Education Center

Learn the basics of surety bonds, how they work, and what you need to get started. This section is designed to give you clear, straightforward answers—without unnecessary complexity.

What Is a Surety Bond?

A surety bond is a financial guarantee that a business or individual will meet specific obligations required by law or contract.

It involves three parties:

• Principal – the business or individual

• Obligee – the entity requiring the bond

• Surety – the company backing the bond

If obligations are not met, a claim can be filed against the bond.

Types of Surety Bonds

Commercial Bonds

Required for licensing and compliance.
Examples: auto dealer bonds, contractor license bonds, freight broker bonds.

Contract Bonds

Used in construction projects.
Examples: bid bonds, performance bonds, payment bonds.

Court Bonds

Required in legal proceedings.
Examples: probate bonds, appeal bonds, guardianship bonds.

How Surety Bonds Work

A bond guarantees performance or compliance. If the principal fails to meet their obligation:

1. A claim is filed

2. The surety may pay damages

3. The principal is responsible for reimbursing the surety

How Much Do Bonds Cost?

Most bonds cost 1%–3% of the total bond amount for qualified applicants.

Pricing depends on:

• Credit score

• Bond type

• Financial strength

• Experience

Some bonds are issued instantly with fixed pricing.

Do You Need a Bond?

You may need a bond if you:

• Are applying for a business license

• Are bidding on a construction project

• Are required by a court

• Handle client funds or regulated services

Requirements vary by state and industry.

How to Get a Bond

1. Identify your bond requirement

2. Complete a short application

3. Receive a quote

4. Purchase and receive your bond

Many bonds can be issued the same day.

Why Choose Junno LLC

• Fast approvals

• Competitive rates

• Simple application process

• Support across all 50 states

Contact Junno LLC

Have questions or ready to apply:

Junno LLC
📞 (762) 499-0237