Sponsored post by Bold Concepts
Want an edge in the crowded Federal construction market or considering Federal construction as another stream of revenue for tribal economic diversification? If yes, ACTIVBonding has the answer.
Increased bonding capacity empowers businesses to acquire higher-value contracts, thus maximizing their opportunity for success and rapid growth.
ACTIVBonding, a wholly owned subsidiary of Bold Concepts, provides small business general contractors and Tribal enterprises with a customized roadmap to obtain higher surety credit — at least two to three times greater than the market grants them currently.
In addition to accelerating bonding capacity, ACTIVBonding works with firms “to get ahead of the growth by adopting the policies and procedures they need to support their future growth,” said Kevin Wimsatt, Chief Executive Officer of Bold Concepts, ACTIVBonding’s parent company.
Accelerate Growth, Manage Risk
ACTIVBonding is partnered with Alliant Insurance Services, the largest and fastest growing surety broker in the United States. This partnership makes available to interested companies a program that not only provides much greater bonding levels, which in turn allows for rapid growth, but, more importantly, provides a support network of resources that allows these firms to implement policies, procedures, and accounting programs to control the growth.
When firms experience rapid growth in the construction world in particular, it’s a high-risk environment, underscored Wimsatt. “We help them manage that risk.”
“Navigating the waters of a Federal construction bonding program requires an effective plan for minimizing the potential for risk from running aground, damaging your business, and affecting your future bonding program (license to perform work),” Wimsatt stated.
ACTIVBonding Assessment Tool
ACTIVBonding assesses all facets of a business’ strengths and weaknesses, and then offers recommendations and resources to rectify any points of weakness. Here’s how it works.
Your company completes a 5-to-10-minute assessment tool that has been developed to evaluate your business’ readiness for growth. The assessment covers and asks the same types of questions surety companies ask when deciding whether to increase a contractor’s surety bonding program — areas like compliance, access to capital, leadership, and supply chain. The results from the assessment provide an objective picture of your business strengths and pain points. From there, ACTIVBonding can identify and connect you to the right resources and methods for adopting surety best practices. These practices will ultimately position you to grow a more sustainable business and qualify for a larger bonding program. This involves helping you satisfy the surety industry’s Three Cs:
- Capital (appropriate finances to support the bond)
- Capacity (appropriate staff and resources to complete the work)
- Character (trustworthiness and consistency)
Afterwards, you will receive, via email, a report highlighting where your business operations appear strongest, and where there are opportunities to improve. Then, within two business days, you will be contacted to discuss the results and recommend resources that can help you implement the right practices to grow your bonding capacity.
This offering was assembled by our team of top-level professionals in the surety, accounting and construction services industry. Why? To ensure that small business contractors, including Native and Tribal entities, have free access to the knowledge they need to meet industry expectations and grow strategically.
In the end, our aim is to provide accessible guidance that helps the overall small business community maximize its potential. Start Your Assessment
Four Tribes Case Study
Doyle Lowry, CEO of Four Tribes, a general contracting firm owned by the Susanville Indian Rancheria (SIR) in California, can attest to ACTIVBonding and Bold Concept’s due diligence.
Lowry was introduced to Bold Concepts back in 2007 while serving on the SIR Tribal Council. A relationship built on trust was forged between the Tribe and Bold Concepts over the course of two years.
“They were very transparent, and I think that’s key,” Lowry said of Bold Concepts’ stakeholders. “They explained everything to us: how it works, how bonding works, how banks work, how credit lines work, how government contracts work, how negotiations work. The fees and charges were clarified — and they made sure we understood them.”
This approach was a radical divergence from the way most companies propose economic development partnerships to Tribes, Lowry observed. He was impressed. “We learned what they can do — take construction companies in the 8(a) program and accelerate them to projects of a higher amount,” Lowry continued.
Four Tribes’ numbers speak for themselves. “The first day we created a bond of $10 million and $20 million aggregate. Normally, you start off really small at $500,000, maybe a million. If you can do that job successfully — that may take a year — then they’ll give you a little more bonding and you slowly build up other offers.”
ACTIVBonding increases bonding capacity, “so you can bond at a higher rate and be more successful upfront,” Lowry explained.
Today Four Tribes Construction’s bonding capacity is $50 million per project and $100 million in aggregate bonding. “It all started with ACTIVBonding’s accelerated bonding capacity,” Lowry said. “Now we’re doing anywhere from $60 million to $70 million a year in contracts.” Start Your Assessment