To keep their business operational and reduce the risks of their various commitments, many entrepreneurs make use of so-called bond insurance. Ultima offers its entrepreneur customers a wide array of bond services designed to meet specific needs. If you have any questions in this area, contact your Ultima broker.
Which companies should think about getting a bond?
- All construction contractors
- Professional workers and service companies
- Automobile dealerships
What are the most common types of bonds?
- Bid bonds
- Performance bonds
- Labour and material payment bonds
- Maintenance bond
What does a bond typically cover?
A bond is a contractual agreement in which the insurer typically guarantees to the bond recipient that the insured party will perform the obligations in the contract between the parties.
Prevention tips in the area of bonds
- Plan out your cash flow to avoid bank loans.
- Build equity and have enough working capital to cover your operations.
- Keep your operations and structures simple.
- Focus your business activities on your major fields of expertise.
- Reduce and spread out your risk.
- Limit the risks that can lead to disputes or litigation.
- Surround yourself with experts.
- Always provide accurate and reliable information.
- Maintain a good relationship with your bond analyst.
To find out more about the various bond possibilities, contact Ultima now.