We have an in-house Bond department that can help with both performance bonds and a surety bonds. These are closely related concepts in the realm of contracts and projects, often used in construction and other industries. Here’s a breakdown of each:

• Performance Bond: A performance bond is a type of surety bond that guarantees the satisfactory completion of a project according to the terms and conditions of a contract. It ensures that the contractor (principal) will fulfill their contractual obligations to the project owner (obligee). If the contractor fails to perform as per the contract terms, the bond provides financial compensation to the obligee to cover losses or damages.
• Surety Bond: A surety bond is a broader category that includes various types of bonds used to guarantee performance or adherence to contractual obligations. Performance bonds are a specific type of surety bond, but there are other types as well, such as:
  • Bid Bond: Ensures that a contractor submitting a bid on a project will enter into the contract at the bid price if awarded the contract.
  • Payment Bond: Guarantees that subcontractors, laborers, and suppliers will be paid by the contractor for work performed and materials supplied under the contract.
  • Maintenance Bond: Ensures against defects in materials or workmanship for a specified period after project completion.
  • License and Permit Bond: Required by government agencies to obtain licenses or permits for certain businesses or activities.