Ask Your Surety Pro – Why Sureties Want to See a Business Line of Credit, Even If You Rarely Use It

Some construction company owners are surprised to learn that surety companies often want to see a business line of credit in place, even if it is rarely used. The reason has less to do with whether you draw on it and more to do with what it represents to an underwriter.

In this episode of Ask The Surety Pro, Brent Headley, Surety Account Executive at Anderson & Catania, explains why a line of credit functions as a financial safety net, how it helps protect the liquidity on your balance sheet, and how your bank's independent underwriting serves as a second set of eyes that strengthens your surety relationship.

If you have been wondering how big your bank line needs to be to support more bonding capacity, this episode answers that directly.

Watch time: 1:26