Category Archives: Contract Bonds

Performance bonds are an important part of the construction industry. They can protect project owners from financial losses if their contractor fails to complete a project as agreed. Performance bonds also help ensure subcontractors and suppliers are paid for their work. In this article, we’ll cover what performance bonds are, why they’re necessary, the parties […]

Subcontractors play a vital role in construction projects by providing specialized services to general contractors. They can offer a wide range of services, such as carpentry, plumbing, electrical work, and roofing. In this guide, we walk you through the process of becoming a subcontractor, from gaining the necessary skills and certifications to finding clients and […]

Effective January 1, 2023, contractor license bonds, qualifying individual bonds, and disciplinary bonds for all licensed contractors in the State of California will increase to $25,000. This announcement was first publicized in 2021 as a result of Senate Bill 607. The contractor license bond will increase from $15,000 to $25,000, and qualifying individual bonds will […]

Several variables determine whether a construction project ends up being successful. One of the most important factors is the subcontractor’s performance. There’s no secret to that statement, which is why we’re seeing the number of subcontractors requiring bonds increase. Bonds Can Increase a Subcontractor’s Chances for Success Whether it’s the project owner, general contractor, bank, […]

Third-party companies (contractors) that provide services to school districts are often required to post bid and performance bonds. Bus routes are a great example. Before a school bus service provider has a project in hand, they must first bid on the desired job. There are many bid submittal items, but one that is often overlooked […]

You already know that you need surety bonds to work on public construction projects. The Miller Act made sure of that – requiring contractors planning to work on any contract exceeding $100,000 to post a payment and performance bond. From bidding on a project to accepting and completing it to the quality and specifications outlined […]

Commercial bonds and contract bonds are often required for certain businesses to operate in a state or get hired for jobs. This article will discuss the differences between the two and go into more detail about various types of contract bonds. Key Takeaways The government often requires commercial bonds for an organization to secure a […]

“How can I qualify for a bid, performance, or payment bond?” The answer to this question will depend on the size of your project. The larger the job, the more information you will need to provide for surety bond qualification and to obtain your bond. Qualifying for Bonds on Small Jobs If the bond is […]