In many instances it is easier to obtain a bank guarantee or any financial instrument for USD 250 million than it is for USD $1 million. The bank argues that they do not make enough money on smaller instruments but they must do the same amount of work. This eliminates a lot of people that need smaller amounts to expand their business, agricultural or commodities project etc.
In addition to the ultra HNWI clients, we can also assist the smaller clients to obtain bank guarantees and financial instruments. The HNWI many times will use these instruments as collateral for leverage to enter a PPP (private placement program) as well as to expand their business. A smaller client in an emerging market may use this to obtain financing from a local bank for new equipment, a new office or production line, or to plant a new crop. In any case we can provide the client with guarantees from offshore banks. Contact us for further details.