Lease Bank Guarantee providers, BG SBLC Providers, Bank Instrument Providers

1. Bank Guarantee (BG) Kingrise Finance Limited are Lease Bank Guarantee providers, BG SBLC Providers, Bank Instrument Providers, financial instrument providers, monetizers of bank instruments, international bank guarantee providers, genuine bank instrument providers & sblc providers. TABLE OF CONTENTS 1. What is the Meaning of Bank Guarantee? 2. What are the Types of Bank Guarantee? 3. What are the Uses of Bank Guarantee? 4. What are the Advantages and Disadvantages of Bank Guarantees? 5. What are the Costs and Charges of Bank Guarantee? 6. What are the major Differences between BG & Letter of Credit (LOC)? 7. What is the process to obtain or acquire a bank Guarantee (BG)? 1. What is the Meaning of Bank Guarantee? A bank guarantee is a promise from a bank or a financial institution that if a particular borrower defaults on a loan, the bank will cover the loss. The bank guarantee signifies a lending institution ensures that the liabilities of a debtor is going to be met. In other words, if the debtor is unsuccessful to settle a debt, the bank will cover it. A bank guarantee allows the customer, or debtor, to acquire goods, purchase equipment or draw down a loan. A bank guarantee acts similarly to a line of credit, except that a line of credit can be drawn upon at will by the bank’s client. A bank guarantee is used only if the client does not pay its vendor an agreed-upon amount. U.S. credit institutions are forbidden from assuming guarantee obligations, and therefore most international transactions require a standby letter of credit.

2. Lease Bank Guarantee provider 2. Types and Examples of Bank Guarantees There are many different kinds of Bank Guarantee namely: • • A Payment Guarantee assures a seller the purchase price is paid on a set date. An Advance Payment Guarantee acts as collateral for reimbursing advance payment from the buyer if the seller does not supply the specified goods per the contract. A Performance Bondserves as collateral for the buyer’s costs incurred if services or goods are not provided as agreed in the contract. A credit security bond serves as collateral for repaying a loan. • • For example, St. Marys hospital is a new hospital that wants to buy $1 million in medical equipment. The equipment vendor requires St. Marys hospital to provide a bank guarantee to cover payments before they ship the equipment to St. Marys hospital. St. Marys hospital requests a guarantee from the lending institution such as Kingrise Finance Limited ( kingrisefinance.com ) keeping its cash accounts. Kingrise Finance Limited essentially cosigns the purchase contract with the vendor. bank guarantee provider- Kingrise Finance Limited KEY TAKEAWAYS • A bank guarantee is when a lending institution promises to cover a loss if a borrower defaults on a loan, of which there are many examples. Individuals often choose direct guarantees for international and cross-border transactions. A bank guarantee enables the customer, or debtor, to acquire goods, buy equipment or draw down a loan. • • 3. What are the Uses of Bank Guarantee?

3. • When large companies purchases from small vendors, they generally require the vendors to provide guarantee certificate from banks before providing such business opportunities. Predominantly used in the purchase and sale of goods on credit basis, where the seller is assured of payment from the bank in case of default by the buyer. Helps in certifying the credibility of individuals, which in turn, enables them in obtaining loans and also assists in business activities. • • Though there are lots of uses from a bank guarantee for the applicant, the bank should process the same only after ensuring the financial stability of the applicant/business. The risk involved in providing such a guarantee must be analysed thoroughly by the bank 4. What are the Advantages and Disadvantages of Bank Guarantees? Bank guarantee has its own advantages and disadvantages. The advantages are: • Bank guarantee reduces the financial risk involved in the business transaction. oDue to low risk, it encourages the seller/beneficiaries to expand their business on a credit basis. oBanks generally charge low fees for guarantees, which is beneficial to even small-scale business. oWhen banks analyse and certify the financial stability of the business, its credibility increases and this, in turn, increase business opportunities. oMostly, the guarantee requires fewer documents and is processed quickly by the banks (if all the documents are submitted). On the flip side, there are some disadvantages such as: • Sometimes, the banks are so rigid in assessing the financial position of the business. This makes the process complicated and time-consuming. oWith the strict assessment of banks, it is very difficult to obtain a bank guarantee by loss-making entities. oFor certain guarantees involving high-value or high-risk transactions, banks will require collateral security to process the guarantee. 5. What are the Costs and Charges of Bank Guarantee? Generally, BG charges are based on the risk assumed by the bank in each transaction. For example, a financial BG is considered to assume more risk than a performance BG. Hence, the fee for financial BG will be higher than the fee charged for performance BG. Based on the type of the BG, fees are generally charged on a quarterly basis on the BG value of 0.75% or 0.50% during the BG validity period. Apart from this, the bank may also charge the application processing fee, documentation fee, and handling fee. In some cases, security is required by the bank from its applicant, which is generally 100% of the BG value. In certain cases, collateral security or cash margin may also be accepted by the issuing bank. 6. Difference between Bank Guarantee (BG) & Letter of Credit (LOC)

4. Bank Guarantee is not the same as a letter of credit, although with both instruments the issuing bank accepts a customer’s liability if the customer defaults. With a guarantee, the seller’s claim goes first to the buyer, and if the buyer defaults, then the claim goes to the bank. With letters of credit, the seller’s claim goes first to the bank, not the buyer. Although the seller will likely get paid in both cases, letters of credit offer more assurance to sellers than guarantees generally do. LOC is a financial document which imposes an obligation on the bank to make payment to the beneficiary on completion of certain services as required by the applicant. LOC is issued by the bank when the buyer requests his bank to make payment to the seller on the receipt of certain goods or services. That is, when the buyer runs into cash flow difficulties or similar situations and thus cannot make immediate payment to the seller, he will approach his bank to make the payment to the seller on submission of certain documents. The bank will later recover the amount paid from the buyer along with the required charges. On the other hand, under BG, the bank is required to make payment to the third-party only if the applicant fails to make the payment to the third-party or does not fulfil the required obligations under the contract. A BG is essentially used to ensure a seller from loss or damage due to the non-performance by the other party in a contract. However, there are a lot of differences between LOC and BG. Major differences between Letter of Credit (LOC) and Bank Guarantee (BG) Particulars LOC BG LOC is an obligation accepted by a bank to make payment to a beneficiary if certain services are performed. BG is an assurance given by the bank to the beneficiary to make the specified payment in case of default by the applicant. Nature Bank retains the primary liability to make the payment and later collects the same from the customer. The bank assumes to make the payment only when the customer defaults to make payment. Primary liability Bank makes the payment to the beneficiary as and when it is due. It need not wait for a default to be made by the customer. Only when the customer defaults the payment to the beneficiary, the bank makes the payment. Payment LOC ensures that the amount will be paid as long as the services are performed as per the agreed terms. BG assures to compensate for the loss if the applicant does not satisfy the specified conditions. Way of working Number of parties There are multiple parties involved here – LOC Issuing bank, its customer, the There are only three parties involved – banker, its customer, and the beneficiary

5. Particulars LOC BG involved beneficiary (third party), and advising bank. (third party). Generally, this is more appropriate during the import and export of goods and services. Suitability Suits any business or personal transactions. Risk Bank assumes more risk than the customer. Customer assumes the primary risk. 7. What is Bank Guarantee (BG) Monetization And How Do You Monetize a bg? Bank Guarantee (BG) Monetization or monetisation is the process of converting bank instruments such as Bank Guarantee (BG) or sblc into money or legal tender.

6. Monetizing bank guarantee signifies raising finance or a credit line against it. If you have bank guarantee or a letter of credit, you might be able to monetize it. For bank guarantee monetization and to raise finance against it, it is paramount that the bank guarantee has been specifically formulated for the purpose of raising finance. Bank guarantees framed for other purposes cannot be generally monetized or financed. Monetizing Bank Guarantee liquidates the bank guarantee and uses them as reinforcement for cash. Almost any bank guarantee all over the world can be used to fund a project. Bank guarantee can be leased or it can be owned. Kingrise Finance Limited are monetizers of bank instruments such as Bank Guarantees (BG) and Standby Letters of Credit (SBLC). We are bg sblc monetizers.SBLC (Standby Letter of Credit) and BG (Bank Guarantee) are both financial instruments issued by banks and financial institutions. These financial instruments are used to obtain loan and financing from banks, they are also used for trade finance, foreign exchange as well as import and export transactions. Bank Guarantees (BGs) can be Monetized for: • • • Cash Placed into Trade Programs (PPP Private Placement Programs) or a Hybrid of Immediate Cash and funds in a Trade Program. Standard Monetization Terms For BG / SBLC. • BG and SBLC to be monetized must be issued by top 20 AAA rated banks such as HSBC, Citi, barclays, Stanchart etc. BG and SBLC from unrated banks cannot be monetized. Instruments with a Value OVER 5 Million Dollars BG & SBLC MUST have at least 11 months validity prior to expiry We prefer monetization transactions of $10 million or more, but we will accept transactions as low as $5 million transaction amount Transaction turnaround time between 10 to 14 working days or less Exceptions can be made to minimum transaction Brokers and intermediaries must have a legally binding agreement A broker must be direct to his client. We will not entertain diasy chain of brokers. • • • • • • • • Bank Instrument Monetization is a low-cost, low-risk method of project funding or trade finance that monetizes financial instruments by converting them into cash or cash equivalent by liquidating the instruments. Monetization converts unused assets into cash which can then be used to fund imports, exports, project financing and international trade transactions. URGENT NOTICE: It might interest you to know that there are only 10 genuine bank guarantee providers in the world and Kingrise Finance Limited is the leading provider of bank

7. financial instruments such as BG, DLC and SBLC. Contact us if you want to know the list of the 10 genuine bg sblc providers in the world and we will be glad to share that information with you. 8. DESCRIPTION OF BUY/PURCHASE BANK GUARANTEE (BG) 1. Instrument: BG (Bank Guarantee) Standby Letter of Credit (SBLC), cash-backed, 2. Total Face Value: Eur/USD 2 Million (Min) to Eur/USD 500m (Max) 3. Issuing Bank: HSBC Hong Kong, Barclays Bank London, Deutsch Bank AG, Frankfurt or any AA Rated Bank. 4. Term / Age: One (1) Year and One (1) day, Fresh Cut 5. Invoice Price: 45% Net and 47% Gross of the face value of each BG/SBLC to the Seller, including 2% consultancy fees as per IMFPA. 6. Consultation Fee: In total of 2%, which is to be split and paid to the consultants as follows: 1% to …(Seller’s Mandate).., paid by the Seller/Payer-1 1% to ………………………, paid by the Buyer/Payer-2 7. Delivery of instrument: Bank-To-Bank by SWIFT MT-760, as per the Schedule of Delivery of Buy- Sell Agreement 8. Payment for instruments: By SWIFT MT-103 wire transfer 9. Original Hard Copy: By bonded courier to Buyer’s designated Depository Bank within Seven (7) bank working days after receipt of BG/SBLC(s) settlement payment by SWIFT MT-103 into the Seller’s account. 9. BELOW IS THE DESCRIPTION OF LEASE BANK INSTRUMENTS (BG/SBLC) 1. Instrument: Fully Cash Backed Bank Guarantee {BG} or StandBy Letter of Credit {SBLC} 2. Total Face Value: USD 2Million (Min) to USD 500m (Max) 3. Issuing Bank: HSBC Hong Kong, Barclays Bank London or any prime Bank. 4. Age: One Year and One Day (with rolls and extensions where applicable) 5. Leasing Price: 4% (+ 2% brokers commission where applicable) 2% broker commission applies to clients that were introduced by brokers 6. Delivery: SWIFT MT-760 7. Payment: MT103 Wire Transfer 8. Hard Copy: Bonded Courier within 7 banking days.9. Bank Transmission fee: Depends on the face value of the bank instrument 10. What is the LTV (Loan To Value) for leased bank instruments? At Kingrise Finance Limited, we offer the best rates in the industry. All our bg sblc are issued from prime banks and we offer 80% LTV.

8. 11. What is the process to obtain or acquire a bank Guarantee (BG)? One of the easiest and best ways to obtain a bank Guarantee (BG) Is through Kingrise Finance Limited. Kingrise Finance Limited was incorporated in Hong Kong on 22-SEP-1999 as a Government Licensed Money Lender with CR No.: 0689078. We are leading providers of Business Loan, SME Loans, Project Financing, Recourse Loan, Non Recourse Loans and Bank Financial Instruments such as Standby Letter of Credit Funding, Bank Guarantee, Performance Guarantee Bond, Tender Bond Guarantee, Advance Payment Guarantee, Bank Comfort Letter, BG/CD/BD/BCL/DLC/LOC/SLOC/SBLC etc. We have been providing these financial services to our numerous customers all over the world including importers, exporters as well as customers that need credit enhancements or trade finance facilities to execute projects locally or internationally. Our loan interest rate is just 3% annually and you can get loan financing from us with or without security or collateral. The loan term is up to 30 years with a grace period up to 3 years for those in the construction industry. Our bank instruments, bg and sblc/sloc are issued from prime banks such as Barclays Bank London, Standard Chartered Bank, HSBC Hong Kong or any rated AAA bank of your choice. All our financial instruments are Cash-Backed and can be used as collateral to secure funding for projects, Discounting, Monetization and Private Placement Programs (PPP). Why Choose Us? • • • Fast Turnaround Best Top Rated Banks Competitive Low rates

9. • • • • • • • • • No prepayment penalty 2 Days for Commitment Extremely Satisfied Clients WE KEEP OUR PROMISE 20 Years of Experience & Trust No Personal Collateral Required Solutions for every customer & every industry. Loan amounts from $1 million to over $500 million Fast Approvals & Fast Funding- Closing in as little as 5 days BROKERS: We welcome new brokers who are direct to their clients. New brokers are welcomed and are rewarded with 2% commission on every deal they bring to us. Email: info@kingrisefinance.com Website: www.kingrisefinance.com Blog: https://kingrisefinance.blog