A Virginia Contractor's License Bond is a $50,000 financial guarantee required for construction contractors to legally operate in Virginia. This bond protects homeowners and property owners if a contractor fails to complete work properly, violates contract terms, or doesn't follow state construction laws. If the contr…
Overview
What it is.
A Virginia Contractor's License Bond is a $50,000 financial guarantee required for construction contractors to legally operate in Virginia. This bond protects homeowners and property owners if a contractor fails to complete work properly, violates contract terms, or doesn't follow state construction laws. If the contr…
Who usually needs it
Class A and Class B contractors in Virginia who cannot meet the state's net worth requirements ($45,000 for Class A, $15,000 for Class B) must obtain this bond. Class A contractors handle single contracts of $120,000+ or annual totals of $750,000+, while Class B contractors handle single contracts of $10,000–$120,000 or annual totals of $150,000–$750,000.
Pricing & timing
What to expect.
Generic pricing
License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher de…
Typical timeframe
Issuance timeframe varies by bond type and underwriting
Application
What to do next.
Tell us the bond name, state, and amount on your form.
Share business and applicant info so the team can quote it.
Sign and pay; we issue the bond and send you the documents.
Keep your effective date and renewal date on file with us.
Start the application.
You are on the exact bond page. The next step is to start the quick application.
StateVABond amount$50,000ObligeeState of VirginiaBond classLicense BondCategoryConstructionBondVirginia Contractor's License BondJurisdictionStatePlain descriptionA Virginia Contractor's License Bond is a $50,000 financial guarantee required for construction contractors to legally operate in Virginia. This bond protects homeowners and property owners if a contractor fails to comp…Who needs this bondClass A and Class B contractors in Virginia who cannot meet the state's net worth requirements ($45,000 for Class A, $15,000 for Class B) must obtain this bond. Class A contractors handle single contracts of $120,000+ o…
