Bank Guarantee for a Texas Construction Contractor Bidding on an Overseas Project
Contractor qualified for the tender and was awarded the project.
The Challenge
The contractor had won a competitive bid for an infrastructure project in Abu Dhabi but was required to provide a performance bank guarantee as a condition of the contract. Their U.S. bank was unfamiliar with the UAE project owner's requirements and could not issue the guarantee in the required format within the deadline.
Our Approach
Sellathon Consulting engaged our Dubai office to coordinate with a financial institution familiar with UAE government contract requirements. We reviewed the contract terms, confirmed the guarantee format and wording required by the project owner, and managed the issuance process across time zones. The performance guarantee was issued in the correct format within 18 business days.
The Result
The contractor met the contract deadline, the guarantee was accepted by the project owner, and the project commenced on schedule. The engagement also opened a relationship with a financial institution capable of supporting future international project bids.