Construction Bonding: How James Moore Can Help

In the construction industry, securing a construction bond is often the key to unlocking bigger contracts and growing your business. Surety bonds are essential for winning projects, especially government or large-scale private jobs. But the bonding process can be challenging — particularly for companies doing so for the first time.

Whether you’re a growing contractor seeking your first bond or a seasoned company looking to significantly increase your bonding capacity to take on a major project, being financially prepared for the bonding process is key to your success.

That’s where James Moore’s construction accounting CPAs come in.

At James Moore, we specialize in helping contractors overcome the financial and operational hurdles that stand in the way of securing the bonding capacity they need to grow their business. With deep industry experience, our team will work alongside you to ensure your financial statements meet the standards sureties demand. So you can win the contracts that will take your business to the next level.

Top Challenges in Securing a Construction Bond

Securing bonding isn’t always straightforward. Contractors often run into a few common roadblocks when trying to obtain a bond. Surety companies rely on current, high-quality financial statements to assess a contractor’s financial stability and ability to complete a project. However, many contractors often only produce formal financial statements once a year (typically after their fiscal year ends).

By the time a bonding need arises — whether for a new opportunity or an expanded project scope — those financial statements can be outdated or incomplete. Without up-to-date documentation that summarizes your company’s current financial position, sureties may struggle to assess risk, delaying approvals or even leading to denials.

If your company is in growth mode, it may face additional challenges. For businesses new to bonding or bidding on larger projects than they’ve handled before, proving the financial stability of the business can be a significant obstacle. Sureties need assurance that a contractor has the cash flow, expertise and systems in place to successfully complete the job. Without clear and organized financial statements, even strong businesses may struggle to successfully navigate the surety underwriting process.

Learn More: Construction Bonding: What Does a Surety Want to See?

How James Moore Steps In to Help

At James Moore, we don’t just prepare financial statements. We position contractors for success in the bonding process. Here’s how we help construction companies that need to secure bonding capacity for the first time:

Understanding the Problem

Our process always starts with listing. Together, we’ll identify what’s holding you back. Is it outdated financials? Concerns over your cash flow? A lack of bonding history? By understanding your situation, we can better develop a plan that gets your business where it needs to be to make sureties feel more comfortable.

Tailored Financial Solutions

At James Moore, we’ve worked with countless contractors facing bonding roadblocks. Every business faces its own unique challenges, and those challenges demand custom solutions.

Our team specializes in building engagements that align with both your goals and the strict expectations of underwriters. By leveraging our deep construction accounting expertise, we help you position your business as a lower-risk, higher-confidence candidate for bonding approval.

This includes:

• Up-to-date financials: Many of our clients find that outdated financial statements are holding them back. We move quickly to prepare clear, timely construction financial statements that present your business’s current financial health in the best possible light.
• Improving cash flow presentation: Surety underwriters closely scrutinize your business’s cash flow. We’ll analyze your construction cash flow and help you develop cash flow projections and address areas of concern to meet bonding requirements.
• Guiding you through the bonding process: Contractors often feel overwhelmed by the bonding process. Drawing on years of experience, we act as both advisors and advocates, ensuring you understand what sureties require and how to exceed their expectations. Plus, we’ve got relationships with many top bonding agents and sureties. If you need an introduction, we’re more than happy to help.

Our hands-on, proactive approach has helped numerous contractors secure bonds they once thought were out of reach. This has allowed them to win bigger projects, increase bonding capacity and ultimately grow their businesses.

Learn More: How One Construction Company Grew from $250K to $12 Million in 5 Years

A Contractor’s Success Story

Working with growing construction companies that need support securing a bond is a core focus of our construction accounting team at James Moore. Here’s an example of what the process typically looks like, based on a client we recently helped secure a bond that helped them win their largest contract to date.

Our client, a growing business based in Florida, had an opportunity to bid on a contract significantly bigger than anything they’d worked on previously. The job required a surety bond, but the company’s financial statements weren’t ready. Their last formal financial statement was months out of date, and they weren’t sure how to meet the surety’s requirements.

James Moore’s team stepped in to help. We quickly prepared up-to-date financial statements and worked directly with the surety to address any questions, providing confidence in the contractor’s ability to complete the job.

The result? The contractor secured the bond, won the contract and capitalized on the opportunity to grow their business. Today, we’re proud to support them as their business continues to grow.

Why Choose James Moore?

At James Moore, we understand the unique demands of the construction industry and what it takes to secure bonding. Here’s why contractors trust us:

• Construction expertise: Our team specializes in construction accounting, bringing years of experience helping contractors with bonding and financial preparation for every engagement.
• Surety relationships: We know what sureties look for and have strong relationships within the surety industry. This allows us to communicate effectively and advocate on your behalf.
• Tailored solutions: We don’t take a one-size-fits-all approach. We work closely with you to understand your business and deliver customized solutions that align with your goals.

Securing a construction bond can open the door to incredible growth opportunities, and you don’t have to work through the process alone. James Moore is here to help you overcome bonding challenges, strengthen your financial statements, and position your business for long-term success.

If you’re ready to take the next step, reach out to our team today. Together, we’ll make sure you have everything you need to win your next big contract.

All content provided in this article is for informational purposes only. Matters discussed in this article are subject to change. For up-to-date information on this subject please contact a James Moore professional. James Moore will not be held responsible for any claim, loss, damage or inconvenience caused as a result of any information within these pages or any information accessed through this site.