It is common for a buyer to require you, as their supplier, to provide bonds (or guarantees) as part of a contract.
Bonding is also often a prerequisite for Australian subcontractors providing goods or services to domestic export-related contracts.
We may be able to help when your bank is unable to provide a bond or requires security that you are unable to provide.
We can either issue bonds directly or provide a guarantee to a bank issuing a bond.
The types of bonds we can provide are:
- Advance payment bonds that provide your buyer with security for their advance payment under an export contract
- Performance bonds that give the buyer of your product or service assurance that if you don’t meet your obligations under a contract the buyer can call on the bond to reduce its losses
- Warranty bonds that protect your buyer from loss if you don’t meet your contractual warranty obligations after the contract is completed
- US Surety bonds that allow you to meet your US bonding requirements and compete more effectively by supplying a surety bond from our registered US surety bond issuer, Liberty Mutual Insurance.
How does a bond work?
- Enables Australian exporters and companies in export related global supply chains to win more contracts
- Prevents business being lost to an overseas competitor that has the available security to have bonds issued by their bank
- Unlocks working capital, which can help finance additional export contracts.
The case studies below demonstrate how we have provided bonds to assist Australian companies win contracts.