Anytime you enter into a contract with a business or organization, you put yourself at risk of losing your investment. This can be very frightful and keep you on the edge of your seat with your fingers crossed. With this in mind, you will want to consider taking steps to better protect your investment. One of the best ways to do this is by taking full advantage of our agreement bond options. Below, you’ll learn about the various reasons to sign up right away!
What It Is
By taking the time to familiarize yourself with the basic principles of the agreement bond, you will better understand its importance. This is a legally binding document, which is negotiated between the underwriter and the bond issuer. The agreement will set in stone a number of different factors. These will be listed below.
- Sale price and conditions
- Interest rates
- Conditions, which make it acceptable for the agreement to be voided
- Redemption provisions
By compiling this information into a legally binding contract, it is possible to better protect both sides of the agreement. In the construction field, this bond guarantees that the job is completed in a timely, satisfactory manner, while also ensuring that the contractor is paid in full!
The surety company acts as a mediator between two parties, in which they take on the responsibility to ensure a customer that a contractor will fulfill their obligations listed in the contract. A bond company or bank will offer surety bonds to these parties for a very affordable fee.
Benefits For Investors
There are innumerable benefits offered by a surety bond, but most of all it will protect the customer from any type of financial loss. Contractors also have the option of drawing up a surety bond, for example, a performance bond, that will protect them from financial loss, as well. In this type of contract, the contractor will request the customer to make and uphold the promise of payment. These are extraordinary benefits that cannot be ignored. You as a potential customer of a specific construction company should definitely consider a surety bond for your own protection against financial loss and peace of mind.
Ensuring You Get Paid
As a contractor, it is essential to pay your employees on time. To make this happen, you’ll need to work diligently to complete the task, within an acceptable amount of time and deliver full satisfaction to your clients. If you live up to your end of the bargain, you should be paid in full immediately! With our surety’s consent, we’ll help to ensure that this happens! By taking advantage of our contract construction bonds, you’ll be protected in the event of the developer failing to pay!
At the end of the day, protecting your investment should always be your top priority. In order to do this, it is vital to take full advantage of our agreement bonds which you can apply for at Constructionbond.ca. Before signing on that dotted line, you will want to contact us and begin working to protect your future, as well as the future of your corporation or business.
Other Types of Construction/Contract Bonds we provide:
- Construction Bid Bonds – Financial Security for Contract Bidding.
- Maintenance Bonds – Provides protection for a lengthier period of time.
- Performance Bonds – Guarantee of work being completed.
- Payment Bonds – Provides protection for payment workers.
- Subdivision Bonds – A bond used for subdivison development.
- Site Improvement Bonds – Making improvements to an existing project.
- Labour And Material Bonds – Helps cover Labour and Materials Cost.
- Bad Credit – Bonding for Businesses with poor credit.
- Fiduciary Bonds – Similar to Insurance (Protects your business)