Tennessee allows a wide range of businesses to offer lottery tickets. Besides your traditional convenience store or gas stations, lottery tickets may also be sold at restaurants, barber shops, beauty salons, and electronic stores.
Pawn shops and payday lender stores, however, are not permitted to sell lottery tickets in Tennessee.
In addition to licensing by the state, which involves their own credit and background check, a surety bond is required.
AmeriPro Surety Bonds offers this bond for you as both a new and renewal surety bond.
While a Tennessee lottery retailer bond is required of new and renewal businesses, no specific surety bond amount is provided by statute.
Instead, according to Tennessee statute 4-51-118, you will be required to procure an “appropriate bond” as determined by the state.
Quick note: For quickest ease of facilitating your bond request, anything you have in writing from the Tennessee Education Lottery Corporation will best help us to get your required bond.
Depending on the bond amount required and information provided by you in a standard surety bond application, a well qualified applicant may pay between 1%-2% of the bond amount for premium.
However, a credit score check is also typically required. Therefore, the premium required may vary somewhat.
The purpose of the Tennessee lottery retailer bond is to act as a financial guarantee that a lottery retailer will be in compliance with all rules, regulations, and amendments in the sell of lottery tickets.
The bond protects the consumer --- not your lottery retailer business --- from acts of fraud, theft, or malfeasance in the selling or administration of lottery tickets entrusted to you.
As principal of this surety bond, you are responsible for all costs and fees should any claims be paid against your bond at any time.
AmeriPro Surety Bonds is a surety bonds-only agency.
We provide license and permit, court, and fiduciary surety bonds throughout Tennessee. Please call our agency today at:
Or, you may fill out the form below and an agent will contact you…