Banks treat standby letters of credit as off-balance-sheet exposures. Under Basel III, a Credit Conversion Factor (CCF) converts the standby into a credit-equivalent amount before risk weighting. CCF levels differ by purpose and approach: direct credit substitutes typically attract higher CCFs than short-term, self-liquidating trade contingencies, and institutions may apply the standardized approach or internal models. Funders reflect this regulatory capital effect—together with issuer/confirmation ratings and effective tenor—when setting advance rates and discount yields.
Discounting (assignment + proceeds control): the SBLC is assigned to our funding vehicle and acknowledged by the issuing/confirming bank; we establish control over proceeds and advance a single upfront amount against face value, net of discount and fees. Discounting suits one-off liquidity needs tied to a specific standby where the beneficiary is comfortable with assignment and acknowledgment.
Collateralization (borrowing-base support): the SBLC is pledged as collateral to secure a revolving facility. Funding is drawn against eligible receivables, milestones, or collections rather than via a single upfront discount. Collateralization fits repeat draws and dynamic cash cycles where borrowing-base tests, account controls, and sweeps are preferable to outright assignment.
Client submits SBLC draft text, issuer/confirmation details, tenor, contract pack, and KYC.
We issue indicative terms. Client signs the engagement letter and pays the retainer.
We finalize wording, run diligence, set proceeds control, and size the advance rate with investors.
We place the SBLC with funding counterparties and issue a closing checklist with CPs.
Client delivers operative MT760 to the designated account and completes all CPs.
Funds are advanced against the SBLC. Our success fee and costs are deducted before disbursement.
We monitor covenants and amendments. On expiry or cancellation, the instrument is released per the documents.
No. Only genuine, issued SBLCs tied to a legitimate commercial purpose are eligible.
How does confirmation affect LTV?A well-rated confirmer can lift the advance rate by improving expected loss and regulatory treatment for many funders.
Is discounting always better than collateralization?Not always. Discounting delivers upfront cash; collateralization suits revolving use with borrowing-base logic. We recommend the model that fits your contracts and issuer stance.
USD, EUR, and GBP as standard. Other currencies are case-by-case.
How fast can funding settle?Typical 5–10 banking days after clean MT760 and conditions precedent, subject to parties and documentation.
Are proceeds net or gross of fees?Proceeds are disbursed net. Our success fee and agreed costs are deducted at closing.
We arrange on a best-efforts basis through regulated partners. This is not a deposit, investment advice, or an offer where prohibited. All terms are subject to full KYC/AML, sanctions screening, legal and technical diligence, investor appetite, and issuing-bank acceptance. Basel III and CCF references are general and may be applied differently by each institution. Final pricing, LTV, and timelines may change with structure and market conditions. We reserve the right to decline any mandate.
Send the SBLC draft, issuer details, tenor, contract summary, and KYC. We reply with indicative LTV, discount yield, and a closing checklist.
ApplyEligibility depends on KYC/AML, sanctions checks, instrument verification, and approval by funding counterparties and issuing banks. Nothing here is a commitment to fund.
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.
Click
here to download our brochure.
