Wholesale wine distributor bond cost
The Commonwealth of Virginia’s Department of Alcoholic Beverage Control Board requires individual, partnership and corporation wholesale wine distributors to post surety bonds to legally conduct business. The required bond amount is based on the applicant’s anticipated tax liability for the year, and the penal sum of the bond cannot exceed $10,000.
These bonds are subject to underwriting, which means the price you’ll pay depends not only on your required amount of bond coverage but also on a review of your personal credit report.Give us a call at 888.610.4474 or submit a bond request to begin our fast and easy bonding process.
Why this bond
By posting a Virginia wholesale wine distributor surety bond, the principal (distributor) guarantees that he or she will pay all taxes and fees imposed by state or local laws. If the distributor commits fraud or other damaging acts, such as falsifying records of sale or failing to pay requisite taxes on prior sales, this bond ensures that consumers and the state will be protected from any financial losses. The surety will initially compensate harmed parties up to the full bond amount, but the principal must reimburse the surety for all monies paid out.
Wholesale wine distributor surety bonds in Virginia remain continuous until canceled. The bond can be canceled by the principal or the surety by giving written notice of cancellation to the board at least 30 days prior to the effective termination date.
The secretary will periodically review the sufficiency of the bonds posted by wholesalers and importers and will increase the required amount of the bond when the current amount no longer covers the wholesaler’s or importer’s anticipated tax liability.
Apply for your surety bond
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