In addition to the California Contractors Bond, a California Bond of Qualifying Individual in the amount of $12,500 may be necessary under the California Business and Professions Code Section 7071.9 if the qualifier is listed and a Responsible Managing Employee (RME) or Responsible Managing Officer (RMO). If the qualifier meets these requirements, then a California Contractors Bond of Qualifying Individual must be executed.
Bonds Express offers a California Contractors Bond of Qualifying Individual with a 99% approval rate.
Effective January 1st, 2023, the required bond amount is being increased from $15,000 to $25,000 per the State of California.
A surety bond protects the party requesting the bond, the Obligee, against any financial losses as a result of poor financial decisions, damages, unethical decisions, or a failure to follow state and local laws on the part of you, the Principal. The California Contractors Bond of Qualifying Individual holds you accountable for your business decisions.
By possessing a California Contractors Bond of Qualifying Individual, you are telling your Obligee that you can be trusted as a Principal and that you stand behind your business decisions.