Advantages of using a bank guarantee
The banking warranty on state contract guarantees the fulfillment of the obligations of the entrepreneurial activity to the state body.
This means that in the event that the winner of the state order for one reason or another cannot fulfill the order, the bank compensates for the amount of damage from its funds to the state.
The main advantage of this method of ensuring obligations is its mutual convenience, both for a legal entity of public law, which is a customer of a particular product, and for an enterprise acting as an executor of a state contract.