For outdoor advertising companies, this surety bond must be purchased in some states before the company is able to install signage.

1. Outdoor
Advertising
Bond.
YO U R U LT I M AT E G U I D E
PRESENTED BY

2. What is an Outdoor
Advertising Bond?
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Billboard advertising companies are often required to purchase a bond for outdoor advertising in order to guarantee to
the state that they will follow all laws and regulations in regards to:
PLACEMENT, CONSTRUCTION, AND REMOVALOF OUTDOOR SIGNS SUCH AS BILLBOARDS
If the company fails to meet the requirements, they may be subject to fines and penalties from the state.
also called “Sign Permit Bond”
or “Sign Contractor Bond”

3. 3 Parties Involved:
An outdoor advertising bond works in the same way as any other surety bond.
THE OBLIGEE
The state agency that
requires you to purchase the
outdoor advertising bond.
THE PRINCIPAL
The person or company that
is required to obtain the
outdoor advertising bond.
THE SURETY
The bonding agency that
provides the financial
backing for the bond.

4. How does it work?
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If the state believes that you failed to meet all of the requirements stated in the bond, they can file a claim
with the surety agency.
An investigation is done, and if it is found to be valid, payment is made to the obligee.
You will be responsible for reimbursing the surety agency for any payments that are made from the bond.

5. SOURCE:
https://suretybondauthority.com/license-bonds/
www.suretybondauthority.com
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