What a supply bond is
A supply bond guarantees a supplier will deliver materials or equipment as the contract says. Public agencies and project owners use them on large supply contracts.
In West Virginia
West Virginia's bonding law for state construction, W. Va. Code § 5-22-1, covers bid bonds and performance and payment bonds on construction projects. No West Virginia statute requiring a supply bond was found; when used, the purchasing agency's bid or contract documents set it.
You need this bond if you're
- A material supplier on a public contract
- An equipment vendor or manufacturer
- A distributor supplying a large private project
What the surety looks at
Your business, credit and the supply contract. Large contracts can need financial statements.