Yesterday closed the first 2 quarters of 2014. At Surety 1, it was a stellar first half as the company grew in all departments and just booked the best month in its history in June. While we don’t claim the surety industry to be an indicator of how the overall economy is performing, we do believe that the growth we are experiencing is at least a decent signal that many economic regions of the country are stabilizing or growing. This is because about 95% of all bonds we write are for business owners. And at Surety 1, we split business into two primary categories; commercial and contract.
In the commercial department, needing a bond isn’t necessarily a sign the economy is rebounding, but the rapid growth we are experiencing may suggest more people are starting or staying in business. Some of these bonds include California Motor Vehicle Dealer bonds, Pest Control Bonds, Federal Wine Bonds, California Immigration Consulting Bonds, and San Francisco Parking Tax Bonds, just to name a few. We have seen increases in the volume of all these bonds.
In the contract department, a strong argument can be made that if our client’s are needing more bonds, the economy is improving. From subcontractors who are requiring to be bonded by its generals, to general contractors winning more jobs, there is more volume than in the past few years. We have written more performance and payment bonds, more grading permit bonds, and more subdivision bonds through the first half of last year than in same range post recession.
Contributing to our growth, an argument can also be made that underwriting guidelines have eased up again after the first few years post recession.
While there are many factors out of our control that contribute to the growth of our industry and at Surety1, the one thing we can control is the quality of our work. We pride ourselves on making the bond process as easy as possible, and in as little time as possible. Call us at 877-654-2327 for all your bonding needs.