2. A lot of businesses get
benefited by bank instruments
like BG, SBLC, and many
other forms but then again, a
lot of businesses don’t know
the value of the same.
Investing in bank instruments
as such can provide you a lot
3. What is a bank guarantee?
A bank guarantee is a type of
bank instrument in which your
bank provides a guarantee to your
creditor, party or a beneficiary on
behalf you (as a debtor or a
buyer) that if anything happens
due to which you are unable to
pay them the money, the bank will
effect payment n default of
4.
5. Why should anyone opt for bank guarantee?
There are a lot of reasons you
should opt for a bank guarantee
and investing in a BG is a good
idea. Here is why –
1. Bank guarantee requires less
number of documents, no
necessity for collateral and, as a
result, the customer receives the letter
of guarantee within shorter period of
6.
7. 2. You as a buyer don’t have to
make any advance payment in
terms of BG which means you
can use your funds in a more
effective way.
3. You as a buyer can gain a lot
more reliable partners with the
help of a bank guarantee both
nationally and internationally and
8. 4. The seller however, is more
likely to be protected from
default of a buyer on payment
and is able to perform prompt
sales without asking advance
payment.
The advantages of bank
guarantee itself are the
9.
10. Investing in these instruments
will only help you a lot in terms
of your various business
ventures and grow more.
There are a lot of bank
instrument such as BG or
SBLC providers in the market
and you must make the right
11. You must make sure that you know all
the terms and conditions and
understand each and every needs of
the investment.
Investing the wrong way will only put
you in trouble.