Should you get a surety bond? What are the criteria? How hard is it? What if I have bad credit? These are all questions that contractors ask every day about surety bonds. If a surety bond is so good, why is it so hard to get? That is a great question, and one I will answer in a second. First, let’s talk about the surety bond itself. Surety bonds are as old as business transactions, just about. The first one found is over four thousand years old, and dates back to Sumerian times. That is how far back insecurity goes back in business deals. People do not like to feel unsafe, and the warning “Buyer Beware” and its age attests to that. People buying a product many times feel that fear that they are making the wrong decision or that they are hiring the wrong contractor, and you want to take every opportunity that you can to alleviate that. Surety bonds are one more arrow in your quiver in this area. By taking out a surety bond, you are showing that you are trustworthy. In a very real way, you are putting your money where your mouth is. This is true because you have to pay the surety bond company back if they end up having to bail you out if you screw something up.
Remember, surety bonds make the customer feel better. Because of this, you can’t afford to be without one.