📌 Advance Payment Guarantee (APG) — Trusted Protection for Prepayments
We structure and arrange URDG 758–compliant Advance Payment Guarantees so buyers are protected and suppliers can unlock project mobilization funds with confidence. Global desks • 24–48h intake.
URDG 758 • ICC
KYC/AML & Sanctions Screening
100+ Countries • 200+ Institutions
No Upfront Fees (case-dependent)
How Does an Advance Payment Guarantee Work?
- Buyer makes an advance payment to supplier/contractor.
- Supplier obtains an APG from a bank as financial assurance.
- Project execution / delivery proceeds under the contract.
- Non-performance? Buyer files a claim against the APG.
- Bank pays compensation up to the guaranteed amount.
Result: Buyer is protected against loss; supplier signals credibility and secures mobilization funds.
Key Features
- Protects buyer’s prepayment; refunds if obligations aren’t fulfilled
- Financial security for high-value projects and cross-border trade
- Strengthens supplier’s bid and negotiation position
- Issued under ICC URDG 758 rules
- Validity through completion or agreed milestones/repayment
Who Needs an APG?
- Construction & Infrastructure contractors
- Manufacturers & Exporters (equipment, commodities)
- Government & Public-sector tender participants
- Procurement & Supply-chain programs
- IT & Technology project integrators
Business Benefits
- Reduces buyer risk; mitigates counterparty default
- Strengthens supplier reputation in tenders
- Supports project financing and cash-flow planning
- Encourages competitive bidding and faster awards
- Aligns incentives with contract performance
📄 Required Documents for APG Issuance
- Contract / Purchase Agreement with advance payment clause
- Company Profile & Trade/Business License
- Memorandum & Articles of Association
- Board Resolution authorizing APG
- Audited Financial Statements (last 2 years)
- Bank Statements (6–12 months)
- Bid/Tender Pack (if applicable)
- Guarantee Application (amount, tenor, governing rules)
All engagements are subject to full KYC/AML and sanctions screening.
🏦 Partner & Representative Banks for APGs (Selection)
Availability depends on corridor, profile and eligibility. Below is a curated list (25+), drawn from your bank panels.
| Bank | SWIFT/BIC | Region / Notes |
|---|---|---|
| HSBC (Hong Kong) | HSBCHKHHXXX | Global trade hub, fast ops |
| BNP Paribas (France) | BNPAFRPP | EU anchor, strong compliance |
| Mashreq Bank (UAE) | BOMLAEAD | MENA projects |
| Standard Chartered (Dubai) | SCBLAEAD | ME/Asia corridors |
| Bank of China (Hong Kong) | BKCHHKHHXXX | APAC manufacturing & EPC |
| UOB (Singapore) | UOVBSGSG | SEA trade finance |
| Crédit Agricole (France) | AGRIFRPP | Structured trade |
| PG Asia Investment Bank (Malaysia) | AINEMY22 | Agile issuance |
| Dushanbe City Bank (Tajikistan) | LCMDTJ22 | Frontier markets |
| Standard Commerce Bank (USA) | STDMDMDMXXX | US compliance |
| Asia Pacific Investment Bank (Malaysia) | ASPMMYKL | APAC coverage |
| Credit Foncier IM UND Export GmbH (Germany) | CFEGDE82 | EU-regulated |
| Unibanque (UK) | UNBQGB22 | UK SME-friendly |
| Tabarak Investment Capital (UAE) | TIBIAEADXXX | GCC projects |
| Golden Touch Investment Bank Ltd | GTIVMT2LXXX | Private structuring |
| United Bank for Investment (Iraq) | UNTVIQBAXXX | Regional trade |
| ACE Investment Bank (Malaysia) | AIBMMYKL | Short-term APGs |
| Al-Amanah Islamic Bank (Philippines) | AIIPPHM1XXX | Sharia-compliant |
| Point Bank (UK) | POITGB21XXX | Agile & flexible |
| Access Bank (Kenya) | ABNGKENA | East Africa |
| Dashen Bank (Ethiopia) | DASHTEAA | Horn of Africa |
| ABC Banking Corporation (Mauritius) | ABCKMUMU | Offshore hub |
| Maubank Ltd (Mauritius) | MPCBMUMU | Flexible offshore |
| Mauritius Commercial Bank | MCBLMUMU | EEB/structuring |
| Exim Bank Tanzania | EXTNTZTZ | Africa trade |
| China Construction Bank (Hong Kong) | CCBQHKAX | Large tickets |
| Indian Bank | IDIBINBBXXX | India corridors |
| DBS Bank (Hong Kong) | DHBKHKHHXXX | APAC execution |
| UCO Bank (Hong Kong) | UCBKHKHHXXX | Trade DLCs |
| Dah Sing Bank (Hong Kong) | DSBAHKHHXXX | Clear processes |
| CTBC Bank (Hong Kong) | CTBKHKHHXXX | Sight/Usance |
| Israel Discount Bank | IDBYUS33 | US/IL bridge |
| BNL (Italy) | BNLIITRRALX | Italy/EU |
| Artigiancassa (Italy) | ARTCITR1XXX | SME programs |
| Standard Chartered (Hong Kong) | SCBLHKHHXXX | Global network |
Indicative only; subject to credit appetite, sanctions policy and final approvals.
💬 Client Reviews (10)
Y. Haddad — GCC EPC★★★★★
APG issued within a week; enabled early mobilization.
M. Singh — India OEM★★★★★
URDG wording passed first round with buyer’s bank.
C. Alvarez — LatAm Ports★★★★☆
Clear checklist kept the APG claim terms airtight.
A. Chen — APAC Machinery★★★★★
Competitive pricing and smooth advising to our bank.
S. Ahmed — MENA Desal★★★★★
APG + performance bonds structured on one timetable.
T. Müller — EU Wind★★★★★
Great coordination between issuer, confirmer and insurer.
N. Okafor — West Africa Agro★★★★★
Advance secured our inputs; cash flow stayed healthy.
H. Park — Data Centers★★★★★
Milestone reductions of APG aligned to deliveries.
L. Smith — US Logistics★★★★☆
One extra KYC loop, still inside tender deadline.
G. Rahman — Hospitals★★★★★
URDG 758 compliance gave the sponsor full comfort.
❓ Frequently Asked Questions (15)
1) What size of APG can you arrange?
From ~$250k for SMEs to $50M+ for large EPCs, depending on profile and corridor.
2) How long does issuance take?
Typical 5–10 business days after complete docs and approvals; complex cases may take longer.
3) Which rules govern APGs?
We use URDG 758 unless another rule set is contractually required.
4) Is cash collateral always required?
Not always. Alternatives include insurance wraps, contract assignments, or counter-guarantees.
5) Can the APG amount reduce over time?
Yes, we can structure milestone-based reductions linked to deliveries/progress payments.
6) What currencies are supported?
Major currencies (USD, EUR, GBP, AED, CNY, etc.); hedging available.
7) Can you advise/confirm with our bank?
Yes—subject to bank relationships and compliance.
8) What are typical costs?
Driven by amount, tenor, corridor and risk. Bank fees plus arranger fees disclosed upfront.
9) What causes delays?
Incomplete KYC, unclear ownership, missing board resolution, or sanction flags.
10) Can APG be combined with performance bonds?
Yes. We frequently bundle APG with performance or retention guarantees.
11) Will you draft the APG text?
We provide bank-ready drafts aligned to URDG 758 and your contract.
12) Do you support public tenders?
Yes, including bid bonds, APGs, and performance guarantees.
13) Can the buyer claim without cause?
Claims must meet the APG’s stated conditions; we aim for clear, fair claim terms.
14) Do you operate globally?
Yes—Americas, Europe, MENA, Africa and APAC, subject to sanctions and policy constraints.
15) Do you sign NDAs?
Yes—mutual NDAs and secure data rooms with audit logs.
📅 APG Issuance Process
- Submit documentation
- Project evaluation & draft preparation
- Review, modify & approve wording
- Invoice & fee settlement
- Final guarantee issuance/advising
🔍 Key Considerations
- Cost: amount × tenor × risk (bank + arranger fees)
- Validity: through completion/hand-over or schedule
- Claims: clear conditions and presentation requirements
- Reductions: milestone-based decrease where applicable
- Governing Rules: URDG 758 (default)
📩 Request an Advance Payment Guarantee
We’ll route your file to the right regional desk and respond within 24–48 hours.
Global Desks
- Americas: Montréal • New York • Miami • São Paulo
- Europe: London • Paris • Frankfurt • Zurich • Milan
- Middle East: Dubai • Abu Dhabi • Doha • Riyadh
- Africa: Casablanca • Lagos • Nairobi • Johannesburg
- Asia: Singapore • Hong Kong • Kuala Lumpur • Mumbai
URDG 758
ICC / UCP 600
KYC • AML • Sanctions
Disclaimer: Content is informational and non-binding. All engagements are subject to full KYC/AML, sanctions checks and final institutional approvals.