ACL Other Services

Other Services

A bank guarantee is an assurance that a bank provides to a contract between two external parties, a buyer or applicant and a seller or beneficiary. The bank guarantee serves as a risk management tool for the beneficiary, as the bank assumes liability for completion of the contract should the seller default on their obligation.

Types of bank guarantees we provide

Bid Bonds

A bid bond is a written guarantee made out by a third-party guarantor and submitted to a client or project owner. The bid bond affirms that the contractor has the required funds necessary to carry out the project.

Performance guarantees

A performance guarantee is an enforceable commitment by a corporate entity to supply the necessary resources to a prospective contractor and to assume all contractual obligations of the prospective contractor.

Advance payment guarantees

Advance payment guarantee makes the promise that the payment will be returned to the buyer if the seller does not complete their contractual obligations to deliver the goods or services required..