Beginner's Guide to Exporting. 4th Edition.

2 6 Beginner’s Guide To Exporting SOURCING FOR EXPORT FINANCING CHAPTER 5 Facility What can Bank Guarantee-i do? When to use Bank Guarantee-i? Bank Guarantee-i Benefit: Give you credit enhancement to have a better trade term. • The bank will act as guarantor to you (the buyer) and will pay an agreed amount of money to the seller if you fail or defaults in fulfilling the trade agreement. • When you need to have trustable source of undertaking to support your import needs as the bank will provide the certainty in term of the compensation. Where can I apply for Bank Guarantee-i? Facility What can Shipping Guarantee-i do? When to use Shipping Guarantee-i? Shipping Guarantee-i Benefit: You can take delivery of goods immediately before the arrival of orginal documents such as Bill of Lading. You can avoid from demurrage charges and other pport charges. • A written promise by the bank to the shipping company to compensate if anything happens to release the goods to importer/buyer. • When you buy goods from another country, you can ask your bank to issue this to the shipping company as it can deliver your goods without waiting for the original Bill of Lading. Where can I apply for Shipping Guarantee-i?