Performance & Payment Bonds
Performance & Payment bonds are most often found in the construction market. These bonds are regularly required at the federal, state or municipal level. Performance & Payment bonds prequalify contractors who will perform, and protect the public owner should the contractor not perform. The Payment bond is in place to protect subcontractors and vendors should they not be paid.
Bonds under $750,000 may be obtained with an application and very good personal credit. Larger bonds will often require a complete underwriting submission including a questionnaire, business, and personal financial statements. As payment and performance bond needs grow, a greater depth of underwriting will be needed. We will help you understand the process and add value through our guidance. Our goal is to support growth of your bonding program, increasing single project and aggregate limits, and securing the best possible terms.
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How to Get a Performance & Performance Bond
Application Process
We will help you navigate the application process and information we need to obtain a bond. The initial application process generally involves reviewing your personal credit.
Initial Feedback
We will provide the initial feedback from your application generally within 24 hours.
Approval
Upon approval, we will have an indemnity agreement signed and explain your program parameters.
Your Local Performance & Payment Bond Experts.
Schmalz & Associates PLLC is a family-owned and operated surety bond agency. We provide exceptional and personalized service to all of our clients. Our deep surety background and strong company partners allows us to provide creative solutions to our clients.
Performance & Payment Bonds
A Supply bond is a type of contract bond. Supply bonds are used to guarantee delivery of contracted products. Unlike a performance bond, a supply bond only guarantees delivery of unharmed goods to certain place at a certain time at which point the supplier’s contractual responsibility is complete. It does not cover the fitness of the materials. Please complete our easy online application to begin the process of obtaining your bond.
Subdivision bonds are used to guarantee improvements such as roads or utilities being installed as part of land development for new residential or commercial lots. A road or sewer put in by the real estate developer will become the responsibility of the municipal entity as their asset from that time forward. As part of the development approval process, the public authority will require a subdivision bond to guarantee installation of these public improvements for their benefit and for the benefit of the future residents. Please complete our easy online application to begin the process of obtaining your bond.
Performance & Payment bonds are most often found in the construction arena. These bonds are regularly required at the federal, state or municipal level. A payment and performance bond can prequalify contractors who will perform and protect tax-payer dollars should something go wrong. Bonds under $500,000 may be obtained with an application and good personal credit. Larger bonds will often require a complete underwriting submission. As performance & payment bond needs grow, a greater depth of underwriting will be needed. We will help you understand the process and grow your program.
Maintenance bonds, otherwise referred to as warranty bonds, typically guarantee materials & workmanship on a completed project for a set period of time starting at acceptance of the work by the owner. Often a maintenance bond is requested to cover one year but longer terms can be required depending on the type of work being covered. Please complete our easy online application to begin the process of obtaining your bond.
Bid bonds are an important component of protection for an owner taking bids on a project. The penal sum is typically a specific percentage of bid value. A bid bond represents surety prequalification in that it guarantees, if low, the contractor will enter the contract at the bid price and provide Performance & Payment bonds guaranteeing the contract. Another element of owner protection is if a bidder is low but will not enter the contract, the bid bond penalty will cover the increased cost in using the next highest responsible bidder. Please complete our easy online application to begin the process of obtaining your bond.
