Class IV Contractors Bonds - The Bond Agency

CLass IV Contractors

Contractors that produce a standard "Contractors" CPA statement AND have a financial "profile" within acceptable norms.

These contractors produce a CPA statement on a review or audit basis following a percentage of completion method AND the financial strength, experience, etc. place them in the "standard" contractor's class.

UNDERWRITING REQUIREMENTS:

  • Contractor Questionnaire.
  • Current CPA Fiscal Year End (FYE) financial statement and prior year FYE statement.
  • Work on Hand on required format.
  • Aging of accounts receivable.
  • Personal financial statement from each owner.
  • Owners resume and resumes of key Forman / employees.
  • Bank Line Letter.

BOND LIMITS:

Through our varied markets we can approve bonds in this class up to $50,000,000 or more per bond. Bonding amounts for this class are limited only by the contractors experience and financial capacity.

LINES:
Here we follow the standard Surety Industry guidelines. Work program limits based on 20 times working capital with consideration of expected annual revenue and profit in backlog. Single job limits are also available up to 150%(or more) of prior job experience.

RATES:
Rates for this class are typically $14.40 per thousand of contract for first $500,000 / $8.70 next $2,000,000. Preferred rates such as $12.50 per thousand first $500,000 or lower are available.

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For Contractors - To obtain a contract bond or bond line start here. We'll do a quick review and let you know what additional information we will need. Click Here to apply or Click Here to learn more about Contract Bonds.

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For Businesses & Individuals - To obtain a license, permit or misc. bond start here. We'll do a quick review and let you know what additional information we will need. POOR CREDIT IS NO PROBLEM! Click here to apply.

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For Businesses - To help you obtain the fidelity bond you need start here. We'll do a quick review and let you know if we can write your bond, the approximate rate, and what additional information we will need. Click here to apply.

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For Agents & Brokers - The Bond Agency offers its bond markets and expertise to Agents and Brokers.  We can help you place bonds for your contractor and business clients.  Click Here to access our Agents and Brokers page.