Bonds for Aboriginal and Torres Strait Islander businesses

Overview

Indigenous Business Australia (IBA) can either issue bonds directly to your buyer or provide cash security to a bank who will issue the bonds. The types of bonds that IBA can provide include:

• Performance bonds – give the buyer of your product or service assurance that if you don’t meet your obligations under a contract, the buyer can call on the bond to reduce its losses.
• Warranty bonds – protect your buyer from loss if you don’t meet your contractual warranty latent defects period (usually 12 months), after the contract is completed.

Check if you can apply

To be eligible, businesses must:

• be 50% Indigenous owned and controlled
• have a track record of profitability and successful completion of similar projects
• be incorporated or be a partnership/joint venture between incorporated entities
• demonstrate capable management, including contract management
• have an adequate credit history.