Standby Letter of Credit (SBLC) Provider
Financial & Performance SBLC Provider for Trade and Projects
- * Traders and importers with firm offtake
- * EPC, O&M, and supply contractors needing performance support
- * Project sponsors requiring advance or warranty security
- * Contract or loan term sheet requires an SBLC under ISP98
- * Beneficiary accepts MT760 from rated banks, with optional confirmation
- * Collateral can combine cash, receivables, inventory, or guarantees
- * Underwriting, SPV setup, account opening, and liquidity raise
- * SBLC issuance by MT760 with bank approved wording
- * Advising or confirmation by an A rated bank when needed
Financial SBLC vs Performance SBLC
| Type | Primary Use | Trigger | Rules | Typical Tenor |
|---|---|---|---|---|
| Financial SBLC | Loan, lease, or payment support where SBLC is accepted | Failure to pay as scheduled | ISP98 | 6 to 24 months |
| Performance SBLC | Projects, EPC, warranty, O&M, and delivery obligations | Failure to perform or meet milestones | ISP98 or URDG 758 | 6 to 36 months |
SBLC types we arrange
| SBLC Type | Use Case | Rules | Tenor |
|---|---|---|---|
| Commercial SBLC | Trade shipments and revolving supply | ISP98 or UCP 600 | 3 to 12 months |
| Advance Payment SBLC | Secures deposit until delivery or commissioning | ISP98 | To milestone plan |
| Tender SBLC | Bid security for tenders | ISP98 or URDG 758 | Bid period plus buffer |
| Warranty or O&M SBLC | Post completion obligations and defects liability | ISP98 | 12 to 36 months |
How a credible SBLC provider runs the process
We model cash flows, counterparties, and draw profile. We set amount, tenor, reduction path, and any confirmation. The term sheet states conditions, security, and a dated plan.
We form an SPV if required, open accounts, and document security. Margin is optimized with pledged deposits, receivables, inventory, guarantees, and account control.
We align wording, select the issuer, and complete KYC and sanctions checks. MT799 pre advice can be sent once approvals, security, and fees are cleared.
Issuer releases MT760. We track advising, confirmation, amendments, and reduction or cancellation. Evidence of delivery is kept in the deal file.
Collateral and control options
- * Partial cash or pledged term deposit
- * Assigned receivables or offtake with collection accounts
- * Inventory with control agreements or warehouse receipts
- * Parent or sponsor guarantee for a defined slice
- * Escrow or account control with auto sweeps
- * Political or performance cover where available
- * Issuance via top banks subject to approval
- * Advising and confirmation by an A rated bank when required
- * ISP98 wording mirrored line by line
Eligibility checklist for an SBLC provider mandate
- * Executed contract, LOI, or award letter with SBLC requirement
- * Beneficiary bank coordinates and annex wording
- * KYC pack and corporate documents
- * Collateral plan across cash, receivables, inventory, or guarantees
- * Clear tenor and reduction plan
- * Fees and third party costs funded per mandate
Pricing and schedules
Time based SBLC commission plus arranger fee sized to collateral, tenor, and issuer. Legal, KYC, courier, and government charges are passed through.
Cash margin can be reduced with strong collateral and controls. Final advance rate depends on counterparty quality and issuer feedback.
Underwriting and term sheet, SPV and accounts, documentation and KYC, then MT760 issuance. Timings are fixed at mandate and tracked to the day.
SBLC provider FAQ
Support is always required. We minimize cash by combining pledged deposits with receivables, inventory, guarantees, and account controls accepted by the issuer.
Can you add confirmation?Yes when the beneficiary asks for it. We arrange advising and confirmation with an A rated bank where available.
Is this a leased SBLC?No. Issuance is genuine. MT760 is operative. The undertaking is tied to a real contract or financing purpose.
Top banks subject to credit and compliance. Names are disclosed at mandate with wording and conditions.
Do you send pre advice?Yes if required by the beneficiary. MT799 pre advice can be sent once approvals, security, and fees are set.
What rules apply?SBLCs issue under ISP98 unless the beneficiary requests UCP 600 or URDG 758 for a specific case.
Refund guarantee
If we accept your mandate and fail to deliver an issuer approved draft SBLC text and a compliance cleared issuance approval within the agreed timetable, we refund our arranger fee. Third party costs are excluded. Terms are set in the mandate letter.
Request SBLC terms from a credible provider
Send the contract summary, SBLC amount and tenor, beneficiary bank details, and your collateral plan. We reply with structure options, pricing, and a closing checklist.
Request SBLC IssuanceFinancely acts as an arranger on a best efforts basis through regulated partners. Eligibility depends on KYC and AML, sanctions screening, legal and technical diligence, and approval by issuing banks. Nothing here is a commitment to issue or to lend.
Get Started With Us
Submit Your Deal & Receive a Proposal Within 1-3 Working Days
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.
Trade Finance
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 RequestProject Finance
Access 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 RequestAcquisitions
Secure 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 RequestFor Banks
Financely 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.
