Our difference

The most dangerous phrase in business: “We’ve always done it this way.”

– Forbes Jan 28, 2019

Therein lies the problem. The bank guarantee system for commercial property leases is way past its use by date. But because “we’ve always done it this way” some businesses are reluctant to change.

Smart businesses embrace change.

Here’s why bank guarantees are failing both tenants and landlords.

For landlords,

Losing a tenant - if they’re unable or unwilling to provide cash or asset-backed security
Unable to claim on the guarantee - through fraud or an injunction against payout
Insufficient cover - if the value of the guarantee doesn’t increase in line with rental increases or even cover an upfront incentive

$10bn+ in tenant capital tied up in Australian and New Zealand bank guarantees

Why eGuarantee is a better guarantee

Here's how eGuarantee strengthens the position of both landlords and tenants

Landlords:

Reduce occupancy worries: with a solution that provides the same level of security but doesn’t disadvantage tenants’ cashflow. And with the ability to cover early incentives and fit-out commitments you can offer a higher incentive to secure the deal
Get a retention advantage: encourage lease renewal and upgrades by offering existing tenants the opportunity to swap out and access their security funds
Upweight security value: so you aren’t exposed. eGuarantee automatically does this with any rent escalation. As the tenant just pays a fee, you can even ask for a higher level of cover
Protect your business from fraud: eGuarantee’s robust, encrypted online platform provides the security your business needs
Options to get the deal done: as more and more landlords accept eGuarantee’s lease bond solution, don’t risk not having it as an option for tenants

Tenants:

Put your money to good use: it’s your money, so save your cash and use it to benefit your business
No upfront collateral: a lease bond requires no collateral, but you get the same level of security, for a small percentage of the bond value paid as a fee
Lease ends early: the unused portion of the fee is returned to you

A lease bond means less paperwork, and faster approval times for landlords and tenants, plus a happier tenant with more liquidity.

Here's what businesses have to say

“

At Centuria, we’re delighted to be accepting eGuarantee’s lease bonds, for us this has meant a tangible benefit to our Customers, seamless delivery and ease of preparation. Helping our tenants succeed helps us succeed. The lease bond solution strengthens our Customers’ businesses and so makes them more long-term and more profitable for us too. We’ve found the whole team and the platform to be very easy to work with.

- Mark Jones, General Manager – Centuria, Victoria / Landlord

“

The lease bond was a fundamental element agreed upon by both parties, as it ensured that the landlord's necessary guarantees and tenant’s needs were met during a complex lease transaction. The team at eGuarantee were excellent in working with all stakeholders, enabling the landlord to receive the guarantee over the lease without the tenant having to tie up a significant amount of working capital. As a result, it was a win-win outcome for everyone involved. I recommend eGuarantee for their excellent services.

- Robert Gishen, National Director – Colliers, Office Leasing / Agent

“

We are encouraged to be curious at MinterEllison – in fact it is one of our key values. This curiosity means that we are always looking at ways of creating a better client experience. Our own discovery process convinced us that the eGuarantee platform could provide advantages to our clients – not just for routine leasing but also when transacting real property assets. By working collaboratively with the eGuarantee team and our clients, we've been able to help develop legal drafting solutions to allow landlords and tenants alike get on with the job of leasing up, occupying and transacting commercial premises.

- Adrian Rich, Partner – MinterEllison / Intermediary

“

We used eGuarantee to unlock capital which otherwise would have been tied up in a bank guarantee, allowing us to lease a higher quality office space and negotiate better terms on our lease.

- Charlotte Bungard, Director/COO – Scendar / Tenant

“

Thanks eGuarantee for your support and incredible product. This is a MUST for anyone scaling through physical expansion while maintaining liquidity. For BOWERBIRD Interiors this product has freed up hundreds of thousands in working capital to allow us to continue to drive our business forward.

- Geoff Lewis, Managing Director – BOWERBIRD, Interiors / Tenant

Ready to dRisk?
Get started.

Have more questions?

How it works

Landlords can claim all or part of the lease bond with a click of a button – anytime, anywhere – through the eGuarantee online platform. With just a letter of demand, claims are usually paid within 24 hours.

Here’s a brief overview of the eGuarantee’s lease bond solution process.

1. Tenant applies

indicative approval on average in 48 hours

2. Tenant is approved

eGuarantee provides the landlord a lease bond, just like a bank guarantee. That is: an unconditional, irrevocable and on-demand financial guarantee offering 100% of the lease value as security

3. Tenant pays small annual fee

rather than a large cash or asset-backed security

Accepted by industry heavyweights

eGuarantee is already used by some of the biggest names in the commercial property sector and is accepted by Dexus, Centuria, Investa and over thirty leading landlords

Valtellina Properties

What’s more, eGuarantee’s lease bond solution is issued by Assetinsure – Australia’s largest provider of surety bonds – as agent on behalf of the underwriter, HDI Global Specialty SE, a S&P A+ rated insurer.

Our difference

The most dangerous phrase in business: “We’ve always done it this way.”

Here’s why bank guarantees are failing both tenants and landlords.

For landlords,

For tenants,

$10bn+ in tenant capital tied up in Australian and New Zealand bank guarantees

Why eGuarantee is a better guarantee

Here's how eGuarantee strengthens the position of both landlords and tenants

Landlords:

Tenants:

A lease bond means less paperwork, and faster approval times for landlords and tenants, plus a happier tenant with more liquidity.

Here's what businesses have to say

“

“

“

“

We used eGuarantee to unlock capital which otherwise would have been tied up in a bank guarantee, allowing us to lease a higher quality office space and negotiate better terms on our lease.

“

Thanks eGuarantee for your support and incredible product. This is a MUST for anyone scaling through physical expansion while maintaining liquidity. For BOWERBIRD Interiors this product has freed up hundreds of thousands in working capital to allow us to continue to drive our business forward.

Ready to dRisk? Get started.

Have more questions?

How it works

1. Tenant applies

2. Tenant is approved

3. Tenant pays small annual fee

Accepted by industry heavyweights

eGuarantee is already used by some of the biggest names in the commercial property sector and is accepted by Dexus, Centuria, Investa and over thirty leading landlords

Ready to dRisk? Get started.

Have more questions?

Ready to dRisk?
Get started.

Ready to dRisk?
Get started.