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A Texas staff leasing service, now called a professional employer organization (PEO), must show positive working capital to hold a license from the Department of Licensing and Regulation (TDLR). With more than 750 assigned employees, that figure is $100,000, and a surety bond can make up a shortfall. Ours is $1,000 flat.
















Your TDLR license file is waiting on one instrument. Here is the whole process:
Company details, the county you operate from, the effective date, and a short set of commercial questions. The only extra step is a one-time consent that authorizes a soft credit pull.
Fixed-amount license bonds like this are among the thousands of bond types that issue right after purchase. The soft pull informs approval, never the price — $1,000 either way.
TDLR wants the original bond and the original power of attorney, so we mail the wet-ink pair and email the executed copy the same day, ready to go in with your audited financial statement.
Texas licenses staff leasing services — professional employer organizations — through TDLR under Labor Code chapter 91. A PEO co-employs a client's workforce and takes over payroll, payroll taxes, benefits administration and workers' compensation, so the state conditions the license on financial strength: an applicant for an original or renewal license must show positive working capital, defined as current assets minus current liabilities under GAAP.
The threshold scales with headcount: $50,000 for fewer than 250 assigned employees, $75,000 for 250 to 750, and $100,000 for more than 750 — the tier this bond is written for. Read TDLR's rule carefully, because it changed: a surety bond, letter of credit or guaranty on its own is no longer accepted as proof of positive working capital. Every applicant must file an audited financial statement, and the bond sits alongside it to make up any shortfall.
That makes the sizing arithmetic specific. Where a company has negative working capital, TDLR requires security equal to the required positive working capital plus the amount of the negative working capital — so a large PEO $40,000 in the hole needs $140,000 of security, not $100,000. This $100,000 bond covers the base tier exactly; if your audited statement shows a deficiency on top, tell us the total and we will write that figure instead. TDLR takes the original bond and the original power of attorney, and there is no waiver provision in the statute.
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 $100,000 bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
The premium covers a one-year term from the effective date you choose; a longer term is the same price per year, chosen at checkout.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
File with TDLR. TDLR wants the original bond and the original power of attorney, so we mail the wet-ink pair and email the executed copy the same day, ready to go in with your audited financial statement.
The premium is fixed at $1,000 at the $100,000 amount for every applicant: the carrier’s rate book prices this bond by the form, not by your credit or 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.
These are the actual issuing fields, including the one-time consent that authorizes a soft credit pull. Submit once and the executed bond is generated ready to file with TDLR.
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Price and requirements checked on the carrier’s application, . Page updated .
$1,000 flat, a short application, soft pull only, and the wet-ink original in the mail the same day. Free until issued.