What is an Agriculture Dealer Bond and Why Do I Need it?
It is not possible for every farmer to take his or her product to market themselves. In some instances, they require an agriculture dealer to help them sell their product. The person who helps the farmer to sell their product in the local market is known as an agriculture dealer. Typically, an agriculture dealer buys the products from the farmers and resells those products in the market.
To become an agriculture dealer, it is important for you to have an agriculture dealer license and you must be bonded with an agriculture dealer bond to work legally in a state.
An agriculture bond ensures that the dealer will work according to the rules and regulations of the state. When an agriculture dealer is bonded with an agriculture bond, it means that the dealer cannot make any false statements relating to the grade, quality, and conditions of the goods provided by the farmer. The dealer can also not conduct fraudulent sales or make any false charges on the service.
To get an agriculture dealer license, it is important for you to get bonded with an agriculture bond. Some states, like Washington, have set the minimum bond amount for dealers looking for an agriculture bond.