Principals shall meet the following requirements to qualify for a bond guaranty: The principal shall be of good moral character, or, if the principal is not an individual, the principal shall be owned by individuals of good moral character; As determined from creditors, employers, and other individuals who have personal knowledge of the principal: The principal shall have a reputation for financial responsibility, or If the principal is not an individual, a majority of the principal shall be owned by individuals with a reputation for financial responsibility; The principal shall: Be a resident of Maryland or have its principal place of business in Maryland, Be unable to obtain adequate bonding on reasonable terms through normal channels, Demonstrate creditworthiness and contract performance capability acceptable to the Authority, Agree in writing not to subcontract more than 75 percent of the dollar value of the contract, and Never have defaulted on any loan or financial assistance made or guarantied by the Authority.