Michigan Sign or Awning Permit Bond – Up to $15,000

If you're a contractor or business owner planning to install, alter, or maintain signs or awnings in Michigan, you may be required to obtain a Sign or Awning Permit Bond before receiving a permit. This bond is a financial guarantee that ensures compliance with local building codes and safety regulations, protecting both the public and municipal authorities from potential damages or code violations.

From my experience, many contractors only become aware of this requirement when applying for a sign or awning permit with their local building department. Understanding the bond requirements, costs, and how to obtain one can help prevent delays and ensure smooth project approval.

What Is a Michigan Sign or Awning Permit Bond?

A Sign or Awning Permit Bond is a surety bond required by Michigan municipalities before issuing permits for sign or awning installation, alteration, or maintenance. This bond ensures that contractors adhere to local ordinances, building codes, and safety regulations.

Key Purposes of the Bond:

✔ Guarantees that sign and awning work meets safety and structural standards
✔ Ensures contractors obtain necessary permits and approvals
✔ Provides financial protection for municipalities and the public against damages
✔ Holds contractors accountable for repairing any issues or damages caused by improper installation

If a contractor fails to meet these requirements, a claim can be filed against the bond to cover necessary corrections, repairs, or legal costs.

Who Needs a Michigan Sign or Awning Permit Bond?

You may need a Sign or Awning Permit Bond if you:

✅ Install, repair, or maintain signs or awnings in a Michigan city that mandates bonding
✅ Apply for a permit to erect or modify signage or awnings
✅ Operate a business that requires permanent or temporary signage installation
✅ Are a contractor specializing in signage, awnings, or exterior building modifications

Common Businesses and Professionals That Need This Bond

• Sign installation companies – Businesses that install commercial or residential signage

• Awning contractors – Contractors that install awnings on storefronts, patios, or building exteriors

• Construction and general contractors – Builders involved in property renovations that include signage or awnings

• Retail businesses and franchises – Stores that need new or modified signage for their location

• Property management companies – Managing firms that oversee signage for rental properties or shopping centers

Which Michigan Municipalities Require a Sign or Awning Permit Bond?

Many Michigan cities and counties require this bond as part of their sign permitting process. Since regulations vary by location, it's crucial to check with the local building department for specific bond requirements.

Here are a few examples of municipalities that require bonding for sign permits:

📍 City of Detroit – Requires a $5,000 bond for sign contractors
📍 City of Southfield – Mandates a $5,000 bond for sign permit applicants
📍 City of St. Clair Shores – Requires a $100 bond, refundable after final inspection
📍 City of Inkster – Requires bonding and insurance for all sign contractors

To ensure compliance, always verify bond amounts and requirements with the local government office where your project is located.

Why Is a Michigan Sign or Awning Permit Bond Required?

The Sign or Awning Permit Bond is required to:

✔ Ensure compliance with local building codes and regulations
✔ Protect the public from unsafe sign or awning installations
✔ Guarantee that contractors obtain proper permits and approvals
✔ Provide financial protection in case of property damage or structural failures

In my experience, these bonds help municipalities enforce safe construction practices while ensuring that contractors complete their projects responsibly.

How Much Does a Michigan Sign or Awning Permit Bond Cost?

The bond amount varies by municipality but generally falls within the range of $5,000 to $15,000.

However, you don’t need to pay the full bond amount upfront. Instead, you pay a bond premium, which is a percentage of the bond amount.

Typical Bond Cost Estimates:

📌 For a $5,000 Sign Permit Bond:

• Good Credit (700+): $50 - $150 per year

• Fair Credit (650-699): $150 - $300 per year

• Poor Credit (below 650): $300 - $500+ per year

📌 For a $10,000 Sign Permit Bond:

• Good Credit: $100 - $300 per year

• Fair Credit: $300 - $750 per year

• Poor Credit: $750 - $1,500 per year

📌 For a $15,000 Sign Permit Bond:

• Good Credit: $150 - $450 per year

• Fair Credit: $450 - $1,000 per year

• Poor Credit: $1,000+ per year

💡 Pro Tip: Contractors with strong credit and industry experience often qualify for lower bond rates. If you have credit challenges, working with a surety provider specializing in contractor bonds can help secure competitive pricing.

How to Obtain a Michigan Sign or Awning Permit Bond

Getting your Sign or Awning Permit Bond is quick and easy:

1️⃣ Check Local Requirements – Contact the local permitting office to confirm the bond amount and conditions.
2️⃣ Apply for a Bond – Provide business details, project scope, and financial history.
3️⃣ Receive a Quote – Your bond premium is based on credit score, business experience, and financial stability.
4️⃣ Pay for the Bond – Once approved, pay the bond premium to activate your coverage.
5️⃣ Submit the Bond to the Municipality – File the bond with the appropriate local government office as part of your sign permit application.

Most bonds are issued within 24 hours, ensuring you can obtain permits without delays.

What Happens If a Claim Is Filed Against Your Bond?

If a contractor fails to meet permit requirements or violates local regulations, a claim can be filed against the bond.

Common Reasons for Bond Claims:

🚨 Failure to properly install or secure a sign or awning
🚨 Not following permit guidelines or safety codes
🚨 Leaving an incomplete or unsafe installation
🚨 Causing property damage during installation

If a claim is validated, the surety company may pay damages up to the bond limit. However, the contractor must reimburse the surety company for any amounts paid.

To avoid claims, contractors should:
✔ Follow Michigan building and zoning codes
✔ Obtain proper permits before beginning work
✔ Ensure safe and secure sign or awning installations
✔ Correct any issues before final inspection

How to Obtain a Michigan Sign or Awning Permit Bond

Getting your Sign or Awning Permit Bond is quick and easy:

1️⃣ Check Local Requirements – Contact the local permitting office to confirm the bond amount and conditions.
2️⃣ Apply for a Bond – Provide business details, project scope, and financial history.
3️⃣ Receive a Quote – Your bond premium is based on credit score, business experience, and financial stability.
4️⃣ Pay for the Bond – Once approved, pay the bond premium to activate your coverage.
5️⃣ Submit the Bond to the Municipality – File the bond with the appropriate local government office as part of your sign permit application.

Most bonds are issued within 24 hours, ensuring you can obtain permits without delays.

What Happens If a Claim Is Filed Against Your Bond?

If a contractor fails to meet permit requirements or violates local regulations, a claim can be filed against the bond.

Common Reasons for Bond Claims:

🚨 Failure to properly install or secure a sign or awning
🚨 Not following permit guidelines or safety codes
🚨 Leaving an incomplete or unsafe installation
🚨 Causing property damage during installation

If a claim is validated, the surety company may pay damages up to the bond limit. However, the contractor must reimburse the surety company for any amounts paid.

To avoid claims, contractors should:
✔ Follow Michigan building and zoning codes
✔ Obtain proper permits before beginning work
✔ Ensure safe and secure sign or awning installations
✔ Correct any issues before final inspection

Why Choose Axcess Surety for Your Michigan Sign or Awning Permit Bond?

At Axcess Surety, we specialize in helping contractors obtain the bonds they need—fast and at the best rates available.

✔ Quick Approvals – Most bonds issued within 24 hours
✔ Competitive Pricing – Affordable options, even for contractors with credit challenges
✔ Expert Support – We understand Michigan’s sign permit bond requirements
✔ Easy Online Application – Apply in minutes from anywhere

Get Your Michigan Sign or Awning Permit Bond Today!

Need a Sign or Awning Permit Bond for your next project? We make it fast, easy, and affordable.

🔗 Apply Now or call us today to get started!