How to Start a Bail Bonds Business

Bail bonds agents typically act on behalf of defendants by securing the required funds for release. If the defendant doesn't appear in court, the bail bonds business is responsible for delivering the funds collected. Bails bonds businesses earn revenue by charging a fee of the total amount collected. Typically, this fee is about 10 percent and is regulated by individual states.

Instructions

1. Determine your state's pre-licencing requirements. Some states require pre-licensing education before applying for a bail license. Your state department of insurance will have a list of approved bail bonds courses in your area.

2. Apply for a business license. You will also need to apply for a business license with your city or county. You can typically find an application online; processing fees are usually $100 or less.

3. Understand your state's bail laws. Each state has different bail laws that will govern how your business operates. Bail Yes offers a database for each state's laws. Review laws often to make sure you are familiar with any changes.

4. Form relationships with your state agency and courts. Criminal defendants may receive a list of bail bonds businesses in their area from the court. Check with your state insurance department and court system to see if you can add your name to this list.

5. Invest time in marketing. Marketing to bail bonds clients is a unique challenge. You can't rely on more traditional types of marketing such as word of mouth. Consider placing ads in your local yellow pages and community newspapers and creating a business website.

Tips & Warnings

• Remember to renew your bail bonds license. Some states require that this license is renewed annually. If there is a lapse, you may face penalties and fees.

• Some states have banned bail bonding. These states include Wisconsin, Oregon, Kentucky and Illinois.

Resources

• Read this Article in Spanish
• Bail Laws by State