How Does an Excavation Permit Bond Work?

The bond functions as a three-party agreement:

1. Principal: The contractor obtaining the bond to perform excavation work.

2. Obligee: The City and County of Denver, which requires the bond as a condition for issuing an excavation permit.

3. Surety: The company providing the bond and guaranteeing the contractor’s compliance.

If the contractor fails to fulfill their obligations—such as violating permit requirements, causing damage to public property, or failing to restore the site—the obligee (Denver) can file a claim against the bond. If the claim is valid, the surety compensates the obligee up to the bond amount. However, the contractor (principal) is ultimately responsible for reimbursing the surety for any paid claims.

How Much Does an Excavation Permit Bond Cost?

The cost of an Excavation Permit Bond is typically a small percentage of the total bond amount. Factors that influence the cost include:

• Bond Amount Required: The bond amount is set by the City and County of Denver based on the scope and risk of the excavation project.

• Credit Score: Contractors with good credit scores typically pay 1–3% of the bond amount.

• Financial Standing: Surety companies may also consider business financials and industry experience when determining the premium.

For example:

• A contractor with a strong credit history may pay $100–$300 annually for a $10,000 bond.

• Contractors with lower credit scores may pay a higher percentage of the bond amount.

Can I Get an Excavation Permit Bond with Bad Credit?

Yes, you can still obtain an Excavation Permit Bond even with bad credit. At Swiftbonds, we specialize in helping contractors with all credit backgrounds secure the bonds they need.

Key Points for Bad Credit Applicants:

• Flexible Approvals: We work with a network of surety providers to find the best rates for applicants with poor credit.

• Higher Premiums: While premiums may be higher for applicants with bad credit, our underwriting team strives to keep costs as low as possible.

• No Collateral Required in Most Cases: We aim to issue bonds without requiring additional collateral, even for higher-risk applicants.

How to Get Your Denver, CO – Excavation Permit Bond

Steps to Obtain the Bond:

1. Apply Online: Complete a simple online application form with basic details about your business and the bond amount required.

2. Underwriting Review: Our underwriting team evaluates your credit history, financials (if needed), and experience.

3. Receive a Quote: Once approved, we’ll provide a competitive quote for your bond.

4. Pay the Premium: Submit your payment, and the bond will be issued.

5. File the Bond: File the bond with the City and County of Denver to activate your excavation permit.

Why Choose Swiftbonds for Your Excavation Permit Bond?

Benefits of Working with Swiftbonds:

• Fast Approvals: Most bonds are issued within 24–48 hours.

• Competitive Rates: We offer some of the best premiums in the industry.

• Expert Support: Our experienced team guides you through the entire process, ensuring compliance with Denver’s requirements.

• Bad Credit Options: We help 99% of applicants get bonded, even those with poor credit histories.

Consequences of Not Having an Excavation Permit Bond

Failing to obtain the required bond can result in serious consequences, including:

• Permit Denial: Contractors cannot legally perform excavation work in Denver without the bond.

• Fines and Penalties: Non-compliance with bond requirements may result in fines or other legal consequences.

• Loss of Business Opportunities: Many clients and project owners require bonded contractors for liability protection.

To avoid these risks, ensure your bond is secured and filed before starting any excavation work.

Get Your Denver, CO – Excavation Permit Bond Today!

Ready to start your excavation project in Denver? Let Swift Bonds handle your bonding needs with ease and efficiency.

Apply for Your Bond Today!

Click here to begin your application and receive a no-obligation quote. Swiftbonds is your trusted partner for securing the bonds you need to build with confidence in Denver!