriculture and Consumer Apply Now
Georgia Warehouseman's Department of Agriculture Apply Now
Georgia Grain Dealer Commissioner of Agriculture c/o Bonding Section Apply Now
Illinois Timber Buyer IL Dept. of Natural Resources Office of Law Enfor. Apply Now
Indiana Livestock Market Facilities and Dealers Bond Indiana State Board of Health Apply Now
Minnesota Agricultural (Non-Livestock) Bond Minnesota Dept of Agriculture Apply Now
New Jersey Secretary of Agriculture Secretary of Agriculture of The State of NJ Apply Now
New York Farm Products Dealer Bond Dept of Agriculture and markets Apply Now
North Carolina Grain Dealer's Bond NC Dept. of Agriculture and Consumer Serv. Apply Now
North Dakota Roving Grain Buyer's Bond North Dakota Public Services COmmission Apply Now
North Dakota Roving Grain Buyer's Bond Public Service Commission Apply Now
Ohio Auction Firm Bond Argicultural Department Apply Now
Tennessee Pesticides Tennessee Department of Agriculture Apply Now
Tennessee Pest Control License Bond Tennessee Department of Agriculture Apply Now
Texas Child and Adult Care Food Program Bond Texas Department of Agriculture Apply Now
Washington Agricultural Dealer WA State Dept of Agriculture Apply Now
Wisconsin Public Warehouse Keeper Bond WI Department of Agriculture Apply Now

About Us

Lance Surety Bonds
Lance Surety Bond Associates, Inc. is a Pennsylvania-based surety bond agency that offers bonding at competitive rates in all 50 states. Established in 2010, our company has grown to become one of the top online bond producers in the country. Working exclusively with A-rated and T-listed bonding companies gives us the confidence to offer a 100% money-back guarantee. read more

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What Our Clients Have To Say?

  • Kimberlee Ables
    Quick response times and turn around for issuing bonds. Great customer service and very knowledgeable. We have used Lance Surety multiple times and have never been disappointed. Highly recommend them and Collette!
  • Andrew Poincot
    Long story short, these guys cut through the B.S. and get the job done. Responsiveness, excellent! Communication, excellent! Respect for their industry partners, excellent! John, Collette, Ryan, you're all-stars! Thank you!
  • Margie Martinez
    We decided for Lance Surety Bond's quote for 2 reasons; Price and Customer Service. Our Representative Ryan was just SUPERB!! [...] I highly recommend Lance Surety Bond for all your Bonding needs! I'll definitely come back for all of mine. :-) Thanks Ryan!

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