Bonding your business is a promise to your customer that the job will get done as promised, therefore adding credibility to your name. Surety bonds come in a variety of forms to match the unique needs of your industry, particularly construction and financial. Essentially, a bond is an agreement between a surety company and the principal that is designed to protect the owner of the project, or the customer. If the principal fails to perform the job as agreed upon and cannot afford to fix the mistake(s), the surety company steps in to assist.
Many state laws and statutes require businesses to obtain bonds before work can begin. To meet these needs, the following bonds are available, but not limited to:
Bond your business today. Call McFarlin Insurance Agency at (410) 312-7800 for more information on Maryland business bonds.
- Contractor license bond: Guarantees that a bonded contractor and his or her crew will comply with required construction codes in order to complete a project.
- License and permit bond: Held by local governments in order to issue licenses and permits to businesses, which include contractor license bonds, HVAC commercial bonds, electrician bonds, plumber bonds and non-resident license bonds.
- Auto dealer bond: Guarantees that the dealer complies with the law. This umbrella includes motorcycle dealer bonds, boat dealer bonds, mobile home dealer bonds, vessel dealer bonds and snowmobile dealer bonds.
- Fuel tax bond: Guarantees that fuel sellers will pay sufficient taxes.
- Warehouse bond: Guarantees that goods stored in a warehouse will be delivered as agreed upon after presentation of a receipt.
- Agricultural dealer bond: Required by businesses that buy and resell agriculture products. This umbrella includes hay dealer bonds, milk dealer bonds, grain dealer bonds, livestock dealer bonds and produce dealer bonds.
- Liquor bond: Guarantees compliance with laws involving the manufacturing, warehousing and sale of liquor.
- Utility bond: Guarantees the payment of utility bills.
- Lease bond: Guarantees compliance with lease requirements, which include rent, royalties, abandonment, environmental damage and other lease obligations.