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North Dakota Transient Merchant Bond

Price Varies / 1 year term


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How much does a North Dakota transient merchant bond cost?

The North Dakota Consumer Protection and Antitrust Division requires transient vendors to post surety bonds to legally work within the state. Bond amounts are typically determined by the amount of merchandise an applicant transfers throughout the state, so vendors should verify their required amount of bond coverage prior to beginning the bonding process.

The price you’ll pay for your bond is subject to underwriting and depends not only your required bond amount, but also on a review of your personal credit report. The best way to find out exactly how much you’ll pay is to request a free bond quote now!

Bond Type
$100-$100,000Transient Merchant Bond

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Why do I need a North Dakota transient merchant bond?

By posting a North Dakota transient merchant bond, the principal (transient merchant) promises to conduct business according to Chapter 51-04 of the North Dakota Century Code. Principals also pledge to comply with all material, oral, or written statements made by the principal or his/her agents, representatives, or auctioneers with reference to merchandise sold or offered for sale and faithfully perform all warranties made with reference to merchandise sold or offered for sale.

The bond protects the state and individuals from financial loss as a result of a merchant’s unlawful business practices.

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How to obtain a North Dakota transient merchant license

North Dakota transient merchant licenses remain valid for one year. To apply for this license, an applicant must complete a transient merchant application and sign the form in the presence of a notary public. The following documents and information must be attached to the application:

  • $200 application fee paid to the Attorney General’s Office via check or money order
  • Photocopy of applicant’s North Dakota sales tax permit
  • Transient merchant bond (SFN 60245) or cash bond (SFN 60253)
  • List of inventory and prices of all merchandise that will be sold within the state
  • List of all employees/agents/representatives doing business in the state and their personal information, along with a photocopy of their driver’s license
  • North Dakota sales tax permit, if applicable (contact the North Dakota State Tax Commissioner’s Office at (701) 328-7088 for more information)
  • Business must be registered with the North Dakota Secretary of State as a condition of licensure

For more information, visit Attorney General or the “Additional Resources” section below.

**Note: An individual or a company selling livestock or agricultural products is exempt from having to obtain a transient merchant’s license. 

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Considerations for a North Dakota transient merchant bond

North Dakota transient merchant bonds must cover the full period of the principal’s license, as well as the two years following the expiration of the license. The surety can cancel the bond at any time by giving 30 days’ written notice of cancellation by registered mail to the principal and the Attorney General.

The principal and surety cannot amend, modify, or vary any condition of the bond without prior written consent from the Attorney General.

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