Bonding Assistance Program

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Provides access to quality bid, payment and performance bonds at reasonable rates from surety companies when bonding capacity is needed on public or private jobs.

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Bonding Assistance Program Overview Louisiana Economic Development

Louisiana Economic Development424 subscribers

Watch on Provides access to quality bid, payment and performance bonds

Louisiana Economic Development’s Bonding Assistance Program provides access to quality bid, payment and performance bonds at reasonable rates from surety companies when bonding capacity is needed on public or private jobs. Offers 25% of contract price or $100,000, whichever is less, in bond guarantee to surety The default mitigation fund will provide recipients up to $40,000 of that guarantee, or 10 percent of the contract price, whichever is less, in mitigation funds Sureties perform all underwriting and offer competitive rates LED’s Bond guarantees may mitigate some risk to surety company, leading to a positive underwriting decision Eligibility

The Bonding Assistance Program is open to all certified Small and Emerging Business Development (SEBD) Program clients that require bid, payment or performance surety bonds.

Begin the Process (opens external page in a new window) The Process 1

Apply for the Small and Emerging Business Development (SEBD) Program at www.ledsmallbiz.com (opens external page in a new window). 2

Contact a bonding agent (opens external page in a new window) working with the Bonding Assistance Program to request the necessary application. 3

Complete the surety company’s application and submit to the surety company for underwriting and processing of application. 4

The bonding agent will notify you of the surety company’s decision and if the Bonding Assistance Program is needed. 5

The bonding agent, on behalf of the surety company, will issue bid, performance and payment bonds should you receive favorable underwriting results. 1

Apply for the Small and Emerging Business Development (SEBD) Program at www.ledsmallbiz.com (opens external page in a new window). 2

Contact a bonding agent (opens external page in a new window) working with the Bonding Assistance Program to request the necessary application. 3

Complete the surety company’s application and submit to the surety company for underwriting and processing of application. 4

The bonding agent will notify you of the surety company’s decision and if the Bonding Assistance Program is needed. 5

The bonding agent, on behalf of the surety company, will issue bid, performance and payment bonds should you receive favorable underwriting results. Getting Started Application

Apply for the Small and Emerging Business Development (SEBD) Program at www.ledsmallbiz.com (opens external page in a new window). Resources

Free program to help new and emerging construction businesses learn how to qualify for surety bonds. Click here (opens external page in a new window) for more information. Information

For more information on what a surety bond is, please visit the following booklet online (opens external page in a new window).

For additional information about what is needed to obtain a surety bond, please view the following webinar (opens external page in a new window).

Begin the Process (opens external page in a new window) Next Steps Contact the Bonding Agent

Contact the bonding agent working with the Bonding Assistance Program to begin the underwriting process. View a list of available bonding agents (opens external page in a new window).

Provide initial documents and submit to the bonding agent for review. Initial information generally requested by the bonding agent can include: Contractors Surety Application Questionnaire: Provided by the bonding agent to be filled out by the applicant with general business information and history. Business Financial…

Topic areas: Public Policy and Governance, Workforce Development.

Funding amount

This other provides Varies in funding.

Deadline

Applications are accepted on a rolling basis; there is no single fixed deadline.

Who can apply

This opportunity is open to the following applicant types:

• Not specified by the program.

Eligibility

The program did not publish a separate eligibility statement. See the official opportunity page for the full eligibility criteria.

Agency

Bonding Assistance Program is administered by Louisiana Economic Development (LED), listed via Louisiana Economic Development.