This is the third blog in a three-part series on how NASBP bond producers are uniquely situated to ensure success and growth for small contractors.
NASBP bond producers are uniquely qualified to help small contractors learn about financial management and to increase the level of financial literacy in their communities.
NASBP members typically seek to develop expertise in construction financial management and use that expertise to become effective business advisors as a means to differentiate themselves from the general population of agents who can provide surety bonds for contractors. Pictured here is Joshua Etemadi of NASBP Member Construction Bonds, Inc. with his client Maria Maria Patricia Corrales, who is Vice President of Capital Construction Enterprises and the founding member of the DC Chapter of the Hispanic Contractors Association.
There are a number of valuable ways that NASBP bond producers might use their knowledge of construction financial management and their experience as advisor-educators such as keeping abreast of the activities of the NASBP Small & Emerging Business Committee, becoming involved with the Committee’s programs to assist small contractors in growing their businesses, and participating in programs offered by organizations such as the U.S. Small Business Administration through its Small Business Development Centers (SBDC). If a local SBDC offers a financial management education program for contractors, a bond producer might be a valuable resource to assist with that program. If the local SBDC does not have a financial literacy program, a producer might help start one.
NASBP has compiled specific materials that assist producers in organizing a bonding awareness program to increase bond awareness and availability for small and emerging contractors. Contact the Director of Government Relations, Larry LeClair, at 240.200.1270 or firstname.lastname@example.org for more information. These resources provide producers an opportunity to organize or assist with a local bonding education program.
Construction trade associations sometimes offer financial management seminars for their member companies. A producer might consider contacting local chapters of these organizations to learn if these courses have been offered and if not, volunteer to create future class, or series of classes. This type of class attracts and benefits all levels of employees (president, project managers, etc.) who simply want to learn more about managing their company’s financial data and statements.
Finally, there are a vast number of institutions of higher learning that offer construction management programs, which include a financial management class in their program. A producer who has developed expertise in construction financial management and experience as an advisor might be a valuable resource for such a class, perhaps even as a volunteer teacher’s assistant. Should such a learning institution not offer a financial management class, a producer might be able to assist with organizing or creating such a class. Whereas a basic education in construction financial management is valuable for students and contractors, involvement with financial management classes can be a valuable marketing activity for producers and a generator of goodwill for NASBP and the surety industry.
The examples presented describe how NASBP bond producers can use their experience and expertise gained by addressing their clients’ financial and business management issues, in order to help increase financial literacy awareness for their communities.
Read the first NASBP Blog on this topic.
Read the second NASBP Blog on this topic.
Stephen Freeman of the NASBP Member M&T Insurance Agency contributed to portions of this blog.
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