How to Start a Bail Bond Agency
A bail bond agency works with court defendants to secure funds for their release from court (until the required appearance date). This agency is required to release the funds to the court if the defendant doesn't appear as agreed. A bail bond agency earns a percentage of the money collected, typically 10 percent. The amount he can collect from clients is regulated by individual states. But before launching a bail bond agency, it's helpful to have a few resources.
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Instructions
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Complete the required bail bond agency education. Some states require those interested in becoming licensed to operate a bail bond agency to undergo a pre-licensing course. To find out if your state has this requirement, contact your state's department of insurance.
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Secure a business license from your city. Bail bond agencies are required to have a business license in all states. Apply for a license with your city by visiting the city hall department and paying the required fees; typically about $50. Your materials should take a couple weeks to process.
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Check bail bond laws in your state regularity. Each state has a unique set of rules dictating how much these agencies can charge clients, as well as detailing court procedures. Check your state's laws regularly; a database can be found at Bail Yes (see Resources below).
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Build relationships with your local court clerks. Some court clerks keep a list of reputable bail bond agencies in the area. Contact your local court system and ask how to get your name on the list. Be prepared to provide proof of your licensing with the state.
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Invest in marketing to potential clients. Advertising to bail bond agency clients is a unique niche. Consider options such as taking out a Yellow Pages ad, community newspaper advertising and placing a free ad on CraigsLlist. Also, create a website so potential clients can learn more about your company. Check out Yahoo Small Business Hosting; they charge about $15 a month and provide easy to use website templates.
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Tips & Warnings
Renew your bail bond license with your state. Most states require bail bond agencies to renew their licenses every one to two years. To find out requirements in your state, contact the department of insurance.
Make sure your state allows bail bond agencies. There are a handful of states that outlaw this type of business. These states include Kentucky, Oregon, Wisconsin and Illinois.
