Bank Guarantees (Tender/Performance Bonds)
Bank Guarantees (Tender/Performance Bonds)
Tender Bonds and Performance Guarantees, Structured to Match Your Contract
Bidding on tenders or securing contracts often requires a bank guarantee — we structure and place these against your existing banking relationship or a new one, matched to the contract's requirements.
Why Businesses Come to Us for This
Tender bonds, performance guarantees, and advance payment guarantees are common requirements in contracting, construction, and government-facing tenders — but they tie up collateral or credit lines, and getting the structure wrong can affect your ability to bid on future contracts too. We structure these with an eye on your broader banking capacity, not just the immediate tender.
What's Included
• Tender bond, performance guarantee, and advance payment guarantee applications
• Bank matching based on your credit profile and the contract requirements
• Guidance on collateral or credit line impact
• Documentation and liaison through to issuance
Timeline
Typically 10-15 business days, though larger or more complex guarantees can take longer depending on collateral arrangements. [TODO: confirm if larger guarantee values typically extend this range]
Eligibility
Depends on your credit profile, banking relationship, and the specific guarantee type and value required — reviewed case by case.
Who This Is For
• Contracting and construction businesses bidding on tenders
• Trading businesses needing advance payment guarantees for supplier agreements
• Businesses managing multiple concurrent guarantees who need to plan their credit capacity
Our Process
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Contract & requirement review — understanding what guarantee type and value the tender/contract requires -
Bank matching — identifying banks suited to your credit profile and the guarantee type
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Application structuring — preparing documentation, including any collateral requirements
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Submission & liaison — managing the process through to issuance
Frequently Asked Question
- 01. What's the difference between a tender bond and a performance guarantee?A tender bond is typically required at the bidding stage to show commitment; a performance guarantee is required once awarded, to guarantee contract performance. Requirements and timing differ.
- 02. Does a bank guarantee tie up my credit line?Often, yes, to some degree — which is why we look at your overall banking capacity, not just the single guarantee, especially if you're managing multiple contracts.
- 03. How quickly can a guarantee be issued before a tender deadline?This depends on the bank and the complexity of the guarantee — we recommend starting the process as early as possible relative to your tender deadline.