Contract Performance Guarantee (Performance Bond)
Protect yourself against risks of default, poor execution or project abandonment. We guarantee your contract will be fulfilled as agreed.
What is Performance Bond?
Performance Bond is a contract execution guarantee that protects the contractor in case the contracted company fails to fulfill its obligations. It is also known as Execution Guarantee or Performer Guarantee.
If the contractor fails to execute the work, deliver the product or provide the service as agreed, ERGO can hire third parties to complete the project or compensate the contractor for damages caused.
Main Applications:
How It Works - AI-Automated Process
Simplified process in 3 steps with cutting-edge technology
Online Request
Contract and basic document upload with automatic AI analysis
Digital Approval
Automatic online approval with immediate digital issuance
Monitoring
Active monitoring of contract execution with specialized support
Who is Involved?
The three parties of Performance Bond
Taker (Contractor)
Company that will execute the work/service
Insured (Contractee)
Who hired the company
ERGO (Guarantor)
Company that issues the guarantee
Performance Bond Advantages
Why choose Performance Bond vs. other guarantees
Total Security
Guarantee that the contract will be fulfilled with protection against financial losses
More Advantageous
Does not affect bank credit limit and is cheaper than bank guarantee
Operational Agility
Approval in up to 48h with 100% digital process
Free Capital
Frees working capital without compromising company resources
Sectors That Use Most
Specific applications by sector
Civil Construction
Hospitals, schools, highways, bridges, airports
Garante: Work completion, quality, deadlines
Industrial Supply
Equipment, machinery, industrial systems
Garante: Delivery, operation, technical specifications
Service Provision
Consulting, maintenance, IT systems
Garante: Service quality, deadlines, results
Public Sector
Tenders, public contracts, PPPs
Garante: Compliance with Law 14.133/2021
Legal Framework
Solid legal foundation accepted by all courts
Solid Legal Basis
Accepted by
Performance Bond vs. Other Guarantees
Compare the advantages of each modality
| Criteria | Performance Bond | Bank Guarantee | Cash Deposit |
|---|---|---|---|
| Cost | 0.8% to 3% p.a. | 3% to 8% p.a. | 100% of value |
| Approval | 24-48h | 7-15 days | Immediate |
| Renewal | Not needed | Annual | Not needed |
| Bank Credit | Does not affect | Compromises | Does not affect |
Required Documentation
Simplified process with minimal documentation
For Quote
For Issuance
ERGO Differentials:
Real Success Cases
Projects saved by ERGO when all seemed lost
Hospital Construction - R$ 50 million
Situação:
Construction company with financial difficulties
Solução:
ERGO hired new company for completion
Resultado:
Hospital delivered on time without loss to the State
Equipment Supply - R$ 25 million
Situação:
Supplier could not deliver on time
Solução:
ERGO negotiated new deadline and supervised delivery
Resultado:
Equipment delivered with 15% additional discount
IT System - R$ 8 million
Situação:
Software company went bankrupt during development
Solução:
ERGO hired new company to finalize project
Resultado:
System implemented without additional delay
ERGO Differentials
Why we are reference in Performance Bond
22+ Years of Experience
Over 1,000 guarantees issued with expertise in all sectors
Advanced Technology
AI analysis with 100% digital process and real-time approval
Close Relationship
Dedicated account manager with support throughout the term
Unmatched Agility
Approval in up to 48h with same-day issuance
Frequently Asked Questions
Clear your doubts about Performance Bond
Protect Your Contract with ERGO
Don't leave your project at risk. ERGO guarantees your contract will be fulfilled as agreed.
"Approval in 48 hours or we prioritize your analysis at no additional cost."