Bond Center
Bonds are legal credit instruments which guarantee that a specific task will be completed as required. The process of receiving a bond for your business is similar to the process of securing a traditional line of credit. The surety company will require a credit underwriting review, accounting relationships, good character, and a demonstrated capacity to peform the type of work to be bonded. Avery Hall has extensive experience providing bonds of all types to Delmarva businesses, and our relationships with multiple surety companies allows us to offer competitive rates. Typical Bonds offered by Avery Hall include:
Bid or Proposal Bonds - Assures the project owner that the party bidding for the contract, is qualified to enter into the contract and furnish the other necessary bonds. Failure to do so may result in penalties to the contractor.
Performance Bonds - Assures the project owner that the work will be completed according to contract and specifications. Failure to comply can result in significant penalties to the defaulting contractor.
Payment Bonds - Assures the project owner that the contractor will pay in full all monies owed to his subcontractors and suppliers as per the contract, subcontract and/or purchase order agreements. Failure to comply can result in significant penalties to the defaulting contractor.
Maintenance Bonds - Assures that faulty work will be corrected or defective materials (outside of any manufacturer’s warranties) used will be replaced. Typically, when performance and payment bonds are issued at job commencement, the surety can include this bond without additional charge.
License and Permit Bonds - Many times, a company must obtain licenses or permits before they can proceed with business activities. Examples include the construction trades, who wish to provide their services to the public, or regulated retail operations that need to comply with municipal agencies. These bonds guarantee that the bond holder will follow the laws that regulate their activities or the payment of taxes on revenues generated.
Public Official Bonds - Public Servants are frequently required to provide these bonds, guaranteeing that the official will faithfully perform their duties and honestly manage the funds entrusted to them. Public officials may also be held responsible for misdeeds that result in the loss of public funds by the staff that they supervise.
Judicial Bonds - This is a general term referring to bonds prescribed by a court of law. A more common type of judicial bond would be a Fiduciary Bond, which warrants that individuals in a position of trust will safeguard the assets belonging to others placed under their control. A typical situation in need of this bond would be an Executor in an estate. Other types of judicial bonds include the Defendant bond, Injunction bond, and the Appeal bond.
Avery Hall Insurance Group has been providing bonds of all types through the most financially sound Surety Companies. To learn more about Avery Hall's bond products, give us a call or fill out our contact form today.
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