Advance payment guarantee
This type of guarantee is available to customers who bid for major contracts. When a contract is awarded there is usually an arrangement for the contractor to make draw downs under the contract or to obtain advance payments.
If the buyer/employer wishes to have security for his advance payments, he will ask the supplier/contractor for a guarantee that the monies being advanced to the supplier/contractor will be re-paid within the validity of the contract.
The advance payment guarantee acts as security to enable you to obtain cash in advance to enable you to finance your project, and then complete it as per the terms of the contract.
Corporate customers engaged in major supply of goods or construction contracts.