This bond protects consumers who pay in advance for health club memberships before a facility opens. If the facility fails to open by the promised date (or within 180 days), customers can make claims against the bond to recover their prepaid fees. The bond requirement ends 24 months after the facility opens.
Overview
What it is.
This bond protects consumers who pay in advance for health club memberships before a facility opens. If the facility fails to open by the promised date (or within 180 days), customers can make claims against the bond to recover their prepaid fees. The bond requirement ends 24 months after the facility opens.
Who usually needs it
Health club or fitness facility operators who sell prepaid memberships or contracts before their facility is fully constructed and open for business. This includes gyms, health spas, physical culture studios, and body-building facilities that accept advance payments.
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.
StateOHBond amount$10,000ObligeeOhio Attorney GeneralBond classLicense BondCategoryEntertainment & RecreationBondOhio Health Club / Prepaid Entertainment BondPlain descriptionThis bond protects consumers who pay in advance for health club memberships before a facility opens. If the facility fails to open by the promised date (or within 180 days), customers can make claims against the bond to…Who needs this bondHealth club or fitness facility operators who sell prepaid memberships or contracts before their facility is fully constructed and open for business. This includes gyms, health spas, physical culture studios, and body-b…
FAQ
Common questions.
When is the Ohio Health Club / Prepaid Entertainment Bond required?
The bond is required only when you are selling prepaid health club memberships or contracts before your facility is fully constructed and open for business. If your facility is already operational when you start selling memberships, this bond is not required. The bond protects consumers who pay in advance and ensures the facility opens by the promised date or within 180 days of contract signing.
How long must I maintain the Ohio Health Club bond?
You must maintain the $10,000 bond from the time you begin selling prepaid contracts until 24 months after your facility is fully constructed and opens for service. Once your facility has been operational for 24 months, you may cancel the bond. This gives consumers adequate protection during the critical pre-opening and early operational period.
What consumer protections does this bond provide?
The bond protects consumers who pay in advance for health club memberships before the facility opens. If the facility fails to open by the represented date or within 180 days of signing the contract, consumers can file claims against the $10,000 bond to recover their prepaid fees. This is in addition to other protections under Ohio's Prepaid Entertainment Contracts Act, including a 3-day cancellation right and limits on pre-opening payments.
