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New Jersey Health Club Bond

Price Varies / 1 year term


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How much does a health club bond cost in New Jersey?

The cost of a New Jersey health club bond is based on the amount of the bond required by the Division of Consumer Affairs. Highly qualified applicants are typically approved to pay just 1% of the total bond amount, meaning a $50,000 health club bond would cost $500 for the term of the bond.

The required bond must be equal to 10% of the club’s gross income during the last fiscal year and must be between $25,000 and $50,000. If health club services are sold prior to the opening of a health club facility, the bond amount will be $50,000. Once the facility opens, the amount of the bond will be adjusted accordingly.

Bond Type
$25,000-$50,000Health Club Bond

Why do I need this bond?

New Jersey health club bonds ensure that the principal (health club) will honestly and faithfully comply with the rules stated in their customer contracts and with all of the provisions found in the New Jersey Statutes Annotated, specifically Title 56:8-42. If a health club goes bankrupt or ceases to operate unexpectedly, the surety bond will protect members who have prepaid membership dues from financial loss.

Need more specifics about this surety bond? Fill out our online bond request form to connect with a health club bond specialist. We can answer your questions and provide a personalized bond quote within 1 business day.

What’s the fine print?

All health clubs must be registered with the Director of the Division of Consumer Affairs before posting a bond. This bond will remain in effect until canceled by the surety, which must provide 60 days’ notice to the Director of the Division of Consumer Affairs prior to the proposed cancellation date.

Health club facilities can’t offer their customers contracts that last more than 3 years or force clients to pay down payment charges that exceed 25% of the contract price. A customer must be given 3 business days to cancel his or her health club contract.

How to become a health club in New Jersey

Prior to conducting business, all health club operators must register their health club with the Division of Consumer Affairs. Applicants will be responsible for paying a $300 registration fee. All registrations expire on February 10th of the 2nd year. If a health club operator runs more than one health club facility, each location of business must be registered separately.

Ready to get started?

Call 1 (800) 308-4358 to talk with a Surety Expert