How much does it typically cost to get bonded if you are self-employed?
I would like to start a small pet and plant sitting business and need to get a surety bond. If the only employee is myself and I don't plan on doing huge amounts of business, how much, on average, could I expect to pay? Anyone done this?
(An indemnity bond only.)
Wow, no need to get nasty. I obviously don't know exactly what the whole process entails, which is why I was asking on yahoo answers. I am only in the very informal planning stages of this project and was not planning on solely relying on advice received on this website, (who would?) In the future, please try to answer people's questions courteously. Sorry if I misinterpreted your tone, but your response comes off as haughty, rude and intentionally confusing.
Oh, don't let the person get under your skin. I have a pet sitting business that I do on the side. I am not bonded because I do not have insurance. Bonding covers theft and damage that your employee might cause in someone's else's home. You do need pet sitting insurance though and just keep the plant sitting business quiet. You probably won't get a job just for plant sitting but you will get a pet sitting job that might require a little bit of watering. Stick with the pet/house sitting business. You are going to need insurance though. The best and cheapest is Pet Sitters Associate, LLC. Make sure you put the LLC in as there are two companies that offer insurance and this one is the least expensive. It is $164.00 per year and covers everything you wil need. Don't go without it. Pets can get hurt, injured, keys to the house can get lost, etc., and this insurance covers it all.
Source(s):5 years ago
An indemnity bond. What EXACTLY do you want that indemnity bond to do?
I think you don't realize what a bond is. It's a guarantee, from an insurance company, that you will or will not do something, to ONE person/entity. It's only good for ONE person - so you'd need one for each client. It doesn't transfer from one client to another.
Insurance companies don't issue unsecured bonds unless they are pretty darned sure it won't be invoked. It's not like liability insurance, the claims rate on bonds is very, very low - because if they think a bond might be invoked, they refuse to write it.
Having said that - if you're looking for a $1,000 bond against theft, it's probably going to cost you $250. Per client (obligee). If you're looking for a $1,000 bond against breakage, probably the same $250. In both cases, you'll have to guarantee the bond, most likely, with the $1,000 in cash, or irrevocable letter of credit from your bank, or some other collateral. The penalty amount is set, UP FRONT. Once a bond pays out, it's done - it's a one time deal. You can't ever put in more than one claim.
I'm not sure what exactly you're trying to achieve with the bond . . .but you're probably better off describing what you want it to achieve, THEN asking your local agent what product best fits that description.
Source(s)by mbrcatz - 5 years ago
Sorry Jen S. I answered you earlier under a different name and said that I'm not bonded because I don't have "insurance". I meant to say that I don't have employees.by enjoy - 5 years ago
I and my friend are wanting to start our own house cleaning business,we are wanting to know if we need to be bonded and also lisence.. what all do we need to have to start our small business.by Latisha lin - 4 months ago