A bond (also called a security deposit) is money a customer pays on top of the rental price, refunded when the dress comes back on time and in good condition. There's no single right amount. It depends on your stock, your customers and how much risk you're willing to carry.
What a bond is for
A bond gives you something to draw on when a hire goes wrong, for example:
- damage beyond normal wear, such as tears, stains or broken zips,
- a dress that's returned very late and misses its next booking,
- a dress that isn't returned at all.
It also encourages customers to take care of the dress and return it on time.
Flat bond or percentage bond?
| Flat bond | Percentage bond | |
|---|---|---|
| How it works | The same amount on every hire | A percentage of the product or rental price |
| Best for | Stock of a similar value | A range of values, from high street to designer |
| Pros | Simple and easy to explain | Scales automatically with each dress's value |
| Cons | Too low for expensive pieces, or too high for cheap ones | Harder to state as one number |
Many businesses use a flat bond as the default and set a higher custom bond on their most valuable dresses.
What to consider when setting your bond
- Replacement cost. What would it cost to replace or properly repair the dress?
- Fragility. Beading, sequins, silk and light colours carry more risk.
- Delivery method. Posted hires can carry more risk than hires collected in person.
- Your competitors. A bond far above similar businesses can put customers off.
- Other protection. If you offer insurance or require ID, you may be comfortable with a lower bond. See insurance vs bond.
A worked example
Say you stock two dresses and use a 30% bond based on the retail value. These figures are illustrative only.
| Dress | Retail value | Bond (30%) |
|---|---|---|
| Satin midi dress | $250 | $75 |
| Designer beaded gown | $1,200 | $360 |
If $360 feels too high for your market, keep a lower bond on the gown and offer optional insurance, or require ID for higher-value hires.
When to refund the bond
Tell customers exactly when to expect their bond back, for example "within X business days of the dress being returned and inspected". Refund promptly: a quick refund is one of the best ways to earn repeat bookings.
If you keep part of a bond, explain why, share photos, and keep a record. In The Dress Rental App you can refund all or part of a bond from the booking and record damage claims with evidence photos. Refund a bond · Record a dispute
How to explain your bond to customers
- Show the bond clearly on the product page and at checkout, separate from the rental price.
- Explain what it covers and what counts as normal wear.
- State the refund timeframe.
- Include it in your hire terms and require customers to accept them.
Setting your bond in The Dress Rental App
- Go to Settings → Rental → Bond Default.
- Choose Flat Rate or Percentage and enter the amount.
- For individual dresses, open Edit Product and tick Use custom bond for this product.
Frequently asked questions
Is a bond the same as a deposit?
They're often used interchangeably, but a bond is usually refundable security, while a deposit can mean part-payment toward the hire. Make it clear in your terms which you mean.
Should I charge a bond on every hire?
Most hire businesses do, because it sets expectations for care and returns. Some waive it for repeat customers or when customers buy insurance.
Can I charge a higher bond for expensive dresses?
Yes. Use a percentage bond, or set a custom bond on individual products.
What if the damage costs more than the bond?
Cover this in your hire terms. Depending on your terms and local law, you may be able to charge the difference. It's worth getting advice on your terms.
