The Texas Secretary of State requires the Texas Telephone Solicitation Surety Bond.
The Secretary of State requires the Texas Telephone Solicitation Surety Bond to be in the amount of $10,000. However, the bond will not cost that much to obtain. The cost of this bond starts at $150 for the year.
The bond states that the bond holder shall conduct the business in accordance with the provisions of the Texas Business and Commerce Code. In order to properly register as a telephone solicitor, this bond must be on file with the Secretary of State. This bond must be continuous and remain valid, otherwise registration renewal could be denied.
This bond must be payable to the state to ensure that the people who are wronged or financially harmed by your company are properly compensated. This bond does not act as insurance. Surety bonds vary from insurance because if a claim is filed on the bond, your company has to pay the surety company back where they would not have to with an insurance company.