Shipping international goods can be a tricky business if you pause to consider all of the hindering components that are required for your imports and exports. If you are just entering the freight forwarding services industry, you can benefit greatly if you seek assistance from qualified international shipping companies like Asiana USA, who have already dedicated their hours and efforts into streamlining this process.
So you’ve priced out the cost of your goods, calculated shipping costs, and loaded your cargo. What’s next?
Get a Customs Bond
A customs bond is a legal contract bond to ensure that the obligations agreed between the importer and customs will be met. In other words, the bond will make sure that your custom duty taxes and fees will get paid by the government.
A customs bond is only necessary if your imported commercial goods are valued over $2,500. However, all importers should get a customs bond because it essentially acts as part of your insurance policy that will guarantee that your duties and taxes will be covered in any event.
Whether your goods are shipped by an ocean freight forwarder or air freight forwarder, customs bonds are required to cover all shipments. If you don’t acquire one, you can be subjected to paying fines or facing delays. Either consequence can negatively impact your business.
The Different Types of Bonds
Before you decide to purchase a customs bond, you are encouraged to consider the different kinds that are available to determine which is best for your business. There are several types of bonds, but they are typically narrowed down to two broad categories: single transaction bonds and continuous bonds.
Single transactions are primarily for one-off transactions and imports. Pricing these single-entry bonds can be a little confusing because the minimum bond amount cannot cost less than what your goods are worth and how many taxes you owe. It is best to consult with a freight broker agent at Asiana USA to clarify your costs but choose this bond if you only import one to three times a year.
Continuous bonds are better investments for those who frequently ship goods. This bond covers numerous transactions over time, and the price you pay depends on the percentage of the duties and taxes you paid the previous time.
Some of the more esoteric bonds can become a bit more challenging to decipher. For example, a drawback bond can serve as a mini refund policy be ensuring reimbursement of overpaid duty taxes if they become too excessive. There are also Importer Security Filing (ISF) bonds, Carnet bonds, and Custodian bonds, but these will only pertain to you in specific situations.
How to Get One
After you’ve determined which type of bond you need, you have the option of filling out an application by yourself to be submitted to a surety bond agency. You can purchase custom bonds through a customs broker, and he or she will usually have access to other professional experts to offer advice and provide guidance on what type of bond you need.
However, buying a bond through a larger global company that has more buying power could save you both time and money in the long run.
Working with international freight shipping companies like Asiana USA can make getting a customs bond much easier since we can handle all the paperwork that may seem foreign to you, but familiar to them. Not only will this streamline the process, but you can also save valuable time as well.
Get More Answers
If this is your first time purchasing a customs bond, it’s okay to seek help. This doesn’t have to be a difficult process, but it does become tedious if this is unfamiliar territory.
Are you still unsure about where or how to get a customs bond for your goods? You can contact Asiana USA at 855-500-1808 to speak with a freight broker agent or email us at firstname.lastname@example.org with further inquiries regarding freight forwarding services.