JMWilson


 
Bid and Performance Non SBA

Who Requires a Performance Bond? Why?

- Mostly for contractors working on a public project over $100,000 but can also be required for private job owners and smaller contract amounts
- May be required of subcontractors & suppliers
- Ensures the Contractor’s character, capacity, and capitol to perform the contract

What it Covers
- Bid Bonds guarantee the contractor will accept the contract if awarded as low bidder.
- Bid Bonds are typically for 5-10% of the bid
- Payment and Performance Bonds guarantee that the contractor will perform the contract and pay for labor and materials.
- Payment Bonds are typicallly 100% of the contract amount

Example of Companies Required to Obtain a Bond
- General Contractor
- Excavator
- Painter
- Cement Paver
- Roofer
- HVAC
- Asbestos Abatement
- Security Alarm Installer
- Electrician
- And Many More!

Items Needed for Consideration of Any Bid &/or Performance/ Payment Bonding Account
  1. Last 2 or 3 Fiscal year-end financial statements for the business
  2. Current personal Financial statements for all the owners
  3. Contractor's Surety Questionnaire
  4. Current Schedule of Work on Hand
  5. Current Bank reference letter, indicating bank line established
  6. Resume of Owner(s)
  7. Job reference letters
  8. Current Certificate of Insurance

Advantages
- We have an outstanding contract bond program through Liberty Surety First. It's designed for contractors who need bid and performance bonds up to a $350,000 single bonded job and $700,000 aggregate.
Learn more..
- Competitive pricing within industry standard
- Quick Quote Turnaround
- 24-48 hour response on new account submissions
- Difficult to place accounts
- Access to standard and non-standard carriers
- Accept applications from other surety companies to review a submission
- All J.M. Wilson surety markets are "A' rated