Monetize a Bank Guarantee

Description

Bank Guarantee is a promise for a bank to pay a sum to a beneficiary on behalf of their customer in the event that the customer can’t make payments. 

Most often, bank guarantees apply only whenever the issuing bank’s guarantee is not contingent on the existence, validity, and enforceability of its customer’s obligation. This is called an “abstract” guarantee (i.e., the bank’s obligation is to pay regardless of any disputes between its customer and the beneficiary).

Qualifications

Our starting point is instruments over $20,000,000.00 or more, participating clients must have proof of funds and a signed copy of our CIS/ KYC (Customer Information Sheet / Know Your Client Form).

Benefits

They secure beneficiaries against the commercial risks associated with the partner’s non-compliance or partial compliance with the contract.

Process

  1. Participating customers must first schedule a consultation call.
  2. Upon confirmation of the call, the client will receive the initial paperwork.

    •  CIS / KYC (Customer information sheet / Know your client).

  3. Following the consultation, AltFunds Global will offer the following:
    • A signed fee agreement for services rendered.
    • Mutual non-disclosure, non-circumvent agreement (NDA /NCA)
  4. The client is then provided with a deed of agreement (DOA) that details the issuer, monetization fee, broker fees, and closing procedures.
  5. All parties must execute the deed of agreement once it has been signed.

Paperwork

  • KYC (Know your Client Form) or CIS (Customer Information Sheet) with a copy of the instrument.

  • Mutual Non-Disclosure Agreement and Non-Circumvent Agreement (NDA/NCA)

  • Fee agreement for services rendered

  • Deed of agreement

Fees

Our fees are 2.5% of the face value of the instrument.

Commission to brokers

0.5% of the face value of the instrument.

Timelines

We can often execute a contract in 7-10 banking days.

Disclaimer

  • AltFunds Global provides non-recourse loans through registered dealer brokers. AltFunds Global rarely provides loans by itself.
  • All clients are welcome (and are encouraged to) bring any business consultant or legal counsel to any of their meetings with AltFunds Global
  • The client is fully responsible to cover any legal fees, and tax obligations associated with their transaction.
  • Banking days and timelines may fluctuate based on the market & various banking conditions.

Are you ready to take the next step towards achieving your financial requirements?

If so, get started by clicking the button below.