How do I get a Performance Bond?
A contractor must usually pay a premium on the bond amount as well as interest, and in most cases, you will first need to obtain a bid bond before bidding on any project.
Have you ever wanted to get a Military Performance Bond?
Swiftbonds is the fastest and easiest way to obtain a performance bond. Our process is simple, quick, and hassle-free.
You can apply online or call us at (913) 214-8344 today! It takes less than 5 minutes to fill out our application form on our website or we can help you over the phone if you prefer.
Apply now by clicking this link!
What is a SDDC bond?
The SDDC has strict requirements for anyone who wants to transport their military freight. These include a surety bond, among other qualifications and certifications that need to be met before they can do business with the DOD. A TSP according to the SDDC includes: Freight Carriers, brokers, or any entity transporting goods on behalf of another company
What does DoD freight pay?
The average salary for a DoD truck driver in the United States is $44,180. This number falls 38% below the national average and is still worth more than some of our other jobs! See our How is a Performance Bond different from a Labor and Materials Bond?
When do you need a SCAC code?
You will likely want to get one if your company takes on freight transportation. The number is used for billing purposes and many shippers will not work with brokers or carriers without it.
Do brokers have SCAC?
Brokers pay this fee too, fortunately the annual fee is based upon fleet size (non-asset based brokers pay the minimum amount). You can register with your state UCR online. 12. Standard Carrier Alpha Code (SCAC) This is optional but strongly suggested.
What are the requirements to be a FAK carrier?
The following tasks must be completed: Apply for an SCAC from NMFTA, set up a US Bank account, complete a program registration form, get DoD performance bond and comply with cargo insurance
Where can I find military freight?
Obtain a Standard Carrier Alpha Code from the National Motor Freight Traffic Association. You'll need both U.S DOT and MC numbers, as well as your credit card and email address in order to file online for $68 or on paper for $78). Read a How does Plumbing service Performance Bond work?
How long does it take to get a performance bond?
The process for obtaining a military bond will take anywhere from 24-72 hours, so this must be calculated into the overall turnaround time. In addition to these steps you may also need a HAZMAT certificate if hazardous materials will be transported.
How much is a performance bond cost?
The cost of a performance bond usually ranges between 1% and 2%. Performance bonds may be more costly depending on the contractor's credit-worthiness. Labor payment bonds are companions to the performance bond as well--they ensure that workers get paid for their work even in cases where there is no contract or project at hand.
What is a performance bond example?
A performance bond is a form of insurance in which the contractor pays for, to provide restitution if they do not follow through with their agreed requirements. See a How does Payment and Performance Bond work?
Who pays for a performance bond?
Performance bonds are a type of insurance that protects against the potential loss for providing services. The party paying for these benefits is typically an entity like your bank or even another company in this industry who can afford to pay if you cannot complete the job satisfactorily.
What happens when a performance bond is called?
Some people call performance bonds "performance insurance" because they protect the surety if you fail to perform your contract. If you're in default and it's terminated, then the obligee can demand that their bond be called upon by invoking a provision of law known as forfeiture or undertaking for damages.
Why is a performance bond required?
Performance bonds are necessary to ensure completion of projects and protect against contractor negligence. They can identify what kind of work they want done, in what timeframe it needs completed, which then means the person who commissioned them has leverage if something goes wrong with their project.
Do performance bonds expire?
Almost every surety bond has an expiration date. You may have a performance bond that lasts a year, or one lasting two years for example - but most of them will last around five to ten years in total. Here's How does Surety make Money on Performance Bond Fee?
Be sure to check out more at Swiftbonds.com