Get started →Browse RFPs

Not in New Jersey? Browse bonds by state

New Jersey dairy dealer bonds.
From $100.

New Jersey licenses dealers who buy raw milk or cream from producers on credit, and conditions the license on a surety bond filed with the Department of Agriculture under N.J.S.A. 4:12A-1 et seq. The bond protects dairy producers against non-payment. Pricing is 1% of the bond amount, with a $100 minimum.

✓
Required for NJ milk and cream dealers buying on credit under N.J.S.A. 4:12A-1 et seq.
✓
Amount sized to 1.5× your maximum monthly milk purchases by Department of Agriculture rule
✓
From $100 — enter your required amount and see your exact price at application
1% rate$100 minimum for smaller bondsNo SSNin the applicationFastinstant for most applicants
Trusted by industry leaders
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
How it works

Three steps. One sitting.

No underwriting queue for the standard dairy dealer bond — enter your amount, pay, and file with the Department of Agriculture. Here is the whole thing:

TODAY · ONLINE

Apply online

Your business details, the bond amount your license requires, and the effective date — that is the entire application.

INSTANTLY

Issued on the spot

No credit fields to fill out and no waiting — the executed bond is generated as soon as you pay. Larger amounts may get a quick soft-pull review that never affects your credit score.

SAME DAY

File with the Department of Agriculture

Submit the executed bond with your milk-dealer license application to the Division of Marketing and Development. Wet-ink originals mailed on request.

About this bond

What it is and who needs it.

What the dairy dealer bond actually covers

Like its produce rules, New Jersey protects dairy farmers from non-payment. Under N.J.S.A. 4:12A-1 et seq., dealers who buy raw milk or cream from producers on credit must hold a milk-dealer license from the Department of Agriculture, and the license is conditioned on a surety bond.

The bond runs for the benefit of the dairy producers you buy from. If a dealer fails to pay for milk or cream received on credit, the affected producers can recover against the bond — it's a payment guarantee for the farm, not insurance for the dealer.

The amount is set by Department rule. For dairy it's generally at least one and one-half times the maximum monthly value of milk or cream purchased or received over the preceding 12 months — a higher multiple than the produce formula, reflecting the volume and credit terms of milk buying. The Department can also accept a letter of credit or other securities. Confirm your required figure on your license paperwork.

N.J.S.A. 4:12A-1 et seq. (Milk dealer licensing)New Jersey requires dealers who buy raw milk or cream from producers on credit to be licensed and bonded with the Department of Agriculture under N.J.S.A. 4:12A-1 et seq. By Department rule, the dairy-dealer bond is generally at least one and one-half times the maximum monthly value of milk or cream purchased or received over the preceding 12 months, and runs for the benefit of the producers. The Department may accept letters of credit or other securities in lieu of a bond. Confirm your amount on your milk-dealer license application.

You need this bond if you are

✓
A milk or cream dealer buying from NJ dairy producers on credit
✓
A processor or distributor that purchases raw milk on a credit basis
✓
Renewing your milk-dealer license with the Department of Agriculture
✓
Increasing your purchase volume into a higher bond amount

One application, issued on the spot.

Submit the application with the bond amount your license requires — the executed bond is generated instantly, ready to file.

Start the application →
FAQ

Common questions.

How much is the New Jersey dairy dealer bond?Pricing is 1% of the bond amount, with a $100 minimum. The bond amount itself is set by Department of Agriculture rule — generally one and one-half times your maximum monthly milk or cream purchases over the prior 12 months. Enter your figure at the application to see your exact price.
Why is the dairy multiple higher than produce?The dairy formula is roughly 1.5× your maximum monthly purchases, where produce is closer to 1× (up to a cap). The higher multiple reflects the volume and credit terms typical of milk buying. Both are set by Department of Agriculture rule.
Who does the bond protect?The dairy producers you buy from. If a dealer takes milk or cream on credit and fails to pay, the affected producers can recover against the bond. It is a payment guarantee for the farm, not insurance for the dealer.
Is there a credit check?The application collects no credit information, and most applications approve instantly. If a check ever runs — typically only for larger bond amounts — it is a soft pull that never affects your credit score.
Can I post a letter of credit instead?The Department accepts several forms of security — a surety bond, an irrevocable letter of credit, certificates of deposit, or U.S. government bonds. A surety bond is usually the most economical, since your premium starts from $100 rather than tying up the full amount.
Which A-rated carriers underwrite these bonds?Typically Arch Insurance Company (A.M. Best A+) or Nationwide Mutual Insurance Company (A.M. Best A). Which one writes your bond depends on the bond type and your state. The carrier's name and official signature are printed on the bond you receive.
How do I contact Light RFP about this bond?Email insurance@lightrfp.com. It reaches the bond team at Light RFP Risk Management Services LLC (NY DFS License # PC-1978982). Write to us about quotes, applications, bond forms or certificates. We will respond within 24 hours.
Related bonds

Other New Jersey bonds.

NJ Agricultural Produce Dealer
The Department of Agriculture bond that pays growers if a dealer defaults. From $100.
View bond →
NJ Home Improvement Contractor
The tiered compliance bond ($10k/$25k/$50k) for registered NJ contractors. From $100.
View bond →
NJ Home Elevation Contractor
The additional-security compliance bond for registered elevation contractors. From $100.
View bond →
NJ Debt Adjuster — Exempt Company ($50,000)
The $50,000 bond a nonprofit debt-adjustment agency files with Banking & Insurance. $325 flat.
View bond →

Dairy dealer bond, issued today.

Pricing from $100. Enter your amount and file with the Department of Agriculture the same day.

Start application
Your premiumfrom $100
Apply now →