An Advance Payment Bond is a guarantee, arranged by the party receiving an advance payment, to the party advancing the payment.
A Construction Performance Bond agreement usually involves the below parties
The Surety – Insurer
The Contractor – appointed on the development in question
The Beneficiary – the party to whom the Insurer will pay compensation to
What does a Construction Performance Bond do?
A Bond gives peace of mind against the possibility of a Contractor failing to carry out all their responsibilities under a contract. Should the Contractor be in breech of contract the Insurer will compensate the Beneficiary as stated in their contract.
A Performance Bond is a guarantee, usually with a value of 10% of the initial contract price, however in some cases this can vary to include land values.
Road and sewer bonds are required in connection with agreements with local Water boards and Planning Acts. These bonds guarantee the completion of roads and sewers to enable them to be adopted by the relevant authority.
Like a sewer bond these bonds make a guarantee to the local water board.
Give your client peace of mind with the help of Retention Bonds arranged by Roylemac10
A road bond is required before any new development can receive planning permission.
A completion bond is a financial contract that ensures that a project will be completed should the contractor or developer run out of funds.
Surety bonds provide financial security and construction assurance by giving project owners the confidence that contractors will perform the work and pay specified subcontractors, labourers, and material suppliers.
CONSTRUCTION PERFORMANCE BONDS
Head Office, 169 University St, Belfast BT7 1HR
Tel: +44 (0) 28 9099 3244
27, King Street, Delph, Oldham, UK. OL3 5DH
Tel: +44 (0) 161 694 6885
20-22, Wenlock Road, London, UK. N1 7GU.
Tel: +44 (0) 20 3858 9589