One of the South African company, who supply Urea globally. They got many contracts from different buyers to supply Urea. Now, as per global trade rules each buyer demand a Performance Bond from them. The Urea supplier doesn’t want to lose this huge business opening. Therefore, they had to arrange a Performance Bonds to achieve these Urea contracts.
The Problem: To Get Performance Bonds At a Time For Multiple Deals
The South Africa trader discussed various options with their bank to provide the Performance Bonds against all the Urea contracts. But due to their drained bank limit, bank refused to provide them such Bid Bond. Unless they deposit 100% cash margin in their bank account. Because of this refusal it was evident that they might lose these Deals.
The Solution: They Found Bronze Wing Trading on Google
After some research on the internet to find alternate ways for trade finance, the supplier came across with BWT. Also they found that Bronze Wing Trading offers these types of guarantees without obtaining any cash collateral. Thus, without wasting further more time, they contacted us through our website’s contact form. They were very keen to avail our Trade Finance Facilities.
Hence, in order to proceed further, they submitted Urea sales & purchase agreements and other company documents to BWT. Next, we did their due diligence on supplier and buyers companies. We provided the require Performance Bonds after receipt of all documents and issuance fee charges.
The result: Urea Deals Concluded With Great Success
Now, as the buyer companies received the required Performance Bond in their bank account. They begin the process to issue Letter of Credit in favor of supplier as per the terms of signed SPA to import Urea. The supplier on time delivered Urea at the buyer’s final sea port as per agreed time frame. The Urea supplier was thankful for the overall assistance provided by BWT in obtaining the required Bid Bond as per their contract terms. They promised to come back for their future transactions.