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PERFORMANCE BOND Attachment G4 BOND No. STATE OF TEXAS COUNTY OF DALLAS KNOW ALL MEN BY THESE PRESENTS: That (contractors company) of the City of County of, and the State of, as principal and (surety

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How to fill out performance bond surety bond

01

Step 1: Obtain the necessary documents from the obligee, which is typically the party requiring the bond.

02

Step 2: Determine the bond amount required by the obligee. This will usually be a percentage of the total contract value.

03

Step 3: Research and select a reputable surety bond company that specializes in performance bonds.

04

Step 4: Contact the surety bond company and provide them with the necessary information, such as the contract details and bond amount required.

05

Step 5: Complete the bond application form provided by the surety bond company. This will require you to provide detailed information about your business and finances.

06

Step 6: Prepare any additional documents requested by the surety bond company, such as financial statements or proof of assets.

07

Step 7: Pay the bond premium, which is typically a percentage of the bond amount. This premium is usually paid annually.

08

Step 8: Once approved, receive the performance bond from the surety bond company and deliver it to the obligee as required.

09

Step 9: Maintain the performance bond throughout the duration of the contract. Ensure that all obligations and requirements are met to avoid any potential bond claims.

10

Step 10: Renew the performance bond annually or as required by the obligee, if the contract extends beyond the initial bond duration.

Who needs performance bond surety bond?

01

Construction contractors who bid on public or private projects typically need performance bond surety bonds.

02

Government agencies or project owners often require contractors to secure performance bonds to protect against financial losses.

03

Suppliers or vendors involved in large construction projects may also require performance bonds to ensure payment and performance obligations are met.

04

Some private entities, such as developers or investors, may also request performance bonds to mitigate risks when entering into contracts with contractors.

05

In summary, anyone involved in construction contracts, particularly for larger or public projects, may need performance bond surety bonds.

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