Bank Guarantee (BG)

A Bank Guarantee (BG) is a promise from a bank that if a borrower defaults on a loan or fails to meet contractual obligations, the bank will cover the loss. It serves as a risk mitigation tool in business contracts, construction projects, trade agreements, and various commercial transactions.

Key Features

Prime Bank Issuance: Issued by banks with AA rating or better

Flexible Amounts: From $1M to $10B+ available

Customizable Duration: 1 year to 10+ years based on project

Global Recognition: Accepted worldwide by contractors and suppliers

SWIFT Format: Can be issued via SWIFT MT760 or physical document

Legal Protection: Provides legal recourse in case of default

Bank Guarantee

Performance Guarantee: Ensures contract completion according to specifications

Financial Guarantee: Guarantees payment obligations in transactions

Advance Payment Guarantee: Protects advance payments to suppliers

Bid Bond Guarantee: Required in tender processes to secure bids

Application Procedure

Requirement Analysis: Determine BG type, amount, and duration needed (1-2 days)

Documentation: Submit application with financial statements and collateral docs (2-3 days)

Bank Evaluation: Credit assessment and collateral valuation (5-10 days)

Approval & Issuance: Terms finalized, fees paid, and BG issued (3-5 days)

Required Documents

• 1. Filled in application form
• 2. Verbiage required in the instrument for SBLC & BG / Pro-Forma Invoice for DLC
• 3. Trade license of your company
• 4. Share Holders List
• 5. A passport copy of the main applicant
• 6. Last Three year’s audited balance sheet
• 7. Last Six month’s latest bank statements

Application form Consult Now