Surety Bonds
The Right Partner for Surety Bonds Makes All the Difference
$12M
Government Project Contract Value
24 hrs
Turnaround Time to Secure Bond
$0
Letter of Credit Required
Industry
Construction / Gen. Contractor
Employees
75
Entity
S Corporation
Ownership
Private
Location
Midwest
Challenge
A $12M government contract on the line and a $1M letter of credit demanded.
A general contractor bidding on a $12 million government project needed to increase bond capacity. Their existing broker said they’d need a $1 million letter of credit from their bank — which would have severely limited borrowing capacity and hurt their business.
24h
turnaround — the window Cornerstone had to secure the bond before the bid deadline closed.
What Are Surety Bonds?
A surety bond is a contract between three parties: the Principal (doing the work), the Obligee (requiring the bond), and the Surety (the insurance company). They ensure work is completed as promised and protect against fraud and financial loss.
Solution
Leveraging deep surety relationships to move fast and eliminate barriers.
With a 24-hour turnaround, Cornerstone leveraged relationships with bond companies to secure the surety bond and expand capacity:
1
Relationship Leverage
Tapped long-standing surety relationships to fast-track underwriting and skip the letter of credit requirement.
2
Performance Proof
Built a compelling case around the contractor’s track record, financials, and project history to build surety confidence.
3
Capacity Expansion
Secured expanded bonding capacity to support not just this project but future growth opportunities.
Outcome
Best financial year in company history.
Business Growth
The contract allowed the client to secure additional work and achieve the best financial year in company history.
Long-Term Partnership
Cornerstone earned this client’s full surety bond business. The two companies have worked together successfully for over four years.
“
Our previous broker wanted us to tie up a million dollars in a letter of credit. Cornerstone got the bond done in 24 hours with zero collateral. That changed our trajectory.
— Client, General Contractor
Facing a similar challenge?
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