Services
Its as Easy As 1,2,3,4!01: Surety Submission Preparation
02: Bond Placement and Negotiation
03: Bond Approval and Execution
04: Strategies to Increase Capacity and Reduce Cost
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Our services provide you with the ability to obtain bonding...Bonds guarantee to an owner, general contractor, or a developer (whomever you are working for) that you will complete the work according to the contract and pay all bills associated with the project. Public works projects, by most statutes, require a bond on contracts over $25,000. Certain general contractors require bonds of their subs as well, and the threshold for when they require the bond varies..
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Whom do I call to get bonding? |
It is recommended that you call SASC, a professional surety bond agent skilled in assisting you with the information that you will need to provide to the bonding companies.
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what information do i need to provide? |
SASC will provide you with forms for you to complete that will demonstrate your company’s abilities, financial position, and character as they relate to your bonding needs. A partial itemization of that information is business and personal financial statements, a questionnaire that includes background information on your business, a work on hand schedule and verification of bank accounts.
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How long does it take to get a bond or be approved for bonds? |
Once COMPLETE information has been provided to SASC, the turnaround time is generally just a few days.
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How much does it cost? |
Typically between 1% - 3% of the contract amount.
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Who pays for the cost of the bond? |
The bond premium is normally a job cost included in your contract.
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is there anything that would absolutely keep me from qualifying for surety credit? |
Federal tax liens--whether paid off or not--and bankruptcy generally will preclude you from being "bondable".
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what will my bond capacity be/how big of a bond will i qualify for? |
Your bond capacity is determined by the information provided in your business and personal financial statements and historical information relating to the type of work and the largest contracts you've performed in the past.
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why do you need my personal financial statement? |
The surety company will consider your personal assets as well as your business assets and net worth to increase their comfort level in providing you with surety credit.
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why do both my spouse and I have to provide a personal guarantee to the bonding company? |
In the event of a claim which results in a loss, the surety will look first to your company for repayment of any costs involved in handling the claim then they will then look to the individual indemnitors. California is a community property state therefore, your spouses personal indemnity is required.
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bonding sets you apart from your competition by assuring you are
preparedDemonstrates you are pre-qualified by one of our superior Surety underwriting partners.
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trustworthyConfirms that your company is credible and has been extended credit.
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accountableIdentifies your company as being prepared and experienced and ready to perform.
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RELIABLEVerifies your company has a history of profitability; People gravitate to successful firms.
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