SBA Surety Bond Guarantee Program

SBA surety bonds for small and growing contractors.

Cannot qualify for standard bonding yet? The SBA backs sureties so they can bond small, new, and credit-challenged contractors. It is built for exactly who we specialize in.

See if you qualify (805) 752-8600

Up to $9M

Per contract

$14M

On federal contracts

80-90%

SBA-backed guarantee

Bid · Perf · Pay

Bonds covered

How it works

A federal backstop that gets small contractors bonded.

The SBA Surety Bond Guarantee program is simple in principle. The SBA promises to cover 80% to 90% of a surety's loss if a bonded contractor defaults. That guarantee lowers the surety's risk enough that it can write bonds for contractors who would otherwise be declined, the small, the new, and the credit-challenged.

It covers bid, performance, payment, and ancillary bonds on contracts up to $9,000,000, and up to $14,000,000 on federal work when the contracting officer certifies the need.

The numbers

Per-contract limit: $9,000,000
Federal contract limit: $14,000,000
SBA guarantee: 80% to 90%

Who the SBA program is built for

If a standard surety has turned you down, this is often the way in.

New contractors

No bonding track record yet? The SBA program is designed to get you started.

Growing firms

Bidding bigger than your current line supports? The guarantee builds capacity.

Credit-challenged

Declined by standard surety markets for credit? The SBA backing changes the math.

Disadvantaged & veteran firms

8(a), HUBZone, SDB, and veteran-owned businesses get the higher 90% guarantee.

Subcontractors moving up

Stepping into prime contracts that require bonds for the first time.

Public-works bidders

Pursuing government work, up to $14M on federal contracts with certification.

Why work with us

Small and hard-to-place is our entire focus.

The SBA program is one of the most powerful tools for getting a growing contractor bonded, and navigating it is exactly the kind of work we do every day. We help you assemble the application and place your bonds with participating surety markets.

We will be straight with you: the SBA backing expands access, but underwriting still applies and we never promise guaranteed approval. What we promise is real effort on a file other brokers will not take.

How to start

1
Tell us about your business and the job
Your trade, your history, and the contract you are chasing. No card or SSN to start.
2
We help prepare the SBA application
We assemble what the program needs and position your file with a participating surety.
3
Your bond is issued
With the SBA backing the surety, bonds that were out of reach become possible.

No card or SSN to get started.

Questions

SBA bond FAQs

Figures verified against SBA.gov. Reviewed by Michael Melshenker, CEO.

What is the SBA Surety Bond Guarantee program?

It is a federal program where the U.S. Small Business Administration guarantees 80% to 90% of a surety's loss on bonds for small businesses. That guarantee lowers the surety's risk, so it can issue bonds to small, new, and credit-challenged contractors who would not qualify for standard surety credit.

How large a contract can the SBA guarantee a bond for?

Up to $9,000,000 per contract for any project, and up to $14,000,000 on federal contracts when the contracting officer certifies that the guarantee is needed. It covers bid, performance, payment, and ancillary bonds.

Who qualifies for SBA-backed bonds?

Small businesses that meet the SBA size standards and cannot obtain bonding through standard markets. New contractors, credit-challenged firms, and socially or economically disadvantaged, 8(a), HUBZone, and veteran-owned businesses are common fits.

Can I get an SBA bond as a new contractor or with bad credit?

Often, yes. That is the point of the program, and it is squarely our specialty. The SBA backing expands access, but underwriting still applies and no honest broker promises guaranteed approval. We work your file to get it placed.

How much does an SBA bond cost?

Pricing is comparable to standard surety premiums, plus a modest SBA fee. The program is about access, not a discount. We quote your specific bond so you see the real number.

Learn more

Related guides

Think you can't get bonded? Let's find out.

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