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Mezra Finance is able to arrange the following bid bonds, performance bonds, insurance bonds and financial guarantees on behalf of our clients. Since January 1, 2001 Lloyds of London has been able to write financial bonds, and we are able to arrange placement both through Lloyds of London and the London corporate insurance market, and also with U.S. and other international underwriters. |
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Bid bondsA bid bond is a guarantee of serious intent by a party bidding for a contract. Can be called if bidder fails to proceed having been awarded the contract. Performance bondsA performance bond is a guarantee of a contractor's performance of his contractual obligations under a contract. Advance payment bondsAn advance payment bond is given as security for monies advanced at commencement of work on a contract. e.g. for purchase of materials. Construction bondsA construction bond is given in support of performance on major contracts. Retention monies bondsA retention monies bond is given in lieu of employer making deductions or retentions from stage payments under a contract. Recourse bondsA recourse bond is given in support of exporter's with recourse liability say to government export credit agency. Restoration bondsA restoration bond is sometimes requested in situations where contractors are working in sensitive environments, and are required in support of their obligation to restore the environment prior to going off site. Personal guarantee indemnityA personal guarantee indemnity insures against the calling of a personal guarantee liability (say by company directors given in support of a corporate undertaking, such as renting new premises). Deferred payment bondsDeferred payment bonds are used in connection with property purchase to cover deferment of purchase price or rent. Trade Finance SynergyWe are particularly interested in the synergy between our trade finance and insurance products. Examples include situations where clients need an advance against a letter of credit, and the advance can be secured by way of a performance bond. Banks can finance the transaction on the basis of the security of the bond up to the shipment, installation and commissioning of the product, and on the L/C thereafter.
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