Surety Bonds and Guarantees

As part of the Credit, Surety and Political Risks Practice, our Surety team has proven expertise in arranging bonds and guarantees within the Surety market. We offer expert, independent advice on all areas relating to Surety bonds and our established relationships with the Surety market, make us a leader in this specialist field.

There are a number of advantages for companies requiring bond facilities in using a Surety company to issue bonds, and these include the following:-

Working capital generally remains unaffected as bank facilities are not used to accommodate bond and guarantee exposures
Competitive pricing can be achieved as Surety companies benefit from a different cost structure to banks
Bonds issued by Surety companies are usually provided without the need for collateral security
Surety companies issue conditional bonds offering financial protection should a principal fail to perform their contractual obligation, while the principal maintains their protection under the conditions of the contract

We are able to provide individually structured facilities to meet both specific and multiple bonding needs and the following are examples of the bonds we are typically asked to provide:-

Contract Bonds

Bid/Tender
Advance payment
Performance
Retention/Maintenance

Customs & Excise Bonds

VAT/Duty Deferment
Intra-Community Movements
Warehouse

Travel Bonds

Association of British Travel Agents
International Air Transport Association
Confederation of Passenger Transport
Federation of Tour Operators

Miscellaneous Bonds and Guarantees

Rural Payment Agency
Environment Agency
Local Government Pension Scheme Bonds
Strategic Rail Authority
Highways Act & Water Industry Act