The bank guarantee means that the lender will ensure that the liabilities of a debtor will be met. In other words, if the debtor fails to settle a debt, the bank will cover it. A bank guarantee enables the customer (or debtor) to acquire goods, buy equipment, or draw down a loan. If the debtor pays his/her dues to the seller within the stipulated time frame, the bank guarantee becomes null and void.
In case the company have already opened current account following documents must be submitted for Bank Guarantee