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Bank Guarantees That Win You Bigger Contracts
Bid bonds, performance, advance payment and financial guarantees — BG limits with minimal cash margin, so your capital works in the business, not in bank deposits.
Funding Amount
₹50 Lakh – ₹200 Cr
Approval Timeline
1–3 weeks
Pricing
0.75% – 2% p.a. commission
About Bank Guarantee
In contracting, infrastructure and government supply, the bank guarantee is the ticket to play. Tenders demand bid bonds; awards demand performance guarantees; mobilisation advances demand APGs. A contractor's growth is often capped not by capability but by BG limits — and by the cash margins banks demand against them.
LOANYARD CAPITAL structures BG limits that scale with your order book. We present your execution track record, receivable quality and net worth so banks sanction meaningful limits at cash margins of 10–25% instead of the 50–100% that starves working capital. For urgent tender deadlines, we arrange fast-track issuance through banks whose trade desks move at deal speed.
Our coverage spans inland and foreign BGs, e-BGs on the NeSL platform, and guarantee restructuring — replacing high-margin BGs with efficiently margined limits, releasing locked FDs back into your business.
Key Benefits
Who Should Apply
- EPC and infrastructure contractors
- Government and PSU suppliers/tenderers
- Equipment vendors giving performance warranties
- Real estate developers (RERA and authority BGs)
- Importers/exporters needing financial guarantees
Eligibility
- Track record of contract execution
- Financials supporting the assessed BG limit
- Order book / tender pipeline visibility
- Acceptable banking conduct
- Margin and collateral within nego range
Documents Required
- Business KYC and financials (2–3 years)
- Order book and completed-works summary
- Tender/contract documents needing BGs
- 12-month bank statements
- Existing BG limits and margin details
- Net worth statements of promoters
Industries Served
Our Process
Limit Assessment
BG requirement mapped against your order pipeline.
Bank Placement
Placement with banks aggressive on your sector.
Margin Negotiation
Cash margin and commission driven down.
Issuance
Formats vetted; BGs issued to beneficiary timelines.
Limit Management
Ongoing issuance, extensions and releases handled.
Why LOANYARD CAPITAL
15+ Years
Advisory Experience
500+
Corporate Clients
100+
Lending Relationships
Pan-India
Coverage