Is eGuarantee lease bond as good as a bank guarantee in terms of lease security and claimability on demand?
100% backed, with direct cut-through, by a consortium of 7 AA/A - rated S&P global reinsurers
This consortium contains some of the world's largest reinsurers, liquidity significantly greater than Australia's largest bank
Is managed in Australia & NZ by Assetinsure - Australia's largest surety insurer, who currently supports $6.5bn in bonds across Australia & NZ
AssetInsure is APRA approved and regulated
Is unconditional, cash on demand, direct to the benefiticary, paid within 24 hours of claim
Is not dependant on ongoing tenant bond-fee compliance
Contains unconditionality wording, the same as a bank guarantee
What are the top 5 benefits of eGuarantee’s lease bond over a bank guarantee?
The lease bond does not require upfront cash or collateral, so importantly tenants will get to keep their working capital
The tenant approvals process for the lease bond is 48 hours, compared to the bank guarantee’s many weeks
The landlord claims process is applied for on the digital platform, so they receive their money within 24 hours, unconditionally, on demand
All eGuarantee records are held as digital records on one platform, so there is no lost paperwork, and no administrative delays when that record is required for review or change
The lease bonds automatically upstamps the value of the bond in accordance with annual compound increases
How should agents and tenant reps use the lease bond to their own advantage?
Agents and reps can position the lease bond to accelerate the negotiation process between landlords and tenants, and arrive at a successful conclusion with less friction and less erosion of goodwill
Agents and reps can demonstrate knowledge and value of a product that has material benefits to both tenants and landlords, thereby fostering trust and loyalty
Agents and reps can leverage the lease bond benefits to engage early with tenants seeking space in market, as well as existing tenants who are lumped with bank guarantees, as part of the lease extension discussions
Want to know more? Book time with one of our team to discuss your needs.
