If a buyer, agency, or contract requires a supply bond, send us the contract and bond form. We’ll check the amount and form and tell you what the surety needs for a quote.
A supply bond is a surety bond that guarantees a supplier will deliver goods or materials as promised under a supply contract. The buyer is the obligee, and the surety backs the supplier’s promise to perform.
Public agencies, utilities, and large private buyers can require one when they depend on a supplier delivering on time and to specification. The contract or bid documents tell you whether one is needed.
Send us the contract language and the bond form.
Both guarantee that a contractor or supplier performs. A performance bond is tied to a construction contract. A supply bond is tied to a contract to supply goods or materials.
The bond form and the contract decide what is required, so send both.
The surety wants to know whether you can deliver. It may look at credit, financial statements, your delivery history, your capacity, and the supply contract’s terms.
Larger contracts need more information.
You normally pay a premium for the bond, not the full bond amount. The price depends on the contract amount, your financial strength and experience, and the surety company.
We cannot quote a price until we see the contract and your information.
Usually the surety will look at credit and, for larger contracts, financial statements and delivery history.
If credit or financials are not strong, tell us up front. Options depend on the contract size and the surety markets available.
Send us the contract. The most useful items are:
It depends. A smaller bond with a complete file can move more quickly. Larger contracts, new accounts, or unusual forms can take longer.
If the buyer gave you a deadline, tell us when you apply.
If this is not the bond you were asked for, these pages may help.
Mostly it comes from your contract, not from state law. Public buyers can have their own rules, and federal and state procurement rules can apply.
Send us the supply contract or bond form. We’ll tell you what the surety needs next.
The Bond Agent | 3655A Old Court Rd, Suite 13 | Baltimore, MD 21208