Preheader Home Page Get A Quote About Us Jobs Payments Contact Us Blog English Espanol Auto Commercial Home Home page
Postheader
Make a Payment More Products Locations
Home > Blog > Surety Bonds Protect Businesses and Help Gain Customers
TUESDAY, AUGUST 4, 2015

Surety Bonds Protect Businesses and Help Gain Customers

Surety BondsSurety bonds may sound complicated, but they are actually a simple financial tool that can benefit both a contractor and the client that they are serving. In essence, a surety bond is a contract signed by both the business performing the work and the surety bond company that guarantees the clients that the work they are paying for will be completed. The surety bond company basically agrees to find another contractor to complete the job in the event that the original contractor cannot perform their duties. If that isn’t possible, they will ensure payment for the damages or losses that the client incurred.

What Do Surety Bonds Cover?

While there are many different types of surety bonds available based on industry, here are some of the most common situations that surety bonds cover.

  • Bid Bond: Guarantees that the individual or business that bids on a contract will accept the project if chosen, pay any amounts due and obtain a performance bond.

  • Payment Bond: Guarantees that suppliers and subcontractors will be paid for their work.

  • Performance Bond: Guarantees that the contract will be completed in the manner and timeframe specified.

  • Ancillary Bond: Guarantees that other requirements integral to the contract are completed.

What Types of Businesses Need Surety Bonds?

Surety bonds are typically required when a business or contractor is performing work for any public entity, such as the federal, state or local government. However, many private clients also require a surety bond, especially for high-cost projects. In general, any business or individual who provides a service to a client can benefit from obtaining a surety bond. Some of these industries include auto dealerships, auctioneers, contractors, janitorial services, construction and many others.

How Do Surety Bonds Increase Business?

While many government entities require bonds, many private clients do as well. This provides a level of security to the client that if something goes wrong on the contractor’s end, they will still get the end results that they are paying for. Thus, having a surety bond for a business gives the owners an advantage over competitors who do not have bonds. This helps them to build up their client base simply by guaranteeing satisfaction and completion of their work.

Is your business covered? Call La Familia Insurance at (888) 751-7511 for more information on Dallas surety bonds.
Posted 7:06 PM

Tags: bonds, surety bond, bid bond, payment, performance bond, ancillary bond, dallas, contractors
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012

  • insurance(85)
  • dallas(73)
  • texas(56)
  • grand opening(31)
  • new office(30)
  • fort worth(26)
  • la familia auto insurance(16)
  • home insurance(14)
  • auto insurance(13)
  • dallas auto insurance(8)
  • motorcycle insurance(8)
  • commercial insurance(7)
  • san antonio(7)
  • grand prairie(7)
  • garland(7)
  • dallas car insurance(6)
  • cinco de mayo(6)
  • surety bonds(5)
  • business owners(5)
  • safety tips(5)
  • renters insurance(5)
  • dallas business insurance(5)
  • car insurance dallas(4)
  • lonestar park(4)
  • bonds(4)
  • business insurance(4)
  • auto(4)
  • auto insurance dallas(4)
  • homeowners(4)
  • prizes(4)
  • carrollton(3)
  • car(3)
  • dallas motorcycle insurance(3)
  • arlington(3)
  • maintenance(3)
  • la familia insurance(3)
  • mesquite(3)
  • car insurance fort worth(2)
  • commercial auto insurance(2)
  • commercial insurance dallas texas(2)
  • uninsured motorist(2)
  • contest(2)
  • auto insurance fort worth(2)
  • dallas fort worth(2)
  • free giveaways(2)
  • general liability insurance(2)
  • duncanville(2)
  • tx(2)
  • online quotes(2)
  • property insurance(2)

View Mobile Version


 
  Follow Us Resources Contact La Familia Auto Insurance  
Social Media
Dallas - Fort Worth - Garland - Grand Prairie - Carrollton
Arlington - Duncanville - Haltom City - Irving - San Antonio
Home
Get A Quote
About Us
Contact Us
Locations
Blog
Privacy Policy
Call Us 888-751-7511 Email Us Email Us
Call, click or visit
 
Facebook Twitter LinkedIn Blog RSS Google Maps