The performance bond enables you to guarantee the beneficiary that
you will perform the contract correctly (within the agreed term
and according to the contract terms). If you fail to meet those
obligations, or only do so imperfectly, the beneficiary can have the
contract completed by a third party.
Usually 10% of the contract amount. In principle, this amount
is fixed for the entire duration.
From the date the contract commences and, usually, lasts until
the deliveries are completed, as specified in the commercial
contract. In most cases, however, additional confirmation of release
by the beneficiary is required.
Extensions might be required if
the delivery schedule is amended by mutual agreement between you and