Surety Bonds in Las Vegas

Las Vegas surety bonds may not be the first thing that comes to mind when thinking about the City of Light. However, they are a common legal requirement for certain Vegas careers, construction projects, and court hearings. 

While there are close to a hundred different types of Vegas and Nevada surety bonds required for various reasons, they all work the same. 

A surety bond is a form of risk management that ensures that an individual or company (the principal) is financially liable in a variety of situations. Each bond involves three parties:

Principal: the person that needs to purchase the bond to get bonded (ex. you).

Obligee: the entity requiring the principal to get bonded (ex. a government organization, the State of Nevada, etc.).

Surety: the party that backs the bond financially (ex. a bonding company)

Example

A Vegas construction company (principal) fails to pay a supplier for the timber they ordered to build a new public arena. Instead of being out their goods and agreed upon payment, the supplier can make a claim against the construction company’s supply bond. If the claim is deemed valid, the surety pays out to the supplier—paying for the goods and any financial damages. The principal is then on the hook to pay the surety back in full, plus any legal fees. Additionally, this bond claim will make obtaining any future surety bonds much more difficult. 

In short, a surety bond is a legal requirement that you may need in order to partake in a specific activity, but you hope never to use it. Fortunately, you only need to get bonded if an obligee asks you to.

In Nevada, there are nearly a hundred types of surety bonds—many of which are specifically required in Las Vegas. Most of these surety bonds can be categorized into one of three groups.

License and Permit Bonds: A bond required to legally work in a profession or get a business license in Vegas. These commercial bonds commonly needed by business owners and individuals alike include auto dealer bonds, freight broker bonds, contractor license bonds, mortgage broker bonds, etc. 

Contractor Bonds: A bond required to undertake or bid on specific contracting jobs in Vegas. Construction companies and tradespeople may be required to get bid bonds, payment bonds, performance bonds, supply bonds, contract bonds, etc. 

Court Bonds: A bond required to partake in a Vegas court proceeding. These commonly include fiduciary bonds, probate bonds, guardian bonds, etc. 

Note that fidelity bonds are also common in Las Vegas, NV. However, fidelity bonds don’t operate like the bonds mentioned above—they are voluntary and act as a type of business insurance. Fidelity bonds protect a business and its employees from financial loss due to employee dishonesty. 

Nevada Contractor License Bond

A prerequisite to getting a Nevada contractor license. This bond heavily varies from $1,000 to $500,000. It is based on the type of license you need, the monetary limit granted for projects, and financial projections.  

Required by: Nevada State Contractors Board

Nevada Auto Dealer License Bond

The application to obtain a Nevada auto dealer license requires both liability insurance and an auto dealer bond. 

Required by: State of Nevada

Nevada Freight Broker Bond

All freight brokers in Nevada must obtain a freight broker bond, also known as a BMC-84 bond, to get their freight broker license. This license allows a freight broker to operate in the state of Nevada.

Required by: Federal Motor Carrier Safety Administration (FMCSA) 

Nevada Mortgage Broker Bond

A mortgage broker bond is required to obtain a mortgage broker license in Nevada. The bond amount varies based on the monetary amount of the loans a mortgage broker arranges per year. 

Required by: The Nevada Department of Business and Industry Division of Mortgage Lending (MLD)

Nevada Sales Tax Bond

Businesses in Nevada that charge sales tax are often required to get a Nevada sales tax bond to get their permit. This bond ensures the principal remits sales tax and pays any associated fees and interest. 

Required by: State of Nevada 

Nevada Document Preparation Services Bond

This bond is required for individuals and business services performing document preparation services in Nevada. The amount for a documentation preparation services bond varies—based on how many registrants an individual or business employs to perform document preparation services.

Required by: Nevada Secretary of State

1. Find a Reputable Surety

You will need to find a surety agency or insurance company that:

• Is licensed to offer surety bonds in the State of Nevada.
• Offers the surety bond you need.
• Is reputable. 

For more information, see our guide: How to Find a Surety Bond Provider.

2. Fill Out a Bond Application

The bond process starts with filling out an application for your required bond. Many sureties offer a quick and easy online bond application that provides a free bond quote. You can often get bonded in a day or so with this online bond form. 

3. Sign the Bond Agreement & Pay

Sign the agreement, email or fax it back to your bond provider, and pay your invoice online. Once everything is processed, you will receive an email copy of the surety bond. The original bond will be sent to you in the mail.

For those with good credit, most Vegas surety bonds cost 1% to 5% of the total bond amount. This means that to secure a $40,000 surety bond, you pay a bond premium (flat rate) of $400 - $2,000.

Yes, you can get bonded in Las Vegas with bad credit. However, some types of surety bonds can’t be obtained with severe credit issues. These include many contractor bonds, such as bid bonds. Contrastingly, license and permit bonds are often available to those with credit issues in exchange for a higher bond premium. In addition, surety bond companies may request supplementary documentation before bonding those with bad credit.

See our guide to Bad Credit Surety Bonds for more information. 

JW Surety Bonds maintains the best service in the industry. We are conveniently licensed in all 50 states and with each bond we underwrite, we offer:

• Low bonding rates. The high volume of bonds we underwrite combined with our in-house underwriting process allows us to get our clients bonded at the best rate possible.  
• Bond advocates assigned to all bond claim cases to guide and protect. All cases undergo a thorough investigation process, so you don’t pay for illegitimate claims.
• Quick bonding. We want to make sure you don’t just get the right surety bond, but that you get it fast. This is why we offer a free estimate tool for instant quotes and have bond specialists available by phone at (888) 592-6631.