Every small business that requires bonds should know about the US Small Business Administration’s Surety Bonds Program. This program gives enormous advantages to businesses that might struggle to obtain your first bond or if you need a larger bond than other carriers will permit, but you still can handle. Once you obtain your bond through the program, it may give you the opportunity to grow your company further.
The program allows the U.S. government to guarantee bonds issued by select surety companies. This means that small businesses that otherwise might struggle to obtain a bond will have a better chance to get the performance bonds they need to grow their company.
The types of bonds that the SBA will guarantee include:
There are two groups of businesses that the SBA program benefits:
1. Preferred Small Businesses: This includes women owned businesses, minority-owned businesses and veteran-owned businesses.
2. Non-Preferred Small Businesses: If you’re not a member of one of the preferred groups above, an admitted agent may still be able to make a case for your acceptance.
The program is especially valuable if you have more than 5 years’ experience, but also if you have only been in business for less than a year. Many carriers will not write a bond on a business that’s less than a year old. The SBA, however, may overlook that requirement if you show that you have several years of experience working for someone else.
Not just any surety agent can help you with the SBA program. You must speak with an SBA Admitted agent who represents an SBA-approved carrier.
Unique Surety and Insurance Services, LLC. is licensed and approved by the SBA in the 48 contiguous states and Alaska, and we’re happy to answer any questions you might have.
Call us at 800-321-1007 to discuss whether your company would be a good fit for the program.
We've been underwriting for 40 years working with only the most reputable surety carriers nationwide.
We can get you the answers you need in a matter of minutes.
We offer sound business advice to help you build your bonded business.