Financial Security Guarantee (Offshore)
When trying to establish local operations outside of Canada or engaging in a joint venture, one of the challenges you will face is having your financial institution post the required security on your behalf. Before financial institutions will issue letters of guarantees, they often require collateral which can limit the cash you have to take on new business.EDC’s Financial Security Guarantee (Offshore) can be used to replace that collateral because we provide a guarantee directly to your financial institution that is unconditional and irrevocable, and is equal in value to the letter of guarantee for up to one year.
Qualification
In evaluating applications we assess a number of factors—among them:
- managerial, technical and financial capabilities of your company;
- bonding or guarantee instruments;
- conditions and economic outlook in the country where your affiliate is located;
- Canadian exports of goods and services, or other significant benefits to Canada.
Cost
Pricing is based on a number of factors including guarantee liability, guarantee duration, and other exporter risk factors.
Apply
Application Form (PDF Format) – for Offshore Working Capital facilities
More information
Brochure (PDF Format)
Call 1-866-283-2957 weekdays between 8 a.m. and 6 p.m. EST. or submit an inquiry online.
Other financing solutions
Important Information
The above information describes, in general, EDC services and is not a commitment to provide them. Only the documentation supplied by EDC, in connection with any transaction, provides the full detail and terms and conditions.
