A.    Where it appears that the applicant for a license under this chapter will or may demand, accept or receive payments or deposits of money or property in advance of final delivery or performance of services, the application for such license shall be accompanied by a cash deposit of five hundred dollars, issued by a surety company authorized to do business within the state. Such bond shall be conditioned for making final delivery of goods, wares or merchandise or for final performance of services to be performed in accordance with the order, agreement or contract entered into, and failing in that, the advance payment or deposit on such order shall be refunded or returned.

    B.    Such deposit or bond, as the case may be, shall remain in full force and effect and be retained for a period of ninety days after the expiration of any such license of which the city clerk shall have been notified, unless sooner released by the city clerk. (Prior code § 17-6)