Michigan Cosmetology School Bond Guide
All schools of cosmetology in Michigan need to file a $10,000 bond to get a license. Use this guide to learn more about the process.
Bond Overview
- Purpose: To protect students’ tuition payments
- Who Needs It: All Michigan cosmetology schools
- Regulating Body: The Michigan Department of Licensing and Regulatory Affairs
- Required Amount: $10,000
- Premium Rates: Credit-based, starting at 1%
What Is a Michigan School of Cosmetology Bond?
A Michigan school of cosmetology bond ensures that schools and instructors follow all laws and regulations. It also acts as protection for prepaid tuition funds. If the school stops operations, tuition payers can get refunded by filing bond claims.
How Much Do Bonds Cost for Cosmetology Schools in Michigan?
In Michigan, every school needs a $10,000 school of cosmetology bond to get licensed. Premium rates start at 0.75% of the bond amount. If you have strong credit, you could pay only $75–100.
These bonds are underwritten, so prices vary depending on risk factors, primarily credit score. Apply for your free, personalized quote now.
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a Michigan School of Cosmetology Bond Work?
A Michigan school of cosmetology bond binds the following three parties in a legal agreement:
- Principal: The cosmetology school filing the bond
- Obligee: The Michigan Department of Licensing and Regulatory Affairs requiring the bond
- Surety: The provider issuing the bond
If the school closes or otherwise violates the bond terms, the surety will pay valid claims up to $10,000. Ultimately, it will be up to you, the principal, to reimburse the surety provider.
Who Needs a School of Cosmetology Bond?
A Michigan school of cosmetology bond is required for all institutions that offer one or more cosmetology courses. For every course offered, there must be at least one licensed cosmetologist with three or more years of experience in the subject.
Filing this bond is part of the licensing process to legally operate.
How Do I Get a School of Cosmetology Bond in Michigan?
SuretyBonds.com provides the fastest and easiest way to get a cosmetology school bond. Just follow these three simple steps:
- Apply: Submit a free quote request online
- Sign: Complete the Docusign for your indemnity agreement
- Purchase: Checkout online or over the phone
Once your bond is processed, we’ll email your official bond documentation. Include your signed document in your application packet and submit it to the Department of Licensing and Regulatory Affairs.
Can I Get Bonded With Bad Credit?
Yes, you may be able to get this bond even with bad credit. Request a quote to see if you're eligible. Visit our bad credit bonding program page to learn more.
How Do I Renew My School of Cosmetology Bond?
A Michigan school of cosmetology bond has a one-year term and continues until canceled. A SuretyBonds.com representative will send you an invoice before your bond expires. Just pay the invoice to extend your term for another year.
The surety can cancel this bond at any time by providing 90-day’s written notice to the obligee.
How to Open a School of Cosmetology in Michigan
To start a school of cosmetology, you need to first be a licensed cosmetologist. If you are eligible, gather the following materials to complete your Michigan cosmetology school business license application:
- Permanent business address
- Days and hours of operation
- Date the school will be ready for inspection
- Statement that the school will remain a place for technical training
- Drawing or diagram of the school
- Proof of a $10,000 surety bond
You will not be able to begin operations until officials complete an inspection and issue a license.
How Long Will it Take for My Application to be Approved?
It usually takes 6–8 weeks for application approval. Once approved, your license remains active for 2 years. You can renew your license up to 60 days after its expiration date. After that 60 day period, you will have to apply for a new license.
