This $10,000 surety bond is required for Iowa beer wholesalers to obtain or renew their Class A Beer Wholesale Permit. The bond guarantees that the wholesaler will comply with Iowa alcohol laws, pay all required beer barrel taxes, and follow regulations administered by the Iowa Alcoholic Beverages Division.
Overview
What it is.
This $10,000 surety bond is required for Iowa beer wholesalers to obtain or renew their Class A Beer Wholesale Permit. The bond guarantees that the wholesaler will comply with Iowa alcohol laws, pay all required beer barrel taxes, and follow regulations administered by the Iowa Alcoholic Beverages Division.
Who usually needs it
Beer wholesalers in Iowa who sell beer to retailers and other licensed establishments. This includes businesses operating under a Class "A" Beer Wholesale Permit (BA) who distribute beer products throughout the state.
Pricing & timing
What to expect.
Generic pricing
License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher de…
Typical timeframe
Issuance timeframe varies by bond type and underwriting
Application
What to do next.
Tell us the bond name, state, and amount on your form.
Share business and applicant info so the team can quote it.
Sign and pay; we issue the bond and send you the documents.
Keep your effective date and renewal date on file with us.
Start the application.
You are on the exact bond page. The next step is to start the quick application.
StateIABond amount$10,000ObligeeIowa Alcoholic Beverages DivisionBond classLicense BondCategoryAlcohol & BeverageBondClass A Beer Wholesale Permit BondPlain descriptionThis $10,000 surety bond is required for Iowa beer wholesalers to obtain or renew their Class A Beer Wholesale Permit. The bond guarantees that the wholesaler will comply with Iowa alcohol laws, pay all required beer ba…Who needs this bondBeer wholesalers in Iowa who sell beer to retailers and other licensed establishments. This includes businesses operating under a Class "A" Beer Wholesale Permit (BA) who distribute beer products throughout the state.
FAQ
Common questions.
Who needs the Iowa Class A Beer Wholesale Permit Bond?
This bond is required for beer wholesalers in Iowa who operate under a Class "A" Beer Wholesale Permit (BA). If you distribute beer to retailers, restaurants, bars, or other licensed establishments in Iowa, you'll need this $10,000 bond for new applications and renewals. Existing permit holders without bonds are exempt until their next renewal.
What does the Iowa Class A Beer Wholesale Permit Bond cover?
The bond guarantees that beer wholesalers will comply with Iowa Code Chapter 123 and related alcohol regulations. It specifically ensures payment of beer barrel taxes (such as the $5.89 per 31-gallon barrel tax) and adherence to all requirements set by the Iowa Alcoholic Beverages Division. If a wholesaler fails to pay taxes or violates permit conditions, claims can be made against the bond.
How much does the Iowa Class A Beer Wholesale Permit Bond cost?
The bond amount is fixed at $10,000, but you don't pay the full amount. Premium costs typically start around $100 annually for applicants with good credit, calculated as a percentage of the bond amount (usually 1-5%). Your actual premium depends on your credit score, financial strength, and the surety company's underwriting. Those with credit challenges may pay higher rates.
