Janitorial Services Bonds

Surety bonds are a critical part of today's business for many companies. Surety bonds are not only important for consumer confidence. They are also useful tools for ensuring that a company lives up to local, state, and federal standards for good business practices.

Protection

Insurance and bond companies sell surety bonds that provide a certain measure of protection for consumers. When a company purchases a bond its customers are protected from contract default or other instances where the company fails to deliver goods or services as promised. Licensed and bonded companies are much more likely to establish an extensive customer base and inspire consumer confidence.

One major industry that utilizes surety bonds is the cleaning and janitorial field. Janitorial surety bonds are issued to protect a cleaning or janitorial company against:

• dishonest employees
• employee theft or negligence
• damage to property as a result of negligence

These bonds usually require an arrest and conviction before they pay out, so it's important to remember that, in the unfortunate event of employee theft, you'll need to press charges in order to receive a payout on your bond.

Costs

As far as surety bonds and insurance policies go, a janitorial bond is relatively inexpensive. This type of bond is only purchased once and doesn't need to be renewed for each job as some types of surety bonds do, so it's relatively easy to maintain. However, it's still important to shop around for a janitorial surety bond since rates can vary widely from company to company. Generally, you should get this type of bond through either an insurance company or a bond company that specializes in surety bonds, some of which can be found online.

Poor Credit?

If you have poor credit you might have difficulty getting a bond through an insurance company, and even some specialty bond companies. Consider broadening your search and including online brokers as well as those who specialize in giving bonds to individuals or companies with poor credit. Your cost may be slightly higher, but you'll have the comfort of knowing that your company is prepared for any possible contingencies and will be more likely to attract and retain customers.