As a contractor, trader, supplier, manufacturer or builder, taking up large scale projects can be a risky business. One of the biggest challenges is the requirement of bank guarantees, which can significantly limit working capital. However, with the introduction of Surety Bonds in India, businesses now have an easy and cost-effective alternative to bank guarantees. In this blog, we will discuss the benefits of Surety Bonds over Bank Guarantees and the role of Surety Se7en as the first Surety Bond provider in India.
Benefits of Surety Bonds over Bank Guarantees in India
Surety Bonds have numerous benefits over Bank Guarantees. We will go as far as to say that no one, in their right minds, will choose Bank Guarantees over Surety Bonds in India, if there is an option to get a Surety Bond.
- No Collateral Required: Unlike bank guarantees, Surety Bonds do not require any collateral. This means that contractors can use their working capital more effectively, without having to pledge assets as collateral.
- Quick and Cheap: Risk analysis by insurance companies is quick and efficient. This results in lower costs for Surety Bonds as compared to Bank Guarantees. This is because Surety Bond providers have a better understanding of the risk involved in large-scale projects. Thus, they can provide more competitive pricing.
- Charged on a Prorata Basis: Surety Bonds are charged on a prorata basis. Bank Guarantees, on the other hand, are charged on a quarterly basis. This means that contractors only have to pay for the time the bond is active. This provides greater flexibility and can significantly reduce the overall cost of taking up a large-scale project.
Role of Surety 007
Surety Se7en is an innovative Surety-tech provider in India, established with a vision to change the way Surety Bonds are perceived and utilized in India. The company has already made significant strides in the industry, providing easy access to Surety Bonds and changing the way business owners and managers think about working capital.
Surety 007 technology for surety bonds in India
Surety Se7en has been able to leverage technology to increase awareness about Surety Bonds in India. Our website provides easy access to information about Surety Bonds and how they can benefit contractors. In addition, we have developed a proprietary algorithm to quickly assess risk and provide a quote within minutes. This ensures that contractors can get the Surety Bonds they need quickly and efficiently, without having to go through a lengthy and complicated process.
Surety Se7en’s technology in the Surety-Tech space is leaps and bounds ahead of any other player in India. Our platform provides project awardees with a user-friendly interface to purchase and manage Surety Bonds. The platform also provides the ability to make payments in instalments, providing contractors with more flexibility and liquidity.
Surety Bonds are a game-changer for contractors and builders looking to take up large-scale projects in India. With their low cost, easy access, and flexible payment options, Surety Bonds are a great alternative to Bank Guarantees. Surety Se7en is at the forefront of this revolution, providing business owners with the tools they need to succeed. With our advanced technology and customer-centric approach, Surety Se7en is changing the way Surety Bonds are perceived and utilized in India.
In conclusion, Surety Bonds are an essential tool for business owners looking to take up large-scale projects in India. They provide a cost-effective, easy-to-access alternative to Bank Guarantees, with flexible payment options that can significantly enhance working capital. With Surety Se7en’s advanced technology and customer-centric approach, contractors can be assured that they are getting the best possible value. Furthermore, their projects are protected by a reliable and trustworthy partner. So, if you’re looking to take on a large-scale project in India, make sure to explore the many benefits of Surety Bonds, and discover how Surety Se7en can help you secure your success.