Delivering 100+ Years of Specialized Service in One Area: Surety Bonds
Our reputation rests solidly on over 100 combined years of expertise in one area: surety bonds. By harnessing that expertise, we offer our clients the best bonding programs available to suit their project requirements and provide the security needed to succeed in today’s competitive construction marketplace.
Surety Bonds, Explained.
In the construction industry, surety bonds guarantee the performance of a contractor to the owner in the face of a set of identified obligations. The Surety bond serves as an agreement between three distinct parties: the obligee (owner), the principal (contractor) and the surety agency. In the event the obligations are not met by the contractor, the owner recovers losses via the surety bond.
Throughout the construction process, project developers might require a number of different construction bond types to ensure the work is completed to specified requisites. Public projects, especially federally funded projects, necessitate surety bonds before work commences. Private project developers may also require surety bonds prior to beginning a project.
We pride ourselves on our proven track record of representing “A” – rated and “T” – Listed surety bonding programs tailored to our clients’ needs. Our team invests the time with you to:
- Assess your business strategy.
- Understand your project requirements.
- Leverage our relationships within the surety market.
- Research ideal bonding programs.
- Oversee the bonding process.
Surety Bonds, Specialized.
Our knowledge and expertise in the surety market allows us to specialize in all types of surety bonds.
A Bid Bond provides financial assurance to the owner. This type of bond states that the contractor possesses sufficient financial credentials to accept the job and will enter into a contract with the owner for the contractor’s bid. The contractor also commits to providing a performance and payment bond when awarded the project.
A Performance Bond ensures the contractor will perform its contractual duties in accordance with the contract. If the contractor fails to complete the project according to the contract, the owner can make a claim. Frequently, performance bonds work in conjuction with payment bonds.
A Payment Bond, also known as a Labor and Material Bond, guarantees that the contractor will pay all financial obligations (material, labor, subcontract, etc.) relating to the contract. If the contractor fails to pay subcontractors and suppliers for their work, the payment bond amount may be used as reimbursement to these parties.
A Maintenance Bond provides coverage against defects or faulty workmanship for a specified time after a project’s completion. If a project is deemed defective during this time period, the maintenance bond amount may be used to cover necessary repairs.
A Supply Bond guarantees the contractor will provide certain supplies, equipment or materials to the owner. If the contractor fails to provide the agreed upon items, the supply bond amount may be used to reimburse the owner for any resulting loss.
A Commercial Bond guarantees the contractor will comply with local statutes and ordinances.This type of bond is also known as a license or permit bond. Depending on the project, Commercial Bonds may also oversee adherence to state and federal regulations.
Small Business Administrations Guaranteed Bonds
An SBA Bond helps government approved small businesses attain bonding. SBA Bonds guarantees a majority of any losses and expenses should the small business default and fail to complete the contract.
We are committed to cultivating strong partnerships both with our clients and with the surety companies we proudly represent. Our track record of delivering unmatched service is a reflection of these trusted partnerships. We invite you to contact a member of our experienced team and learn how Shorewest Surety Services is a partner to depend on.
Call Our Team 1-800-264-1634
Shorewest Surety Services, Inc.
A Partner to Depend On