To contract for gas, heating, ventilation, cooling, air conditioning, fuel-burning, or refrigeration work in Minnesota, you must file a $25,000 mechanical bond with the Department of Labor and Industry under Minn. Stat. 326B.197. Ours is $750 flat — 3% of the bond amount. The application is five minutes with no credit check on this bond.
















The mechanical bond is about as simple as surety gets. Here's the entire process:
Business details and an effective date. That is the application — no financials, no credit check section on this bond.
Fixed-amount bonds like this are among the many that issue right after purchase. At most, 1–2 business days.
Your executed bond arrives by email, ready to file with DLI on the form it approves. Wet-ink original mailed on request.
$25,000 bond × 3% = $750, one-time per term. Fixed amount, fixed price, multi-year if you want it. (DLI filings run on a two-year cycle — a 2-year term lines up.)
Minnesota does not issue a statewide mechanical contractor license, but under Minn. Stat. 326B.197 anyone who contracts to do gas, heating, ventilation, cooling, air conditioning, fuel-burning, or refrigeration work must give and maintain a $25,000 bond with the State, filed with the Department of Labor and Industry, Construction Codes and Licensing Division.
The bond is for the benefit of persons suffering financial loss because of the contractor's failure to comply with the State Mechanical Code. A party harmed by non-compliant mechanical work can recover against the bond, up to the $25,000 penal sum.
The DLI bond filing is generally valid for two years (a $100 filing fee at DLI, separate from the surety premium). It is not insurance for you — if the surety pays a claim, you repay the surety. Contractors who work to code treat the bond as a cost of doing business, not a risk.
These are the actual issuing fields — no credit check section, because this bond doesn't have one.
Start the application →If yours isn't here, the bond team can usually answer within the hour.
$750 flat, five-minute application, bond often issued in the same sitting. Free until issued.