How often do bonding companies want to see a contractor’s financial statements?
Surety companies will periodically need to see their construction company clients’ financial statements. Here’s what you need to know.
Surety companies need to monitor the financial health of their clients for the duration of a bonded project.
We always want to ensure your profitability first and help keep you out of any potential danger zones with the profit fade on a project. While financial statements are the best way to monitor a company’s overall strength and health, how often will you need to show them to the bonding company?
There are three main factors, and it all starts with relationships, history, and profitability. Hint: Previous job losses and your aggregate bond program size (large or small) may necessitate more frequent reporting. Then there’s the “I” word. Learn what to expect so you can avoid any unwanted surprises.
Get all the facts you need in this 90-second video from Brent Headley, Surety Account Executive at Anderson & Catania Surety Services, LLC. Then let’s start a conversation to discuss how bonding companies evaluate a contractor’s financial statements.