Small Business Administration
The U.S. Small Business Administration (SBA) can guarantee
bonds for contracts up to $5 million and for federal projects
up to $10 million (with federal contracting officer approval) covering
bid, performance and payment bonds for small and emerging contractors
who cannot obtain surety bonds through regular commercial channels.
SBA’s guarantee gives sureties an incentive to provide bonding for
eligible contractors and thereby strengthens a contractor’s
ability to obtain bonding and greater access to contracting
opportunities.
A contractor applying for an SBA bond guarantee must qualify as a
small business, in addition to meeting the surety’s bonding
qualifications. For more information, visit the U.S. Small Business
Administration's Office of Surety Guarantees (OSG).
State Resources
States also may offer bond assistance or guarantee programs for small
and emerging contractors. Construction firms should consult with
state agencies in their jurisdictions to find out if such programs
are available and if they are eligible to participate, or contact
an NASBP member who may be knowledgeable about such
programs.
To find an NASBP member in your state, click here.