Ask the Surety Pro

Ask the Surety Pro

Why Is My Surety Company Asking for a Verification of Project Financing on Commercial Projects?

Why Is My Surety Company Asking for a Verification of Project Financing on Commercial Projects

Aug 8 2022

With government sector public projects, you and your bonding company know the money is there to fund the work because the funds have been earmarked for the project by federal, state, or local government. But how do you know there are adequate funds to complete commercial projects? Contractors can approach the owner and ask for…
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Accounts Receivable Collections-Best Practices Part 2

Accounts Receivable Collections-Best Practices Part 2

Aug 1 2022

Anderson & Catania Co-Founder, Richard Anderson, has another entertaining AR collection story from the front lines. You won’t want to miss this one! How important are credit and collections for contractors? AR collections are critical to keeping cash flow positive. So what can you do when you’re not getting paid, and your calls are not…
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What Suggestions Do You Have for Navigating the Current Supply Chain Bottlenecks?

What Suggestions Do You Have for Navigating the Current Supply Chain Bottlenecks?

Jul 21 2022

Supply chain issues are getting complicated and intertwined, especially on projects with multiple primes. In Pennsylvania, for example, there can be up to four primes on a single project. Can one contractor with no supply chain issues be negatively impacted by a different contractor’s supply chain problems? The short answer is yes!  But you can…
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What Risks Should Contractors Anticipate When Considering Solar Power Purchase Agreements?

Jul 15 2022

Solar power purchase agreements can be lengthy and complicated. Contractors need to keep it simple, avoid undue risk, and focus on the construction component. An underwriter will review the entire solar power purchase agreement, but contractors need to keep it simple and focus on the construction component only. Don’t get caught up in the onerous…
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What do insurance companies, banks, and surety companies have in common?

What do insurance companies, banks, and surety companies have in common?

Jul 6 2022

Banking, insurance, and surety companies are all critically important relationships for construction companies. There are subtle differences in the relationships to be sure, but they are also closely interrelated. For example, a company’s bank line of credit can have a significant impact on its ability to get bonded.  Working capital, bank LOC, operating income, and…
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Can You Get Bonded If Your Company Has A Negative Net Worth?

Can You Get Bonded If Your Company Has A Negative Negative Net Worth

Jun 21 2022

Over our 25 years in the surety business, we’ve met some excellent, successful contractors who thought they couldn’t get a surety bond because their company had a negative net worth. Nothing could be further from the truth. In fact, the SBA doesn’t even consider your company’s net worth when they look at bonding capacity. If…
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Surety Bond Pro Discusses Effective, Sure-Fire Accounts Receivable Management Strategy

Surety Bond Pro Discusses Effective, Sure-Fire Accounts Receivable Management Strategy

Jun 13 2022

Anyone who has ever had an ownership position in a business knows how stressful and challenging accounts receivable can be. Construction companies are uniquely aware of these challenges.  Almost half of all new businesses will fail in the first five years of operation. And this is often caused by poor AR collection practices, especially in…
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How Do I Know if my Bonding Company is Financially Stable?

How Do I Know if my Bonding Company is Financially Stable

Aug 3 2021

Anderson & Catania Surety Services has access to over 40 surety bond companies. Richard G. Anderson, CEO of Anderson & Catania Surety Services LLC, discusses why having this expansive access to the bonding marketplace puts AC Surety at an advantage and how contractors can determine if their bonding company is financially stable. How do contractors…
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