The presence of contractors in every project, large or small, has an important role. In a project, the contractor must always update the progress of each project to the project owner. Usually, in the construction of a large project, the contractor will have subordinates such as subcontractors who will always provide an overview of the development of the project being built. He helps play Contractor. This is because only one project when is in the physical construction stage of the building in the field, the main contractor cannot handle all types of work alone. They will always have a subordinate who helps them or what is called the subcontractor. If all work is carried out by the main contractor alone, then this can be dangerous for the completion target which is likely to be delayed. Therefore, the main contractor will recruit subcontractors to assist in the projects he is working on. Of course, in this case, the selected subcontractor is a subcontractor who has certain standards to be trusted.
One of the things that bind a large project is an agreement or agreement that involves three parties, namely insurance, project owner, and contractor. This agreement is provided by the surety company. The content is usually about compensation to the client or project owner when the contractor is unable to fulfill the obligations that have been written in the agreement. The project work contract is an inseparable part of the guarantee implementer. However, if the contractor carries out his obligations properly and following the contract agreement, the guarantee implementer will end automatically.
If the contractor fails to fulfill the mutually agreed conditions, the surety company must pay the entire loss to the project owner, amounting to the value of the guarantee that has been stated. To understand more about surety bonds, read more on the surety bond website
