What should you check in a bid guarantee?

Some tenders require a bid guarantee as security for the bidder's commitments under the tender terms. It is different from a performance guarantee, which may be required from the successful bidder to secure contract performance. Check which guarantee is required and at what stage; not every tender requires one.

Before contacting the issuer, locate the current guarantee template and any relevant clarifications. Check the amount and currency, beneficiary name, bidder details, tender number, expiry date and any required indexation terms.

Confirm that the issuer and guarantee type are permitted by the tender documents. If a digital guarantee or an original paper guarantee is required, check issuance and delivery arrangements in advance. A photograph or scan is not necessarily an acceptable substitute.

Allow time for review and corrections before the deadline. Compare the issued guarantee with the requirements and official wording, not just the amount. A discrepancy in wording or details may lead to rejection of the bid; seek professional advice when in doubt.

If the bid deadline is extended, check whether an updated guarantee validity period is also required. Retain issuance and delivery records, track expiry and read the procedure's return and claim conditions. This guide does not replace legal review of the specific guarantee.