Standby Letter of Credit Issuance

Standby Letter of Credit Issuance

Structured standby letter of credit (SBLC) issuance for trade and project-related transactions. The team underwrites the SBLC, coordinates issuance via a lender network, and manages any required SPV structure. Engagement fees start at USD 19,500.

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SBLC Services

SBLC Structuring

Structuring of standby letters of credit to reflect beneficiary terms, transaction risk, and bank requirements.

Credit Underwriting

Credit and risk assessment of the applicant and underlying transaction to support issuer and regulatory compliance.

Lender Placement

Placement of SBLC issuance requests with a curated network of banks and private credit providers.

SPV Setup & Administration

Establishment and administration of special-purpose vehicles where required for risk, collateral, or funding purposes.

Why Work With Us

Defined Timelines

Indicative terms are typically provided within 72 hours. Subject to approvals, SBLC issuance can be completed in approximately 10–14 business days.

Lender Network

Access to desks that actively support standby letters of credit for trade, project, and commercial real estate transactions.

Transparent Pricing

Flat engagement fee from USD 19,500. Any additional legal, bank, or third-party costs are disclosed before proceeding.

SPV Capabilities

Coordination of SPV formation, governance, and ongoing administration aligned with the underlying transaction.

Service Commitments

Refund Commitment

If the SBLC is not issued within 14 business days of countersigned term sheet and retainer receipt, the USD 19,500 engagement fee is refundable in full, subject to agreed conditions.

Credit Risk Clarification

The mandate relates to SBLC structuring and issuance only. Counterparty credit risk, performance risk, and transaction execution remain with the client.

Process

1. Initial Submission

The client submits an SBLC request, beneficiary details, draft wording if available, and supporting financial information.

2. Review & Underwriting

Transaction structure, applicant credit profile, and compliance requirements are reviewed and a proposed structure is prepared.

3. Term Sheet

An indicative term sheet is issued outlining fees, collateral expectations, issuer profile, and timeline to issuance.

4. Issuance & Placement

Following acceptance and payment of the engagement fee, the SBLC is processed with the selected lender or issuer.

5. Ongoing Administration

Where applicable, any related SPV or collateral structure is monitored until expiry or cancellation of the SBLC.

Frequently Asked Questions

What SBLC sizes can you arrange?
As a general guide, SBLC requests are considered from USD 200,000 up to USD 15 million per transaction. Larger amounts may be reviewed on a case-by-case basis where financials, collateral, and counterparty quality support it.
Who is this service suitable for?
The service is intended for established trading companies, project sponsors, and corporate borrowers that can provide audited or management accounts, clear transaction documentation, and evidence of capacity to meet SBLC reimbursement obligations.
How long does issuance typically take?
Once the term sheet is accepted, KYC is completed, and the engagement fee is received, issuance generally requires around 10–14 business days. Timing is influenced by jurisdiction, bank processes, and any additional legal or security requirements.
What fees apply beyond the USD 19,500 engagement fee?
The engagement fee covers advisory, structuring, and coordination of issuance. Separate charges may apply for bank issuance fees, legal opinions, SPV formation, collateral perfection, and any local tax or filing costs. These are outlined in the term sheet before the client commits.
Do you offer leased SBLCs or monetization schemes?
No. The service is focused on genuine standby letters of credit issued by banks or regulated lenders for identified transactions. “Leased SBLC” and similar monetization schemes are not supported and are treated as outside the firm’s mandate.
Can you guarantee that a specific bank will issue the SBLC?
No party can guarantee issuance in advance of full credit and compliance approvals. Potential issuers are identified during the structuring process, but final approval, pricing, and documentation are always subject to each institution’s internal policies and regulatory requirements.