About
Operators Licence Support Bond
We know it’s incredibly tough right now.
Regulations are being tightened, margins are being squeezed not to
mention the ongoing implications of transportation across the EU.
On top of all that, it is a regulatory requirement of an operator that they must pass a
level of ‘financial standing’ if they are to maintain an Operator’s License.
In simple terms...
this means that every operator has to prove that they have readily accessible funds, that would if necessary, keep your vehicle roadworthy and safe. In the case of your first vehicle this is a figure of £8,000 and £4,450 for each additional vehicle after that. It’s a significant amount of money to account for just in case.
The Operators License Support Bond...
...is a much more cost effective, fully managed way in which the industry can prove its ‘financial standing’ without having to hold cash levels in the bank or audited accounts of a specific level. Above anything else, this financial surety improves margins, allows cash in the business to be used properly and simply makes good business sense.
This Surety Bond can be used for Financial Standing.
The Bond will assist the Vehicle Operators with a simple answer to their compliance and the statutory requirement and also to their Cash Flow and therefore to generally assist The Office of Traffic Commissioners with regard to their Financial Standing Requirement.
This Product for the good of many Haulage, Goods Operators and HAULAGE AND HAULAGE / PSV Companies by way of Bonding and a simple answer to the Operators Cash Flow for proof of Financial Standing as required by the Traffic Commissioners.
This is a commercial product (Surety) which will to assist Operators to abide by the continuous statutory requirement.
The Bond is there to make sure the Traffic Commissioner’s requirements are fully met and that the Operators are not forced into an unenviable cash flow situation.
The bond answers the Traffic Commissioners requirement.
It confirms Financial Good Standing and guarantees the circumstances in which the funds could be utilised.
A simple explanation of Surety is that the Surety Company guarantees the Financial Standing of the said operators which can vary greatly from small to very large companies.
The Surety will satisfy themselves in every case before issuing a Bond which in turn assists the Commissioners with regard to the quality of the Operator. This will apply on an Annual Basis. Therefore, giving further consistent comfort and allowing for the fact that the size of the Operators Business can fluctuate.
Want to know more?
Get in touch with our friendly team to find out how OLSB could hep your business.
