Trade & Banking Instruments
Payment Guarantees
Assure suppliers and financiers that payment will be made.
What It Is
A payment guarantee assures a supplier, contractor, or financier that a buyer will meet its payment obligations under a commercial contract. Where a bid bond or performance bond protects a buyer against a seller's non-performance, a payment guarantee works in the opposite direction — protecting the seller against a buyer's non-payment.
This instrument is particularly useful in supply arrangements where goods or services are delivered on credit terms, or where a supplier requires assurance before committing production capacity or extending payment terms to a new commercial relationship.
By guaranteeing the buyer's payment obligation, Amorin allows suppliers to extend more favourable credit terms and buyers to negotiate better commercial arrangements without tying up cash upfront.
Who It's For
- Buyers seeking favourable credit terms from suppliers
- Businesses in new or high-value supplier relationships
- Companies structuring milestone-based payment arrangements
Key Benefits
- Strengthens negotiating position for better credit terms
- Builds trust in new or high-value supplier relationships
- Structured around the specific payment schedule
- Reduces the need for upfront cash payment or deposits
How to Apply
Share the payment terms
Provide the supply contract and the payment schedule to be guaranteed.
Assessment
We assess the buyer's standing and the payment structure.
Issuance
The payment guarantee is issued to the supplier or financier.
Typical Requirements
- Company registration and financial statements
- Signed supply or commercial contract
- Payment schedule and beneficiary details
- Note: requirements vary by facility
Frequently Asked Questions
Ready to apply for a payment guarantees?
Share your contract or tender details and receive a structured response within one business day.