What is a citrus fruit dealer bond?
A citrus fruit dealer bond guarantees that dealers follow all laws and regulations regarding buying, handling, storing, and selling citrus fruit. The Florida Department of Agriculture and Consumer Services (FDACS) requires this bond in Florida as part of the citrus fruit dealer licensing process. The bond holds citrus fruit dealers accountable to Chapter 601 of the Florida Statutes.
Who needs a citrus fruit dealer’s license?
If you want to become a licensed citrus fruit dealer in Florida (profit from Florida citrus in any way other than selling it at retail), you need a citrus fruit dealer’s license. If you’re a non-citrus fruit dealer, you’ll need an agricultural products dealer license instead.
No person shall act as a citrus fruit dealer in the state without first having obtained the issuance of a current license for each shipping season, or portion thereof.
Get Your Citrus Fruit Dealer Bond:
- A citrus fruit dealer bond guarantees that dealers follow the laws and regulations regarding buying, handling, storing, and selling citrus fruit.
- If you want to become a licensed citrus fruit dealer in Florida, you need a citrus fruit dealer’s license.
- Bonds expire each year on July 31 and must be renewed annually.
- The surety bond amount you need will depend on how many boxes of fruit are sold or inspected.
How does a Florida citrus fruit dealer bond work?
This bond helps ensure that citrus fruit dealers in Florida honor their contracts and comply with Florida Statutes when accounting for sales. The surety bond agreement is between these three parties:
- Surety: Financial institution that underwrites and issues the bond
- Obligee: Commissioner of Agriculture that requires the bond
- Principal: Citrus fruit dealer that posts the bond
If a fruit dealer commits a violation and another dealer or party suffers financial loss, the surety can step in to reimburse the harmed party. The fruit dealer will then owe the surety for the damages.
To avoid claims against your bond, ensure you comply with Section 601 of the Florida Statutes. If someone files a complaint, you may have an opportunity to make good on it or respond to the complaint if you’ve done nothing wrong.
These bonds expire each year on July 31. (The citrus fruit season in Florida is August 1 – July 31.) To keep your license active, you must renew your bond annually.
How much does a Florida citrus fruit dealer bond cost?
The surety bond amount you need will depend on how many boxes of fruit are sold or inspected. The amount can vary greatly – from $1,000 to $100,000. The bond amount is how much protection you offer potential claimants. Before applying for your bond, verify the amount you need with the FDACS.
If you have a great credit score, you could pay as low as 1-3% of the bond amount yearly. If your score is low, you may pay a premium of up to 10%. Most applicants – regardless of their financial history and credit score – can obtain the bond they need.
Get Your Florida Citrus Fruit Dealer Bond
ZipBonds offers the fastest and most secure option for getting the license and permit bonds you need. Our all-digital platform is intuitive and straightforward. Apply online or call us at 888.435.4191 to speak with an agent directly. Many of our bonds can be processed and issued immediately online.
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”
Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.