Payment Bond / Performance Bond

For Existing Customers	For New Customers
Final Bond Request	Projects UNDER $200,000.00 Xpress Bond Application Projects OVER $200,000.00 Contractors Bond Application

Bond Description:

(Payment Bond-Also called a Labor & Material Bond)

Though commonly mentioned together, payment and performance bonds are actually two separate bonds that serve their respective purposes.First understand that there are three parties to a bond:

1. Principal - the entity performing the work.

2. Obligee - the entity that the work is being performed for.

3. Surety - the entity that is guaranteeing the obligation.

The payment bond guarantees that all subs and suppliers working under the Principal will be paid for labor, materials, equipment or, generally, for their contribution to the project.

The performance bond guarantees to the Obligee that the Principal will perform under the terms of the contract.

If you have any questions please call our office and speak to one of our bond specialists - 800-480-3883.