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How much does an alcohol bond cost in Iowa?
Class E liquor license bond amounts cannot be less than $5,000 and can be no more than $15,000. The amount is determined by the Iowa Alcoholic Beverage Division on a sliding scale. The cost of this bond also varies and is contingent on the applicant’s credit report. Even though these bonds are subject to underwriting, our team of experts will work hard to get you the best price for your unique credit situation. Ninety-nine percent of applicants qualify with SuretyBonds.com — no matter their credit score.
The best way to determine your surety bond cost is to call 1 (800) 308-4358 to speak with an expert. You can also request your free quote online.
You can reach SuretyBonds.com by calling 1 (800) 308-4358 or by filling out our online bond request form. Our experts are standing by to help. Let us do all the hard work for you!
Why do I need this bond?
This bond guarantees that the principal (alcohol retailer, manufacturer or distributor) will pay all of their taxes and any other fees imposed by state or local laws. If an applicant falsifies records of sale or is unable to pay taxes on previously collected funds, a claim can be made on the bond to provide reparation for damages. Under this bond, the Department of Public Safety must have access to all records, reports, audits, tax reports and all other documents pertaining to the applicant and their business.
The following facilities that sell alcohol in Iowa are required to post this bond: grocery stores, liquor stores and convenience stores.
What’s the fine print?
The principal’s county must be listed on the bond form. This bond is continuous until canceled. If the bond is to be canceled, 30 days written notice must be provided to the Alcoholic Beverages Division at its office in Ankeny, Iowa.
How to become an alcohol retailer, manufacturer or distributor in Iowa
Posting a surety bond is only one aspect of the class E liquor control licensing process. Other requirements applicants must meet include, but are not limited to:
- be of good moral character as defined by Iowa Code 123
- provide consent to members of the fire, police, and health departments and other applicable government agencies to inspect the premises
Class E liquor license fees are determined based on the following factors:
- population of the area of the location of the licensed premises
- the square footage of the licensed premises
- the location of the licensed premises