Tennessee commodity dealer & warehouse bonds.
From $100.
Tennessee licenses grain and commodity dealers and warehouses through the Department of Agriculture and conditions the license on a surety bond. The amount is set by the commissioner — a $20,000 minimum — and premiums start from $100 via a soft credit check that never affects your score.
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How much does a Tennessee commodity dealer & warehouse bond cost?
0.5% of the bond amount, from $100. Enter your amount in the calculator for the exact price.
Three steps. One sitting.
Enter your amount, consent to a soft pull, and file with the Department of Agriculture. Here is the whole thing:
Apply online
Your business details, the bond amount the commissioner set, and the effective date — that is the application, plus a one-time soft-pull consent.
Reviewed & approved
Most clear quickly; larger commodity bonds may get a brief underwriter review. One soft credit pull, never a hard inquiry, and it never affects your score.
File with the Department of Agriculture
Receive the executed bond ready to file with your commodity dealer or warehouse license. Wet-ink originals mailed whenever the state insists.
What it is and who needs it.
What the commodity bond actually covers
Tennessee’s Commodity Dealer and Warehouse Law (T.C.A. § 43-32-101 et seq.) regulates businesses that buy grain and other commodities from producers or store them for hire. The Department of Agriculture conditions the license on a surety bond that backs payment and delivery to producers.
The bond is the mechanism the commissioner uses if a dealer defaults on payment to producers for commodities purchased, or a warehouse fails to deliver value for commodities stored. Acting as trustee of the bond, the commissioner calls on it and distributes the proceeds to the harmed producers.
The amount is set by the commissioner — a $20,000 minimum, scaling with volume up to a $500,000 cap — and may be waived for a business whose net worth is at least three times the required amount. Whatever amount applies, premiums start from $100 via a soft credit check.
You need this bond if you are
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 Department of Agriculture. Receive the executed bond ready to file with your commodity dealer or warehouse license. Wet-ink originals mailed whenever the state insists.
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, one soft pull.
Submit the application with the bond amount the commissioner set, including a one-time consent to a possible soft credit check — your bond is typically issued within 1–2 business days.
Start the application →Common questions.
Other Tennessee bonds.
Price and requirements checked on the carrier’s application, . Page updated .
Commodity bond, issued this week.
Premiums from $100, soft pull only. Enter the commissioner’s amount and file.