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Any deposit required to be paid in advance of the start of the work cannot exceed one-third of the total contract price or the actual cost of any material or equipment of a special order or custom made nature, which must be ordered in advance of the start of the work to assure that the project will proceed on schedule.
Yes. You must register as an Out-of-State Contractor and submit a Guarantee Bond Form. Visit Overview and registration for more information.
Massachusetts law prohibits a contractor requiring an initial deposit of over 33% of the total contract price unless special materials are ordered. Any contractor demanding over a 33% deposit should raise a huge red flag .
7 Terms you should include in an independent contractor agreement? Statement of Relationship. Project Description. Payment and Billing Terms. Responsibilities of Each Party. Project Timeline and Deadlines. Termination Conditions. Nondisclosure Terms, and Confidentiality and Non-Compete Clauses.
Getting bonded in Massachusetts is very easy thanks to Lance Surety Bonds online application. It takes just a few minutes to fill in and submit. Once you have provided the necessary information, we will contact you with a bond quote and a request to submit a few extra documents.
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People also ask

The exact deposit amount contractors ask for upfront varies and is especially dependent on the size of the project. For relatively small jobs, like a $16,000 bathroom remodel, contractors may ask for a 50% deposit. For large jobs, like a $100,000 full-home renovation, a 10%20% deposit is more typical.
This bond can cost as low as $250, depending on the applicants credentials. Consulting a surety professional is the best way to determine your exact surety bond cost in Massachusetts. You can request your free quote online, or you can call 1 (800) 308-4358 to speak with an experienced bond specialist.
Yes. You must register as an Out-of-State Contractor and submit a Guarantee Bond Form. Visit Overview and registration for more information.
Avoid paying in cash. Contractors cannot ask for a deposit of more than 10 percent of the total cost of the job or $1,000, whichever is less. * (This applies to any home improvement project, including swimming pools.)
Any individual or any company that solicits, bids on, or performs residential contracting as a contractor or subcontractor on an existing one- to four-unit, owner-occupied primary residence in Massachusetts must register as a home improvement contractor.

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