If your looking to start your own business and make money helping people get out of jail then a bail bonds business may be a good option. its important to know how to start and grow a bail bonds business before you decide on this business venture.
Navigating the bail bond process can be overwhelming but Golden Boy Bail Bonds is here to help. In this step-by-step guide we will explain exactly how bail bonds work making the process less daunting. Get the information you need to secure your release or help a loved one.
How Bail Bonds Work
When a defendant is arrested the court will set a bail amount. The judge will look at factors such as the alleged crime facts in the affidavit of probable cause the defendants criminal record and the defendants predicted flight risk. The more likely a defendant is to flee the area and not appear in court the higher their bail will be.
A bail bondsman can help a defendant post bail in two ways. They can either provide a secure surety bond or an unsecured surety bond. A secured surety bond requires a cash deposit or collateral.
A bail bondman will charge 10% of the bail amount to cover their fees and then place the rest of the bail on a collateral like property or cash. If the defendant cannot pay this the bail bondman will seek out family and friends to provide a deposit on their behalf.
Costs and Profit Margin
To start a bail bonds business you need to have the funds necessary to fund the operation. This can include cash or bank loans as well as investments in real estate and equipment to assist with the operation of your business. Ideally, you should keep your finances separate from your personal accounts so that it is easier to track your companys income and expenses.
Opening a Business Account
To begin a bail bonds business you need to open a business bank account this will make it easier for you to keep your company finances in check and file taxes. Most major banks will offer this service and you can inquire at your preferred bank about their rates and features.
Scaling Up Your Business
If you want to scale up your business you need to hire more staff. The more staff you have the faster you can take on new clients and expand your services. Adding new employees to your team will also help you to increase the revenue of your bail bonds agency.
Consider Reducing Your Bail Fees and Collateral
If your client is not able to pay their bail you can reduce their bail fee by offering them a ROR bond a personal surety bond or a sign out bond. This type of bond is more affordable than a traditional bail bond and does not require any collateral up front.
Another way to reduce your clients bond fees is to hire a criminal defense attorney. The attorney can ask the judge to reduce the bail by proving that there are mitigating factors in the defendants case. The judge might not agree to this in every case but its an option worth considering in some cases.
Starting your own bail bonds business can be a rewarding experience. You can earn a lucrative cut of an annual 2.3 billion dollar industry and help people get back on their feet. Nevertheless, it is not an easy business to start and requires serious effort to succeed.