In short, insurance protects your business, while a surety bond protects your customers.
Cost of the bond
You will not need to pay $25,000 to get bonded. You will pay a small percentage of this amount.
The price you pay (called the bond premium) is a one-time payment (not monthly). The only time you would need to pay monthly for your surety bond is if you choose to finance your bond. Generally, financing is only available on premiums that are over $1,500.
To see what you'd pay for your bond, get a free quote below:
Once you purchase your bond, the surety bond company will mail it to you.
You will need to include the original bond in your license paperwork.
Step #3: Mail paperwork
Send your Massachusetts Dealer License Application and original Massachusetts Motor Vehicle Dealer Bond to your local municipality.
You will also need to pay a registration fee. Municipalities can set the registration price for your MA Dealer License, as long as it does not exceed $200 per year.
Step #4: Wait for a decision to be made
It could take up to 2 months for your MA Dealer License forms to be processed and approved.
The best way to avoid delays in the licensing process is to fill out your Massachusetts dealer license application completely and make sure you sign pages that require signatures.