Archive for the ‘surety’ Category

California Talent Services Surety bond

Thursday, August 27th, 2009

AB 1319 – Talent Service. Provides that prior to advertising or operating in business, a talent service shall file a bond with the Labor Commissioner a surety bond in the penal sum of $50,000 this is a conditioned upon compliance.

The obligee for the talent Services bond shall be in favor of, and payable to, the people of the state of California, and shall be for the benefit of any person injured by any unlawful act, omission, or failure to provide the services of the talent service. The Surety bond cost as well as approval is based upon the principals credit and financial condition.

This bill is currently in the senate for a second time,amended and re-referred to committee on appropriations

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Ohio Surety Bonds in the State

Tuesday, June 9th, 2009
We can write Ohio surety bonds
Ohio surety bonds protect the State against the default act and ensure guaranteed performance of the contract or what ever else is stipulated in the bond form.  We have great programs for Ohio surety bonds.  There are many different types of Ohio surety bonds required by the state.  OH mortgage broker bond which is a $50,000 bond and is needed to obtain your license. Ohio MVD bonds are a $25,00 and we can write them. Ohio also has  Ohio contractor license bond, Ohio license and permit bond and many other kinds of surety bonds.  We can help your no matter the surety bond type is.  Ohio also has lottery bonds required as well. The lottery bond is enforce to guarantee the payment of tickets sold by the retailer.

The cost of Ohio surety bonds

To determine the cost of a Ohio Surety bond depends on the bond amount type of bond and financial stability of the principal.

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Surety Bond: Detailed explanations

Tuesday, May 5th, 2009


The word Surety is a noun pronounced sur e ty, the definition of the word Surety is: a guarantor, which will assume responsibility of another person (principal) obligations if the principal cannot, or does not meet them.  The term Surety has existed for thousands of years.
Example of Surety
Have you ever heard the saying “don’t ever be anyone’s Surety”, what exactly does it mean?  You would guarantee that the obligations of the person you where acting as Surety for.  If you were acting as a Surety for a particular obligation of another (Principal) if the obligations where not met you would have to meet those obligations on the principals behave.  Surety has been around for thousands of years ago when someone would vouch for another for whatever circumstance.
How a Surety brings peace of mind
Let us suppose for a moment that you where an owner of a large piece of land and you wanted to develop it.  After years of research money and time, you decided you wanted to build a commercial building on that land you hire a contractor to complete the project.  At first, your contract is doing a great job and everything seems to be going smoothly.  After six months of construction, the project starts running behind schedule and you have failed inspection.  The inspector tells you that the foundation is not up to code and it needs to be completely redone on top of that, the contractor walks form the job because the project has become unprofitable.   That is where a Surety would come in if you made that one of your requirements for the contractor to obtain.  The Surety would do one of the following things they would hire a new contractor, reimburse you monetarily, or finish the project.  See the Surety would take up the obligations that the principal in this case contractor’s obligations.  After the Surety has settled the claim the Surety would than go after the principal for the loss to the Surety.


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Surety Bonds protect Tax Payers

Tuesday, April 7th, 2009

Federal or State surety bonds are required by the government  to protect the tax payers investment. Usually these bonds are  for construction projects  these bonds guarantee that the project will be completed and the funds will be delegated appropriately.

If the contractor defaults on the surety bond the obligee can place a  claim on the bond and recoup their loss.

Private obligee can also request for the contractors to become bonded to protect there investments.

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Tips on How to Obtain a Surety Bond

Friday, April 3rd, 2009
Over the course of the last two years the surety Bond Industry has under gone dramatic changes. Due to increasing claims caused from suffering industries such as the car industry and the mortgage industry Surety Bonding Companies have to tighten their belts. Bonding companies are now enforcing tougher requirements and are increasing rates to compensate for their losses. Due to underwriting changes many teetering clients that had preferred rates will now be placed in the subprime market. Many established companies that had a preferred rate last year cannot qualify this year for same price or their rate has gone up. New businesses are suffering the most because preferred rates are now only for established companies. Collateral is also coming to play with many surety companies requiring it for the majority of the surety bonds they write for new business. With that said here are a few tips to help you obtain a surety bond without collateral and at a reasonable rate. Tip one: if you are a new business and you do not have a business financial prepared create a start up business financial and create a business plan as well. A start up business financial or a business plan with some companies may help you with the rate by one or two points. Tip two: send a resume Surety companies what to see experience. Showing experience may help you get out of subprime pricing. Tip three: If your credit is a little shaky or your financial s are not up to pair apply with a co-signer. When applying with a co-signer make sure that the cosigner can qualify. Here are a few qualifications for co-signers. Clean credit with no collections or delinquencies a 650 credit score or higher owning property and real estate. The real estate does not need to be owned free in clear. Keep in mind if you have a co-signer you will not be able to obtain preferred pricing but it may help you get a price break. Tip four: Use a surety bond broker your local insurance agent may not have the markets to help you since surety bonding is a specialty field. Many surety bond agents have programs that can obtain surety bonds for new business with no collateral.
Surety Bond types can be confusing you can learn more I have been writing Surety Bonds for over 10 years

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