A written irrevocable undertaking issued by the Bank to pay the beneficiary on demand if the customer (applicant) has not fulfilled their contractual obligations.
A bank guarantee enables the customer (debtor) to acquire goods, buy equipment to expand business activity & provides additional working capital. Bank Guarantees have a number of advantages they provide to both international and local businesses to enable you to tender for business which you might have previously considered out of reach, they can improve the terms of your tenders and they can help you negotiate better terms on contracts.
A bank guarantee is a guarantee made by the Bank on behalf of a customer (usually an established corporate customer) should it fail to settle a debt to a third party who is the beneficiary.
At First Capital Bank we offer a wide range of solutions at the most competitive terms, tender guarantees (bid bonds), performance and payment guarantees, customs guarantees, Advance payment guarantees, shipping guarantees etc.
The creditworthiness of the region’s largest bank by capital and assets substituted for that of the client.
The client obtains credit hence easing any liquidity constraints (First Capital Bank guarantee can be a substitute for cash deposit)
Immediate compensation in case of default by primary obligor (applicant)