Florida Agricultural Products Dealers: An EZ Guide to Surety Bonds

There are a few unique aspects when it comes to operating as an Agricultural Products Dealer in Florida. One of which, is that you’ll need a Florida surety bond. Lucky for you, we are here to help. So, let’s get into it.

Farmers market stand with fresh produce

A Surety Bond…What’s that?

A surety bond ensures the Obligee, that the Principal (you) will do business according to the regulations associated with your license. If you fail to do so, someone can file a claim against you. If deemed valid, the Surety Company will pay out the claim up to the bond amount and seek repayment from the Principal. 

The Obligee is who requires you to get a bond, in this case the Florida Department of Agriculture and Consumer Services. You need the surety bond to activate your license.

The question is…

Does Every Dealer Need to be Licensed and Bonded?

As stated per the Florida Department of Agriculture and Consumer Services :

Under the Florida Agricultural License and Bond Law, any person, partnership or corporation doing business in Florida by buying, receiving, soliciting, handling or negotiating agricultural products from Florida producers or their agents for resale or processing for sale must be licensed by the Florida Department of Agriculture and Consumer Services (FDACS) unless exempt.

Furthermore, the Florida Agricultural License and Bond Law covers all agricultural products grown in Florida­­­­—aside from tobacco, sugarcane, and citrus (excluding limes).

So, to be a dealer in agricultural products you’ll need to have both, a license and a bond. But wait! The FDACS mentioned exemptions…

Are You Exempt?

There are four cases of exemptions listed on the FDACS website:

  1. If you are a farmer (or a group of farmers) selling agricultural products that you have grown yourselves.
  2. Dealers in agricultural products who make purchases with U.S. cash currency or cash equivalent. Cash equivalent includes; debit/credit cards, money orders, cashier’s checks, wire transfers, and electronic funds transfers.
  3. Dealers in agricultural products that operate as a bonded licensee under the federal Packers and Stockyards Act.
  4. Dealers who purchase less than $1,000 worth of agricultural products from Florida producers (or their agents/representatives) during the peak month of such purchases within the calendar year.

Assuming that you’re continuing to read this because you are not exempt..

Farmers market stand with berry baskets

What More Do You Need to Know?

The Florida Agricultural Products Dealer Bond is valid for a one-year term. The bond amount varies, depending on the volume of business you have during your most fruitful month… pun intended. This bond amount can reach upwards of $100,000, even more in some cases. 

Fortunately, calculating the bond amount you need is easy!

Simply follow the instructions in section A of the 3rd page on the application form for the Agricultural Product Dealers License. Once you know your required bond amount, you can get your bond. 

Where to get an Agricultural Products Dealer Bond?

EZsuretybonds.com has a simple application process that you can complete in minutes. If you need a bond amount of $100,000 or less, apply here. If your required bond amount is greater than $100,000, click here.

How Much Will It Cost?

A majority of surety bond premiums are based on personal credit. Don’t let that scare you though. EZsuretybonds.com has helped many people with, let’s say less than ideal credit, get their needed bonds. Apply anyway and we’ll do our best to get you approved, find you a reasonable quote, and contact you within one business day.

We offer the Agricultural Products Dealer Bond ($100,000 or less) starting at only $100, plus shipping costs and fees. 

Do you need a bond amount greater than $100,000? We offer this bond starting at $1,000 in addition to shipping costs and fees.

That’s All There is to It

Our goal is to make the process of obtaining a surety bond as easy and affordable as possible. As long as you know the bond type and amount you need, we’ll be here to help you with all your bonding needs. If you have any more questions, please visit our FAQ page.