Contractor's Bonds

Performance bonds - which guarantee the project’s completion according to the building plans and specifications. If the job is abandoned or the work unacceptable, the bonding company has the option of hiring another contractor to complete the work or settling for damages.

Payment bonds - which assure the owner that no liens for labor and materials will be filed against the property.

Contract bonds - which guarantee both job completion and payment of all labor and materials.

In general, the bonding company will not have to pay more than the face amount of the bond.

The new contractor should be aware that bonding requirements may exclude the new business from bidding on desired jobs. Bonding companies will not take risks without verifying the technical and resource capabilities of the bonded contractor. It is essential then for your business to practice sound business management techniques if you hope to be able to qualify for bonding in the future.

Bond application packages for pre-qualifying are available, just give us a call. We want to assist you with all your bonding needs.

General Requirements

The following must be met before your bond can be accepted:

The business name and license number (if issued) on the bond must correspond exactly to the information in the records of the CSLB;

The license number (if issued) on the bond of a qualifying individual must match that of the firm for whom the individual is to serve as the qualifying individual;

Bonds must be filed with the CSLB within 90 days of the effective date of the bond;

Bonds are non-transferable. Do not attempt to transfer a bond.
Keep your required bonds in effect at all times for active licenses.

Renew your bonds promptly, to avoid license suspension. CSLB averages 4 weeks or better to post a new bond and proof of renewal. Lhasa Insurance and CLOC will remind you 90 days before bond expiration.

Contractors License Surety Bonds,

Contractors Exam Prep, Application Processing

Contractors License, Contractors License Schools

telephone: 800-233-2562 || email: msandi@cloc.com

website: http://www.cloc.com/