Solution: Surety Bonds and Guarantees
Insurance solutions that can fully replace traditional bank guarantees in B2B and B2G transactions. By using surety bonds and guarantees issued by insurers, businesses can unlock credit lines previously tied to guarantee requirements, freeing borrowing capacity with their banks for strategic investments or operational needs. This approach not only enhances liquidity but offers greater flexibility and cost efficiency in managing financial commitments.
Main Types:
Commercial Bonds: Tax bonds (tobacco, alcohol, motor fuel), Environmental (including (EC) No 1013/2006), Customs bonds and more.
Contract Bonds: Payment bonds, Bid bonds, Performance bonds, Advance payment bonds, Warranty bonds and more.
Tailored Bonds: May be tailored to meet specific contract requirements in a B2G or B2B project.
Why Surety Bonds and Guarantees?
Improved Liquidity: Freeing up credit lines with your bank.
Tailored Approach: Products can be tailored for a specific project.
Collateral Requirements: In contrast with bank guarantees, surety products typically do not require any collateral.