What criteria must an association meet to offer a bond?

An association must have common membership and be formed for a purpose other than obtaining a bond to be eligible to offer a bond. This criterion ensures that the association is organized for legitimate reasons and has a cohesive identity that extends beyond just the financial arrangement of issuing a bond.

The focus on purpose helps to differentiate genuine associations that serve the interests of their members from those that may form solely for financial gain through bond issuance. It reinforces the notion that the members are united by a common goal or interest, which promotes stability and accountability within the group.

While the other criteria listed might have some significance in different contexts or regulatory stipulations, they do not specifically address the fundamental requirement regarding the purpose and nature of the association in relation to bond issuance.