What are the Benefits to a Company for Raising Lines of Credit?

There are many benefits from obtaining a credit line from a bank or other lending institutions. Before we embark down this road there is one question… Can you gain access to a credit line? Yes, all companies who are urgent to raise funds, as a result of tighter banking requirements or even negative impacts of the global pandemic or Brexit, can access credit lines.  

Help is at hand via Demand Bank Guarantees. These enable you to access credit lines with all the attendant benefits. If this is a new concept to you then please continue to read this blog, we go through how and who can help to facilitate such instrument.  

Demand Bank Guarantees 

A Demand Bank Guarantee is a financial instrument issued by banks on behalf of their clients. This the only guarantee that can be monetised and used for lines of credit and is governed by ICC Uniform Rules for Demand Guarantees, (URDG 758). The format consists of precise wording used exclusively for monetisation purposes. The beneficiary of a Demand Bank Guarantee can use the instrument as security to obtain a line of credit. 

Where can I find a Demand Bank Guarantee? 

There are companies that specialise in obtaining Demand Bank Guarantees. One such company that has made a name for itself in this market is IntaCapital Swiss. They have been providing companies with Demand Bank Guarantees for over a decade.  

IntaCapital Swiss have an amazing database of companies that lease Demand Bank Guarantees. These guarantees are made available to companies in need of credit lines. This is made possible through their highly popular financial product, The Collateral Transfer Facility. If your bank refuses to lend against the Demand Bank Guarantee IntaCapital Swiss can supply alternative lenders. 

The Benefits of Credit Lines 

If recent times have propelled your business into financial strain, a credit line could bring you instant cash flow. The instrument can be renewed year on year, and up to seven years.