Surety Bond Encyclopedia

Trading Assistant Company ($5,000) Bond - Statewide in Pennsylvania

Brief Summary

If your consignment selling business is an LLC or corporation, the entity needs its own trading assistant company registration and its own $5,000 bond, even when the owner is already registered as an individual trading assistant. We issue the bond on the Board's corporate bond form so it can go straight into the PALS application.

Pennsylvania requires any legally recognized entity that sells other people's personal property online for a commission or fee to register with the State Board of Auctioneer Examiners as a trading assistant company. Section 7 of the Auctioneer Licensing and Trading Assistant Registration Act bars registration until the applicant files an approved $5,000 bond payable to the Commonwealth. The company bond is filed on the Board's corporate bond form, and the business may not operate without an active bond.

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How to Apply for a Trading Assistant Company ($5,000) Bond:

Register the entity itself as a trading assistant company in PALS, even if an owner already holds a personal trading assistant registration.
Have the entity's legal name, business name, physical business location, start date, Pennsylvania tax identification number and email address ready.
Obtain the $5,000 bond on the Board's corporate bond form dated 9/22/2026.
Sign the bond as owner, officer, partner or member with a witness, and attach the surety's certified power of attorney.
Pay the application fee shown on the Board's fee schedule and sign the sworn affidavit on the application.
Keep the bond active and renew the registration by the last day of February of each odd numbered year.

Detailed Information About the Pennsylvania Trading Assistant Company ($5,000) Bond:

The company registers separately

Section 5.1 of the Auctioneer Licensing and Trading Assistant Registration Act makes it unlawful for an individual to act as a trading assistant, or for any legally recognized entity to act as a trading assistant company, without first registering with or obtaining licensure from the State Board of Auctioneer Examiners. The act then states that an entity conducting business as a trading assistant must register as a trading assistant company even though a member or officer is registered as a trading assistant. A personal registration and personal bond held by the owner do not cover the company.

Who this applies to

The act defines a trading assistant company as a legally recognized entity that, for a commission or fee, conducts a business of selling the personal property of another through an online trading assistant consignment sale. That is a transaction in which the registrant describes and lists someone else's personal property for sale using hardware or software that gives multiple users computer access to an interactive computer server.

The bond

Section 7 says no license or registration shall be granted until the applicant has filed with the Board an approved bond payable to the Commonwealth in the amount of $5,000. The amount is flat. There are no tiers by sales volume or number of locations. The bond must be executed by a surety company authorized to do business in Pennsylvania, it is for the use of the Commonwealth and of any person who may have a cause of action against the registrant, and no registrant may engage in the business without an active bond.

The Board publishes a corporate bond form for licensed auction companies and trading assistant companies, dated 9/22/2026. It is signed by an owner, officer, partner or member with a witness, carries the surety's seal, and must have a certified copy of the attorney in fact's power of attorney attached. Under the form, the full $5,000 becomes due if the registration is revoked, the bond is forfeited or a judgment is entered against the registrant for violating the act or Board regulations.

Fees and renewal

The act names a $100 registration fee. The Board's fee schedule at 49 Pa. Code 1.41 sets the trading assistant company application fee at $135, rising to $150 on July 1, 2027, and the biennial renewal fee at $250 for the period ending February 28, 2027, then $300. Registration is biennial and renews on the last day of February of each odd numbered year. Applications and renewals go through PALS. Confirm the fee in effect with the Board when you apply.

Eligibility and Requirements for a Pennsylvania Trading Assistant Company ($5,000) Bond:

Bond of $5,000 payable to the Commonwealth of Pennsylvania under Section 7 of the act.
Executed by a surety company authorized to do business in Pennsylvania.
Board corporate bond form for licensed auction companies and trading assistant companies.
Separate company registration, not covered by a member's individual trading assistant registration.
Active bond at all times the company is conducting business.

Pennsylvania Trading Assistant Company ($5,000) Bond FAQs:

I am already a registered trading assistant. Does my company still need its own registration and bond?

Yes. Section 5.1 says an entity conducting business as a trading assistant must register as a trading assistant company even though a member or officer is registered as a trading assistant. Section 7 requires a $5,000 bond before any registration is granted, so the company files its own bond on the Board's corporate form.

Does the bond amount change with sales volume?

No. Section 7 sets a single amount of $5,000 for every license and registration under the act.

Why does the act say $100 when the Board charges more?

The act names a $100 registration fee, but the Board's fee schedule at 49 Pa. Code 1.41 currently lists $135 for a trading assistant company application and $250 for the biennial renewal through February 28, 2027. Pay the amount the Board shows in PALS when you apply.

Who can make a claim on the bond?

The act says the bond is for the use of the Commonwealth and of any person who may have a cause of action against the registrant under the act.

Which bond form do we use?

The Board's corporate bond form for licensed auction companies and trading assistant companies, dated 9/22/2026. The personal bond form is for individual auctioneers, apprentice auctioneers and trading assistants.