Can an investment guarantee company raise funds?

Financing guarantee refers to the behavior that the guarantor agrees with creditors such as banking financial institutions that the guarantor shall bear the guarantee liability stipulated in the contract according to law when the guaranteed party fails to perform the financing debts owed to the creditors. In other words, financing guarantee companies have bank credit and cooperative relations with banks. Other investment guarantee companies and guarantee companies are not allowed to operate financing guarantee business at present, but only performance guarantee business.

In addition, to apply for registration, a financing guarantee company must first apply to the Provincial Finance Office for a license before it can be registered. Other types of guarantee companies only need to register with the Industrial and Commercial Bureau.

1. A financing guarantee company holds a business license of a financing guarantee institution, allowing customers to obtain financing from banks by guaranteeing their customers.

2. Banks don't accept the guarantee provided by guarantee companies without the business license of financing guarantee institutions, so the latter can't help customers obtain financing from banks.

3. Whether the customer can obtain financing from the bank by guaranteeing the customer is the difference between the two. In addition, what an investment guarantee company can do can also be done by a financing guarantee company.

4. With the increasing efforts of the state to standardize the guarantee industry, it is possible that a guarantee company without a business license of a financing guarantee institution will need to remove the word "guarantee" and become an investment company in the future industrial and commercial registration.