EPISODE · Aug 21, 2025 · 48 MIN
How to Increase Your Bonding Capacity (Contractors Must Know This)
from Built to Scale: Timely advice for scaling your construction biz! · host Mason Brady
Are you leaving bigger projects on the table because of bonding limits?In this Built to Scale episode, Mason Brady sits down with Chris Kolkhorst, Surety & Bonding leader at Higginbotham, to demystify bonding for construction companies. They break down the three types of bonds, how underwriters actually view your financials, and the smart moves you can make today to protect your bonding capacity and win bigger jobs.Topics we cover:05:25 – Bonding basics: performance, payment & maintenance07:50 – Why bonding works like credit, not insurance11:22 – First-time contractors: how to qualify15:28 – CPA reviews vs. audits (and real costs)19:06 – Predictability beats promises with underwriters29:34 – Contract clauses that protect your margins33:20 – Working capital rules: LOC vs. refinance37:02 – $1 cash = $20 in bonding capacity41:33 – Tax write-offs that hurt bondingResources:https://www.higginbotham.com/Connect with Chris Kolkhorst: https://www.linkedin.com/in/ckolkhorst/If you’re tired of surprise costs and shrinking margins, let’s fix it. Brady CFO helps construction business owners like you gain financial visibility and control. Learn more at https://bradycfo.comLet’s connect on LinkedIn 👇 🔨 Mason Brady –https://www.linkedin.com/in/masonbrady/ 📊 Layton Johns – /layton-johns
What this episode covers
Are you leaving bigger projects on the table because of bonding limits?In this Built to Scale episode, Mason Brady sits down with Chris Kolkhorst, Surety & Bonding leader at Higginbotham, to demystify bonding for construction companies. They break down the three types of bonds, how underwriters actually view your financials, and the smart moves you can make today to protect your bonding capacity and win bigger jobs.Topics we cover:05:25 – Bonding basics: performance, payment & maintenance07:50 – Why bonding works like credit, not insurance11:22 – First-time contractors: how to qualify15:28 – CPA reviews vs. audits (and real costs)19:06 – Predictability beats promises with underwriters29:34 – Contract clauses that protect your margins33:20 – Working capital rules: LOC vs. refinance37:02 – $1 cash = $20 in bonding capacity41:33 – Tax write-offs that hurt bondingResources:https://www.higginbotham.com/Connect with Chris Kolkhorst: https://www.linkedin.com/in/ckolkhorst/If you’re tired of surprise costs and shrinking margins, let’s fix it. Brady CFO helps construction business owners like you gain financial visibility and control. Learn more at https://bradycfo.comLet’s connect on LinkedIn 👇 🔨 Mason Brady –https://www.linkedin.com/in/masonbrady/ 📊 Layton Johns – /layton-johns
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How to Increase Your Bonding Capacity (Contractors Must Know This)
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