Friday, November 4, 2011

Contractor Surety Bonds

I spent most of my career life working in a multi-million family consulting firm handling several construction projects in private and government sectors. Roads, bridges, flyovers and infrastructures are some of the successful completed projects that we had turned over to the government. I was involved in placing key personnel in the field and also in the bidding process. There are many requirements that we must submit and accomplished before we will be given the chance to get those projects. To top it all when the project is awarded to us we should comply with some legalities and surety bond insurance just like California contractor bonds which provides financial security and construction assurance on building and construction projects.

I know that all information supplied by my office is very important so I assured all details are specific, true and in good faith because all of those jobs are bonded with surety. The law states that anyone who handles that kind of construction project should be guaranteed by a Surety. The licensed surety company will stand as a third party and play an important role to assure the project owner that in any case that problem arises there will be financial assistance to protect the project.

In construction business there are many things that you have to consider. It’s a big responsibility and obligation that you must shoulder. In crucial situations contractor bonds will reflect your business as an orderly, responsible and honest construction firm to every deal with your project owner. You must guarantee to finish any project with dignity, honor and assurance. All contracts that you signed will be supported by contractor bonds to guarantee the performance and financial obligation of the principal or the contractor to the project owner. The licensed surety company should specialize in this kind of agreement and stand as a powerful partner in both sides.

1 comments:

surety bonds said...

This bond guarantees the payment from the obligee to the contractor and from the principal to the subcontractor.

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