Get the free BID BOND - dnr state oh

This document serves as a bid bond for the Principal and Surety bound to the State of Ohio, ensuring that the Principal will enter into a contract if awarded a bid for operation as described.

How to fill out bid bond - dnr

How to fill out BID BOND

1. Obtain the BID BOND form from the relevant authority or project documentation.
2. Fill in the project name and details at the top of the form.
3. Enter your business name and address in the specified sections.
4. Provide the amount of the BID BOND, typically a percentage of the bid amount.
5. Include the performance period and any relevant deadlines.
6. Sign the form with the authorized signatory for your organization.
7. Have the BID BOND notarized, if required by the bidding authority.
8. Submit the BID BOND along with your bid proposal by the deadline.

Who needs BID BOND?

1. Contractors and vendors submitting bids for public or private projects.
2. Organizations requiring a guarantee that the bidder will enter into a contract if selected.

People Also Ask about

What is a 5% bid bond?

The amount of a bid bond – also known as the penal sum – is usually a percentage of your total estimated project cost — most commonly 5% to 10% of the bid amount. Example: If you're bidding on a $500,000 job and the requirement is a 10% bond, you'll need a $50,000 bid bond.

What does a 10% bid bond mean?

Generally, this percentage is between 5 and 10%. For example, for a $500,000 bid, the contractor will have to secure a bid bond for $50,000. That $50,000 serves as a guarantee that the contractor will complete the project for the $500,000 bid value.

Do you get your money back on a bid bond?

The bond money pays the premium to the bonding company to put up a bond for the duration of the project. Typically the fee is about 1% of the project and no the fee is not returned.

What is a bid bond in court?

California bid bonds are required for public works contracts when the anticipated contract exceeds $25,000. For federal projects, all bidders are required to submit bid bonds under the Miller Act. Bid bonds are not generally required for private contracts but may be required by certain lending institutions.

How does a 5% bid bond work?

A $100,000 construction contract will need a $5,000 bond if it's a 5% bid bond requirement. That means you will need a $10,000 bond if it's a 10% bid bond requirement. Now, bid bonds are usually much smaller than the total costs in the contract.

Do you get your bid bond back?

If the Bidder is not awarded any item, the bid bond or check furnished with the bid will be returned immediately upon award of the bid or as detailed in the specifications.

What are the benefits of a bid bond?

Bid bonds are important in construction projects. They protect the project owner by ensuring the winning contractor will follow through. If the contractor fails to enter into a contract per the bid, the bond compensates the owner for the difference between the winning bid and the next lowest bid.

How does a bid bond protect the owner?

Bid bonds can be the key to a contractor getting an opportunity to pursue a project, and they ultimately protect the project owner by discouraging contractors from submitting inappropriately low bids to win a contract.

For pdfFiller’s FAQs

What is BID BOND?

A BID BOND is a type of surety bond that is submitted by a bidder during the bidding process for a construction project. It serves as a guarantee that the bidder will enter into a contract and provide the required performance and payment bonds if selected.

Who is required to file BID BOND?

Typically, contractors or vendors who submit bids for public construction projects or large private projects are required to file a BID BOND. It is often stipulated in the project specifications.

How to fill out BID BOND?

To fill out a BID BOND, the bidder must enter their name, the name of the project, the amount of the bid, and the required bond amount. Additionally, it should include the signature and seal of the surety company providing the bond.

What is the purpose of BID BOND?

The main purpose of a BID BOND is to protect the project owner by ensuring that the selected bidder will accept the contract and that adequate performance and payment bonds will be provided.

What information must be reported on BID BOND?

The BID BOND must report the name of the bidder, the construction project involved, the bid amount, the bond amount, the surety company's details, and signatures of both the bidder and the surety company.