Professional Solicitors Bonds
A Professional Solicitors Bond is a type of surety bond required by many states for individuals or companies that solicit funds, donations, or clients on behalf of an organization. This bond protects the public and ensures that solicitors operate ethically, honestly, and in compliance with state regulations.
Apply below, call our Commercial Department at 407-786-7770 or email us at [email protected]
Why You Need a Professional Solicitors Bond
A Professional Solicitors Bond is essential to:
- Comply with state solicitation regulations
- Protect the public from misappropriation of funds or unethical practices
- Demonstrate credibility and professionalism
- Maintain licensing or authorization to solicit
- Avoid fines, penalties, or legal action
Without a bond, solicitors may be prohibited from conducting solicitation activities legally.
Professional Solicitors Bond FAQs
These are some of the most common questions asked about Property Appraisal Bonds and how they work.
A Professional Solicitors Bond is a legal and financial guarantee that a solicitor will comply with all applicable laws and regulations while conducting solicitation activities. It protects consumers and organizations from financial loss if the solicitor engages in fraud, misrepresentation, or other prohibited conduct.
This bond is often required for solicitors representing charities, nonprofit organizations, or businesses that solicit clients or donations for commercial purposes.
The cost of a Professional Solicitors Bond is a small percentage of the bond amount, generally 1%–10% annually, depending on:
The state-required bond amount
Applicant credit and financial history
Solicitation experience and track record
Organization size and scope of fundraising activities
For example, a $25,000 bond may cost as little as $250 per year for qualified applicants.
Professional Solicitors Bonds are three-party agreements:
Principal: The solicitor or company conducting the solicitation
Obligee: The state or regulatory agency requiring the bond
Surety: The bonding company issuing the bond
If a valid claim is filed against the bond due to misrepresentation, fraud, or noncompliance, the surety pays the claim up to the bond amount. The principal is then responsible for reimbursing the surety.
The bond is typically required for:
- Individual professional solicitors
- Fundraising companies
- Nonprofit organizations that hire external solicitors
- Commercial solicitation companies
State-specific requirements dictate when a bond is needed and the bond amount required.
Call us at 407-786-7770 or email us at [email protected]