An SBLC is a bank’s promise—either to pay or to ensure performance—not cash sitting in an account. Monetizing it means turning that guarantee into working capital today by structuring a financing package around the real transaction it supports—be it a commodity shipment, construction milestone, or service contract. Since issuing banks almost never allow second liens on an SBLC they’ve already guaranteed, our financing is underwritten against the underlying contract network, not the SBLC alone.
SBLC discounting lets you sell your letter of credit at a negotiated haircut—typically 1%–3% of face value—in exchange for immediate liquidity. Unlike asset-based loans secured by inventory or receivables, this approach relies on the issuing bank’s creditworthiness plus the commercial strength of the contract network. You receive cash now, maintain off-balance-sheet treatment, and avoid pledging additional collateral.
Tying up working capital while you wait for an SBLC to expire or be drawn upon can stall projects, strain vendor relationships, and limit growth. Monetization unlocks that contingent right today—transforming a future promise into cash for payroll, inventory purchases, or strategic investments. It’s the difference between watching an opportunity slip by and having the funds to act immediately.
Every legit SBLC monetization starts with proper underwriting by Financely’s in-house credit and compliance team. We don’t rely on guesswork—our analysts dive into both bank and contract risk to protect you and our lenders.
| Step | Activity | Timeline |
|---|---|---|
| 1. Document Submission | Provide original SBLC, audited corporate docs, beneficiary ID, and underlying contract details (e.g., POs, service agreement). | Day 1–3 |
| 2. Credit & Compliance Review | Assess issuer rating (AA+ or above), verify SBLC expiry (≥90 days), review governing law, underwrite contract economics. | Day 4–10 |
| 3. Term Sheet & Fees | Present discount rate, advisory fee, and underwriting fee—each transparent and deducted at funding. | Day 11–14 |
| Phase | Milestone | Target Day |
|---|---|---|
| Intake & KYC | Complete KYC, deliver docs | Day 1 |
| Underwriting Sign-off | Term sheet executed | Day 14 |
| Disbursement | Funds wired to your account | Day 21 |
We ask for our advisory and underwriting fees up front as part of the term sheet, ensuring transparency. All fees—discount, underwriting, advisory—are deducted at closing so there are no surprise charges.
| Fee Type | Description | Range of Rates |
|---|---|---|
| Discount Fee | Haircut on SBLC face value | 1.0%–3.0% |
| Underwriting Fee | Credit & compliance review by our team | 0.1%–0.5% |
| Advisory Fee | Structuring, legal liaison & bank coordination | 0.1%–0.4% |
Presenting a full, polished package moves you to the head of the line and often secures better pricing. Our lenders expect:
| Requirement | Details |
|---|---|
| SBLC Wording | No conflicting amendments; clear expiry and draw conditions |
| Issuer Credit | Investment-grade bank (AA+, A1 or better) |
| Contract Clarity | Detailed POs, service agreements, or project schedules |
| Beneficiary Financials | Recent audited statements showing strong cash flow |
| Governing Law | ICC UCP or recognized jurisdiction (e.g., New York UCC) |
If someone promises you cash without a thorough contract review and bank confirmation, run the other way. They’ll vanish once they hold your SBLC—no lender will honor an unverified guarantee. Proper underwriting by Financely’s credit and compliance team is the only path to real funding.
Our in-house underwriting team combines capital markets expertise with deep lender relationships. We handle structuring, credit analysis, compliance, and distribution under one roof. With our transparent fee model—discount, underwriting, advisory—all settled at funding, routine SBLC discounting transactions clear compliance and fund within 21 days, delivering the cash you need, when you need it.
Ready to convert your SBLC into working capital? No fluff, no hidden fees—just fast, reliable funding.
Contact UsWe typically start at $500,000 USD but can consider smaller deals if the issuing bank and contract meet our criteria.
Only SBLCs from investment-grade banks (AA–A1 or above) under ICC UCP or recognized jurisdiction qualify.
We charge a discount fee (1.0%–3.0%), an underwriting fee (0.1%–0.5%), and an advisory fee (0.1%–0.4%), all quoted up front and deducted at funding.
Financely’s in-house underwriting team—veteran credit analysts and compliance specialists—handle every review to ensure lender confidence and smooth funding.
We work exclusively with top-rated banks. In the rare event of default, our legal claims team enforces recovery under ICC frameworks, safeguarding your interests.
Submit your deal using our secure intake form, and receive a quote within 1-3 business days. Existing clients can connect with their relationship manager through our secure web portal.
All submissions are
promptly reviewed, and all communications are conducted through the intake form or the client portal for a seamless and secure process.
Thank you for considering working with us. A nominal fee of US$500 is required upon completion of each form. This fee covers the time and effort we invest in reviewing your submission and crafting a thorough proposal. We receive numerous inquiries and prioritize those that carry this fee, ensuring serious applicants receive prompt attention.
Tap into solutions like letters of credit, bank guarantees, and payment facilitation. We address the challenge of global transaction risk through structured strategies that foster cross-border growth. Complete the form to unlock streamlined funding aligned with your commercial objectives.
Submit a RequestAccess non-recourse funding for infrastructure, renewable energy, or other capital-intensive ventures. We mitigate capital constraints by isolating project assets and focusing on risk management. Provide your details to receive a structure that drives growth and maximizes returns.
Submit a RequestSecure financing for business or real estate acquisitions. We ease transaction hurdles by reviewing cash flow, synergy opportunities, and exit plans. Complete the form for a customized proposal that supports your strategic investment objectives.
Submit a RequestFinancely assists banks facing Basel III pressures by distributing trade finance deals and providing collateral for letters of credit. We reduce capital burdens while preserving client relationships and fostering service expansion. Submit your request to optimize your trade finance offerings.
Submit a RequestOnce we receive your submission, our team will review your information to determine feasibility. If eligible, you will receive a proposal or term sheet within 1–3 business days. Visit our FAQ and Procedure pages for more information.
Disclaimer: Financely provides financing based on due diligence and feasibility. Approval is not guaranteed, and past performance does not predict future outcomes. All terms are subject to review. Financely primarily assists with structuring and distribution. Qualified parties carry out the project if the client approves the proposal.
Financely advises growth-focused businesses on accessing capital by introducing their opportunities to professional investors. Financely is not a securities broker or dealer. Where appropriate, engagements are coordinated with regulated broker-dealers, investment banks, legal counsel, and other specialists.
Financely does not solicit, offer, or accept orders to buy or sell securities and makes no assurance regarding capital-raising outcomes.
Services are strictly business-to-business. Financely does not provide personal finance, consumer credit, or retail advisory services.
Advisory services are reserved for post-revenue companies that recognize the time and resources required for professional underwriting.
All mandates start with an RFQ. We review submissions, issue a brief Go/No-Go memo, and where bankable, release a Term Sheet that leads to funding. We arrange capital across Senior Secured, Unitranche, Second Lien/Mezzanine, Preferred Equity, and Gap Solutions. We do not process deals by email or chat.
Letters of Credit, Standby LCs, Confirmations, Receivables Finance, and Inventory Lines with control.
Funding arranged for trade flows with instruments sized to your cycle and aligned to delivery and settlement.
Move forward to secure working capital and keep goods moving. Submit the RFQ to start underwriting for funding.
Limited or non-recourse structures for energy and infrastructure with lender-ready materials.
Funding solutions aligned to project cash flows with credible covenants and conditions to reach notice to proceed.
Advance the file to termable status. Submit the RFQ so we can underwrite and secure funding.
Debt and Preferred solutions anchored on cash flow, Quality of Earnings, and clear closing mechanics.
Funding across senior, unitranche, and preferred to match stable cash flows and acquisition timelines.
Get financed on workable terms for closing. Submit the RFQ to start underwriting.
Acquisition, development, bridge, and refinance with lender-ready packs and third-party reports managed.
Funding calibrated to DSCR, leverage, and tenancy with terms designed to close.
Move to a financeable package. Submit the RFQ to initiate underwriting for funding.
KYC and Source of Funds required. Engagements are best-efforts and subject to underwriting. Preference for operating companies with meaningful revenue. See our FAQ and Procedure.
Financely Inc. (“Financely”) provides corporate-finance advice and is wholly owned by Aurora Bay Trust, a trust formed under Bahamian law, together with its authorized affiliates. Depending on deal structure, jurisdiction, and local rules, engagements may be carried out through Financely Group LLC, a non-deposit-taking, non-banking financial company; Ashford Capital Advisory LLC; or another related entity.
Financely and its affiliates are not registered as securities broker-dealers and do not execute securities transactions or hold client funds or securities. When a mandate involves the purchase or sale of securities and a registered intermediary is required, any orders are introduced to and executed by one or more independent U.S. broker-dealers registered with the SEC and FINRA. Those broker-dealers are solely responsible for trade execution, custody, and related regulatory obligations. Nothing in this material constitutes an offer, solicitation, or recommendation to buy or sell any security or to engage in any specific transaction. Before engaging Financely Group LLC, Ashford Capital Advisory LLC, or any affiliate, you are responsible for confirming that such engagement complies with your own legal, regulatory, tax, and other requirements. In the United States, certain advisory activities may be conducted in reliance on exemptions available under the Investment Advisers Act of 1940, including the “foreign private adviser” exemption where applicable. Our services and regulatory status may vary by jurisdiction and by transaction type.
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