Illinois Private Business and Vocational Schools Surety Bonds
The Illinois Board of Higher Education oversees colleges and universities as well as private business and vocational schools. A Private Business School or Vocational School is any entity that will offer courses and/or programs to prepare students for technical trades, occupations, vocations or professions and improves student skills and abilities for career opportunities.
Surety Bond and Registration Requirements:
- Schools are required to submit an application to the Illinois Board of Higher Education to operate a school in Illinois, for changes of ownership or for adding additional school locations. Schools will need to meet the state standards for accreditation, licensure and certification prior to collecting tuition and opening of the school.
- A private business and vocational school are required to obtain a surety bond.
- The surety bond protects the interests of the students and must be in amount that is enough to provide repayment of full tuition to all students enrolled in the event the school closes prior to the students completing instruction.
- The minimum surety bond amount is $10,000. The surety bond amount is calculated based on the highest amount of prepaid tuition during a single term or an academic calendar term. This calculation includes any prepaid costs for books, tuition, and registration fees per student.
- Schools must renew their certification annually and every fifth year will require a full application instead of only a renewal.
How Much Will This Bond Cost?
The premium that you pay for an Illinois Private Business or Vocational School Surety Bond is dependent on credit and the bond amount required. If the bond amount exceeds $50,000, personal and business financial statements will be required. Our rates start at 1% of the bond amount with good credit. Contact our Surety Bond Specialists for a free quote.
Related Links:Illinois Board of Higher EducationIllinois Initial Private and Vocational School Forms
More Surety Bond Questions?
Check out our FAQ page or What’s a Surety Bond? page. Should you need or choose to buy a surety bond, buy from us. SuretyGroup.com has been underwriting surety bonds throughout the U.S. for more than 35 years. When you work with us, you enjoy the unique benefit of dealing with a team of highly experienced surety agents with in-house underwriting authority. This allows you to receive competitive, low rates, quick approvals, and immediate bond delivery. In most cases, your bond will be delivered within 24 hours after you apply for it.
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