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How to Participate in the Surety Bond Guarantee Program

SBA provides and manages surety bond guarantees for qualified small and emerging businesses through the Surety Bond Guarantee (SBG) Program. Participating sureties receive guarantees that SBA will assume a predetermined percentage of loss in the event the contractor should breach the terms of the contract. The SBG is administered through the Office of Surety Guarantees (OSG).

The SBG Program consists of the Prior Approval Program and the Preferred Surety Bond Program. Surety companies participating in the Prior Approval Program are subject to SBA review and approval of all bonds. With the Preferred Surety Bond Program, which includes larger surety companies, SBA gives selected sureties the authority to issue, monitor and service bonds without prior SBA approval.

  • Prior Approval Program
    Any surety company certified by the U.S. Treasury to issue bonds may apply for participation in the Prior Approval Program, but its bonds are subject to SBA's prior review and approval.  SBA guarantees 90 percent of the...
  • Preferred Surety Bond Program
    The Preferred Surety Bond (PSB) Program was created to encourage larger surety companies to expand their efforts to help small businesses. SBA gives selected sureties the authority to issue, monitor and service bonds without prior SBA...

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