Surety plays a key role in providing small- and medium-sized enterprises (SMEs) with the stability they need to thrive. From supply chain disruptions to rising interest rates and financing limitations, surety bonds help SMEs face the challenges of growth by spreading out risk more broadly.
However, the obvious benefits of surety are not the only factor enticing SMEs to seek out bonds in addition to traditional financing options. In Germany, all companies are legally required to provide guarantees to their contractual partners.
“Bonding is part of the basic work that all companies need to do to comply with German law,” says Christian Lüdtke, Head of Bonding SME at . “For that reason, German companies are well-versed in bonds. They’re looking for fast, simple, well-priced products. That’s where Allianz Trade comes in.”