Farm to Table: Agriculture Dealer Surety Bonds And The Importance of Middlemen

There’s a new trend in eating, or rather, an old trend making a new appearance. The “farm-to-table” movement implies that there is nothing between the rich, loamy soil and your plate. We’re in an era of farmer’s markets and locally-sourced meats and vegetables, where people want to know that they are getting their food from an individual and not a huge corporation. This trend promotes an assumption that anything involving middlemen is wrong, but this is essentially a misunderstanding of the way the agricultural market works. The middleman, or the dealer, isn’t getting in between the producer and consumer, but making sure they come together in a way that is beneficial to both.

The middleman in this market is an agricultural dealer, someone who buys products from farmers and resells it on the market to restaurants, stores, collectives, or elsewhere. Due to the nature of agricultural work, finances can be complicated, based on assumed revenue and dependent on the how much actually sells, which can vary wildly from season to season. Surety bonds on the agricultural dealer protect the farmer and ensure that those working the land get what they have earned.

Who Is Protected by Agriculture Dealer Surety Bonds?

If you are an agricultural dealer, you are working with two unique types of clientele. The first is the producers and the second is the public to whom you sell. The bond, which you can get from a trusted and well-respected surety company, protects them both.

Farmers

Farmers trust you with their products and their expected revenue. That’s why many states like Florida require a bond for any agricultural dealer who doesn’t pay cash up front. The bond ensures that a dealer will pay the farmer once all is said and done.

Farmers also need to be protected from a loss of reputation due to mishandled, overpriced, or otherwise ruined products. After all, it is still the name of the farm, or the farming collective, reflected on the food, and if they suffer a loss of business because an agricultural dealer has misrepresented their quality through carelessness or caprice, they are entitled to recompense.

The Buying Public

When talking about food health, the public interest is paramount. Mislabeling, selling past an expiration date, or improper handling can jeopardize the health and safety of individuals.  Just as the farmer should not be liable for what happens after the food leaves their property, the public should have an avenue for compensation that doesn’t involve the farmer if the illness is the fault of the dealer.

How Bonding for Agricultural Dealers Brings Food to Our Tables

It would seem on the surface that the locally-produced, farm-to-table movement would be bad news for agricultural dealers. After all, people want their meats, veggies or grains directly from the source. In reality though, it is wonderful news. Farmers don’t always have the time to take the fruits of their labor to market, even just to a weekend farmer’s market. They require dealers to serve as the middleman, opening up new avenues of income for the qualified, trustworthy, and bonded dealer.

If you are an agricultural dealer, being bonded by a trusted surety company can help you build relationships with skilled farmers critical to the farm-to-table revival. The dealer is a vital part of this process. Make sure you have a seat at the table.

As an agricultural dealer, you need the backing of a strong Surety company with a reputation for reliability. Contact Surety1 today for a quick and fair bonding process that’ll get you to work.