South Dakota grain buyer bonds.
From $250.
A licensed South Dakota grain buyer files a surety bond with the Public Utilities Commission under SDCL chapter 49-45. The amount is at least $50,000 and scales with your purchase volume. Pricing is set at 0.5% of the bond amount.
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How much does a South Dakota grain buyer bond cost?
0.5% of the bond amount, from $250 at the $50,000 minimum. Enter your amount in the calculator for the exact price.
Apply to issued in one sitting.
Enter your amount, consent to a soft pull, and we issue the bond. Here is the whole thing:
Apply online
Your business details, the bond amount the PUC requires, and the effective date — plus a one-time consent to a soft credit pull.
Reviewed & approved
Larger agricultural bonds get a quick underwriting review; if anything is needed you hear from an underwriter within 48 hours. A soft credit check may run — it never affects your credit score.
File with the PUC
Pay online and receive the executed bond, ready to file with your grain buyer license at the Public Utilities Commission. Wet-ink originals mailed on request.
What it is and who needs it.
What the grain buyer bond covers
South Dakota licenses grain buyers through the Public Utilities Commission’s Grain Warehouse Program under SDCL chapter 49-45. A grain buyer purchases grain from producers, and the state requires a surety bond standing behind timely payment for the grain bought.
The bond is a producer-protection guarantee: it runs to the PUC for the benefit of sellers, so that if a buyer fails to pay for grain it purchased, harmed producers can recover against the bond. If the surety pays a claim, you repay the surety — it is not insurance for you.
The amount is a minimum of $50,000, and is increased based on the dollar amount of your grain purchases — commonly tied to the average of your purchases over a multi-year period. The bond term aligns with the PUC’s licensing year. Enter the amount the PUC sets for you and your exact price — from $250 — appears at the application.
You need this bond if you’re
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The premium covers a one-year term from the effective date you choose.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
File with the PUC. Pay online and receive the executed bond, ready to file with your grain buyer license at the Public Utilities Commission. Wet-ink originals mailed on request.
What sets the price
The premium is 0.5% of the bond amount, $100 minimum: the amount the obligee sets moves the price, not your business profile.
One soft credit pull, never a hard inquiry, and it never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application: approved instantly, or after a quick credit check.
These are the actual underwriting fields, including a one-time consent to a soft credit pull. Enter the amount the PUC requires and submit.
Start the application →Common questions.
Other South Dakota bonds.
The same bond in nearby states.
Price and requirements checked on the carrier’s application, . Page updated .
Grain buyer bond, issued fast.
Pricing from $250. Enter the amount the PUC requires and see your price before you commit.