Understanding Trade Finance
Many organizations require security documents to provide a financial guarantee in case a successful tenderer fails to proceed with an awarded contract or is unable to perform the job as agreed. These security documents are sought as a form of protection for the organization against any potential non-performance or default by the contractor.
It’s important to note that the specific security documents required may vary depending on the organization and the nature of the project. Organizations typically outline their specific requirements in the tender or contract documents.
Who is eligible for Trade Financing?
This product is for clients involved in the following areas:
- Supplies
- Service industry ( consultancy )
- Construction business ( contractors, engineers etc.)
Bid Bonds
The purpose of a bid bond is to ensure that the bidder is serious about entering into a contract if their bid is accepted.
Advanced Payment Guarantee
This guarantee serves as a safeguard for the client in case the recipient party fails to fulfill its contractual obligations.
Import Duty Financing
Helps importers manage their cash flow and working capital by providing funds to cover the cost of duties.