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Employment agency bond cost

In order to receive a license to operate a private employment agency, applicants must file a $5,000 surety bond with the Labor Department Office of the Industrial Commission of Arizona. Because these bonds are not subject to underwriting, We can offers this bond for just $100! For those who do not wish to renew their bonds annually, 2 and 3 years terms are also available for $175 and $250.

Contact one of our surety specialists to receive a free, personalized bond quote within 1 business day of applying. Call 888.610.4474, or click here, to begin the bonding process.


Why this bond

Arizona employment agencies must provide the Labor Department with a bond in order to be in compliance with the provisions established by Arizona Revised Statutes 23-521 and Arizona Administrative Rules R20-5-301. The bond ensures that no employment agency or agent commits fraud, misrepresentations, makes false statements, or commits other unauthorized acts. In the event that a claim is made against the bond, the surety will pay out up to the full $5,000 with the expectation that the principal will reimburse them for any money paid out to settle the claim.

Although longer terms are an option, employment agency bonds are typically issued for 1-year terms in order to coincide with the period during which the license is active, which is limited to 1 year. The bond may be cancelled in one of two ways— the first being that the surety provides notice to the Industrial Commission of Arizona 30 days in advance. The second way that the bond may be cancelled is if the state of Arizona, on behalf of the Industrial Commission, cancels the bond by providing the surety and principal with thirty days’ written notice.

Become an employment agency

Purchasing a bond is just one part of the application process to become an employment agency. Those wishing to obtain a license must also complete the following:

  • Submit to a background check by the State Department of Labor
  • Complete an application and supplemental application
  • Provide business and personal financials
  • Pass a written examination
  • Pay an initial fee as well as an annual fee each year that the license is renewed

Apply for your surety bond

Get a FREE Arizona home inspector bond Quote Today! Click here to begin


Additional Information