Performance Bond

Performance bond definition. Learn how a surety bond guarantees that a project will be completed if the contractor defaults.

Calculation Formula

Bond Penalty = Up to 100% of Contract Value

Real Contractor Example

A GC goes bankrupt half-way through a project. The surety company pays for a new contractor to finish the work according to the original contract.

Put This Into Practice

Knowing the definition is step one. RemodelFin tracks this in real time on every job — no spreadsheets.