Overview of Bonding Requirement for NC Landscape Contractors
The landscape contractor bond in North Carolina is a type of surety bond that landscape contractors must obtain when applying to get licensed.
The bond provides an extra layer of protection to the contractor’s clients and the state, in case they don’t run their business in accordance with applicable laws and regulations. You can learn more about these regulations in Chapter 89D of the North Carolina General Statutes. Regulations adopted within one year of completing work on a project can also apply.
If a landscape contractor is in violation of any of these rules they must remedy the violation within 30 day of completing their work. If they fail to do so, they can face a claim of up to $10,000– the bond’s penal sum.
Keep reading to find out more about this bond’s cost and what the application process is like. For any questions, you can always give us a call at (866)-450-3412.
Cost of Getting a NC Landscape Contractor Bond
The bond’s penal sum of $10,000 means that you and the surety company which signs your bond are liable for up to that amount in case of a proven claim.
The cost you will be required to cover will depend on your credit score. Applicants with a FICO score of 700 or above can pay as little as 1%, or just $100 a year. Consult the table below for cost estimations based on your credit score.
|Surety Bond Cost Based on Credit Score|
|Surety bond name||Surety bond amount||Above 700||Between 650-699||Between 600-649||Below 599|
|North Carolina Landscape Contractor Bond||$10,000||$100-$200||$150-$300||$200-$400||$300-$500|
It’s important to keep in mind that the above breakdown is only an estimate. Surety bond premiums can vary based on the applicant’s credentials, financial status and others. You can get all the facts in our surety bond cost guide.
If you want to find out your exact cost, you can submit our one-page application.
Getting Bonded with Bad Credit
Applicants who have a low credit score needn’t worry about getting bonded. Through our Bad Credit Program almost all applicants get bonded successfully, with the exception of those with ongoing bankruptcies or late child support payments.
Applicants with a FICO of 650 or below can expect to pay between 3% and 5% of the full amount: between $300 and $500. Takings steps to improve your credit score and clear past due items from your report can help you get a lower premium when renewal is due. Landscape contractor bonds in North Carolina need to be renewed annually.
Get Your Free Quote Today
You’re just a step away from getting a free quote on your surety bond. All you have to do is submit our one-page application. For this bond, you can either get an individual surety bond or a corporate surety bond.
If you get an individual surety bond, you will be able to work on projects both within and outside of your company. If you are an employee in a company and the owner obtains a corporate surety bond, however, you surety bond will only be valid for work performed under your employer’s license. If you want to pursue additional projects, you will need to obtain a separate surety bond.
If you need any assistance, our surety bond agents will help you throughout the whole bonding process and make sure they answer any questions you may have. Simply call us at (866)-450-3412.
Submitting Your Bond
Once your bond is signed by the bonding company, we’ll send you the original bond form (Form SB01). You will need to submit that as part of your licensing application. If you’re an employee and the company obtains coverage for you, they are responsible for filing the bond, so you don’t have to do anything.
Keep in mind that along with the original bond form, you also need to attach the Power of Attorney that your surety bond agency will supply for you when you apply for the bond.