Most companies use a surety bond broker or dealer to help them through the process of obtaining a surety bond. The surety broker will work with the surety bond company on their behalf and often has access to several different surety bond markets in order to get the best price.
Starting the surety bonding process typically begins with the principal (the company) completing a surety bond application. A surety bond broker or dealer will then use the information on the application along with personal credit history of the company ownership to evaluate the risk of default.
While some smaller bonds may be underwritten and approved based upon solely the good personal credit of the business owner, companies needing several bonds may also be asked to provide one or more years of company financial statements and/or personal balance sheets on the company’s owners in order to further assist the review of the business.
Once approved, the surety bond (s) will be executed and the principal required to pay a premium. In most cases, the principal will need to sign the bond. After this, the original surety bond is typically sent by the principal o the obligee.
Alpha Surety is a nationwide surety bond broker offering simple, fast solutions for all types of surety bonding in all 50 states. We offer our customers extremely competitive pricing with multiple national carriers as well as world class support. For a free consultation about your surety bonding needs, please call 510-435-8425 or contact us. Or, to apply for a free quote, please complete our surety bond application.