To help small and emerging contractors who may lack the financial strength or track record required by traditional surety markets, the U.S. Small Business Administration administers the Surety Bond Guarantee (SBG) Program. The SBA provides a partial guarantee to the surety on bid, performance, and payment bonds, which makes it easier for contractors to obtain the bonding necessary to bid and perform on federal, state, and local contracts.
Overview of the SBA Bond Guarantee Program From Surety One, Inc.
Surety One, Inc. is an SBA-approved underwriter and a managing general agency (MGA) that specializes in placing bonds through the SBG Program. Licensed across the U.S., Puerto Rico, the U.S. Virgin Islands, Canada, and the Dominican Republic, Surety One combines focused underwriting expertise with responsive service to help agents place bond requests for contractors who need SBA support to qualify.
Ideal Accounts and Appetite
This program is designed for contractors who are pursuing public or government work but don’t meet conventional surety criteria due to limited financial statements, thin bonding history, or early-stage growth. Typical target accounts include:
- Small general contractors bidding on municipal or state projects
- Minority- or women-owned construction firms expanding into public works
- Emerging specialty contractors (electrical, plumbing, HVAC, concrete, etc.)
- Firms transitioning from private work to federal or state infrastructure projects
Example scenarios: you might have a client who won a municipal contract but lacks a performance bond history, or a women-owned subcontractor ready to step up to larger federal jobs but without the balance sheet to satisfy standard surety limits. Those are the types of accounts this program helps place.
Coverage Highlights and Advantages
- Supports bid bonds, performance bonds, and payment bonds
- SBA may guarantee up to 90% of the bond amount depending on contract type
- Enables bonding for contractors with limited financials or weaker credit
- Helps clients qualify to bid on projects they otherwise could not pursue
- Application review and quoting are provided at no cost and with no obligation
Underwriting Notes and Minimum Premiums
Surety One provides fast, no-cost reviews of SBA bond applications. Eligibility requires meeting SBA criteria, including size standards and U.S. business status. Underwriting typically reviews the contractor’s experience, project scope, cash flow, and available working capital. Minimum premium requirements vary by bond type and project size; submit the file for a precise quote and premium estimate.
Territories and Availability
The program is available nationwide: all 50 states, Washington D.C., Puerto Rico, and the U.S. Virgin Islands. Surety One is also licensed in Canada and the Dominican Republic, enabling placement for qualifying contractors in those territories where permitted.
Why Work With Surety One, Inc.?
As an SBA-approved underwriter and specialty MGA, Surety One focuses on bonding solutions for emerging contractors. Their team understands SBG Program nuances, provides prompt file reviews, and works directly with agents and brokers to clear underwriting questions quickly. Whether you need a single bond for one project or ongoing capacity for a growing contractor, Surety One can help you navigate the SBA process and place qualifying bonds.
To discuss a submission or get a no-cost review, call (800) 373-2804 or email [email protected].
Surety bond application review and quoting are free of charge. There is no obligation to purchase.