What is a Minnesota Janitorial Service Bond?
A Minnesota Janitorial Service Bond is a specific type of Business Service Bond that aims to protect the Janitorial Service Company’s clients in case one of its employees commit a misconduct such as stealing while inside the client’s home or business establishment.
While this bond remains optional, it is also often expected by many clients, and preferred by business owners because it is an inexpensive business investment and easy to procure!
What is the Janitorial Service bond amount?
It varies. The bond amount will depend on the number of employees the Janitorial Service Company has, or it can also be based on the owner’s bond amount preference.
You can secure a $5,000 surety bond for your company that has 5 or fewer employees. With the aforementioned bond amount, you can pay as little as $100 for the annual premium!
You can also opt for a higher bond amount for the same number of employees if you so wish.
What are the Janitorial Service Bond conditions?
- The key people or entities involved in the bond are the following
Principal – the Janitorial Service Company
Obligee – the Janitorial Service Company’s client
Surety – the surety bond company who will issue the bond
- The principal purchases the surety bond in order to protect the obligee in case any dishonest act happens.
- If one of the Janitorial Service Company’s employees is accused of theft, and have been found guilty of such based on a number of substantial pieces of evidence, the obligee may post a claim on the surety bond.
- The claim will be settled in accordance with the bond’s conditions, including all the other applicable industry rules.
How can I obtain this bond?
In order to secure this type of bond, the licensee or license applicant must seek the assistance of a surety bond company.
You will be asked to apply for this bond.
Once the application is received, the surety bond company will immediately process it. In our case, one of our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We will make sure that you understand all the conditions before we issue the bond.
An underwriter will then evaluate the following:
- Your financial strength
- Your business performance history
- Your credit score
Once the prequalification process is fulfilled, we will execute the bond and send it to you!
Get started on yours today giving us a call!