Contractors in Virginia have the option of posting a $50,000 surety bond in lieu of providing financial statements showing a minimum net worth. This was a result of bill SB 1113, passed in April 2017. There are two classes in for contractors: A and B.
- Class A: Contractors handling single contract amounts of $120,000 or more, or if the total value of all of the contracts undertaken in the past 12 months is $750,000 or greater. Class A has a $45,000 minimum net worth requirement.
- Class B: Contractors handling a single contract valued between $10,000 and $120,000, or those who have had a total contract value over the past 12 months in an amount between $150,000 and $750,000. Class B has a $15,000 minimum net worth requirement.
Several cities and counties in Virginia may have their own bond requirements, separate from what is required by the state. Please be sure to consult with your local entity for more specific information.
Pacific Surety offers approvals for almost all credit situations. Whether you are a new or existing contractor, we can help! Once our simple application has been completed, we can have pricing to you within hours.