Who needs a physical exercise club bond?
In the State of Iowa, physical exercise clubs are required to obtain a surety bond to be in compliance with Iowa Code Chapter 552.16 of the Iowa Statutes. A physical exercise club or its assignee or agent that accepts prepayments shall deposit all of the funds received as prepayments in an escrow account established with a financial institution located in this state whose accounts are insured by the federal deposit insurance corporation, the national credit union administration, or the federal savings and loan insurance corporation, which shall hold the funds as escrow agent for the benefit of the buyers that prepay. The physical exercise club shall deposit all prepayments received at least biweekly and shall make the first deposit not later than the fourteenth day after the day on which the physical exercise club accepts the first prepayment. Not later than the fourteenth day after the day on which the first prepayment is received, the physical exercise club shall submit to the attorney general's consumer protection division a notarized statement that identifies the financial institution in which the prepayments are held in escrow and the name and account number in which the account is held. The prepayments shall be held in escrow until the thirtieth day after the date that the physical exercise club fully opens for business.
What is the physical exercise club bond?
The physical exercise club bond protects the party requesting the surety bond, the Obligee, against any financial losses as a result of poor financial choices, damages, unethical decisions, or a failure to adhere to state and local laws on the part of you, the Principal. By obtaining your bond, you are telling the Obligee that you can be trusted and that you stand by your business decisions.
The Iowa physical exercise club bonds are also known as: Iowa health studio bond, Iowa health club bond, Iowa health spa club bond, fitness bond, fitness club bond, and health club bond.
What else do I need besides the bond?
Health club owners will submit the original signed bond form to the Iowa Office of the Attorney General at the following address:
Iowa Department of Justice
Office of the Attorney General
1305 E. Walnut Street
Des Moines, IA 50319
They may be reached by phone at (515) 281-5164.
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Many companies offer the physical exercise club bond, but by contacting the Ashton Agency, you can be sure you'll be getting the best price available, not to mention our stellar customer service and insider knowledge of the industry. We've been helping people get bonded for more than 45 years. Let us put that experience to work for you today!
Call us now at (800) 452-2663 for a free quote and we will contact you within 24 hours. We can assist you over the phone to ensure you receive your bond quickly and easily!
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