How long does a quote take?
A quote takes between 24 – 48 hours to finalize, subject to all information being received.
How Much will it cost me?
It depends on the strength of your financial statements. Premium can be between 1 to 3.5% ex vat paid upfront, pro-rata, per annum. The minimum invoice period is for 6 months.
Here is an example and is for illustration purposes only. Let’s assume you have won a R5,000,000 project requiring a 10% construction guarantee of R500,000 for 11 months. We will further assume that you qualify for 2% ex vat premium. The cost would be R500,000*2%/12*11 = R9,166.63 paid upfront and once-off.
Is collateral required and if so, how much would it be?
It depends on the strength of your financial statements. Collateral can be anywhere between 0 – 30% of the guarantee value. On successful cancellation of the guarantee your collateral will be reimbursed with any interest accrued.