Trade Finance Key Information Document: Fees, Process, Timeline, Regulatory Status

Trade Finance Key Information Document — Fees, Process, Timeline, Regulatory Status | Financely

Trade Finance Key Information Document

This document explains what we do, how we charge, how the process runs, and what to expect before you pay any fees. Read it end to end. If you agree with the scope and policies, proceed to onboarding.

Snapshot: We are an arranger and advisor. Best-efforts mandate. $500 application upon submission, then a retainer to start underwriting. Success fee payable at issuance or funding. No guarantees. All work is subject to KYC, sanctions screening, and bank appetite at the time of request.

Services and Instruments We Arrange

Letters of Credit
Irrevocable Documentary LC under UCP 600 (MT700), transferable or back-to-back where eligible. Confirmation where available.
Standby Letters of Credit
ISP98 or UCP 600 SBLCs (MT760) for performance and payment undertakings. Avalized drafts where suitable.
Receivables and Trade Loans
AR finance, factoring, forfaiting, discounting, supply-chain finance, import and pre-export finance, borrowing base lines, warehouse lines.
Guarantees and Bonds
Performance bonds, advance payment guarantees, bid bonds, retention bonds, and credit insurance coordination where required.
Commodity and Inventory Finance
Commodity repo, title transfer with custody, structured prepay, tolling, and off-take with prepayment facilities.
ECA and DFI-Linked Support
Eligible equipment and projects with export credit agency support and development finance participation, subject to rules and screening.

Who We Serve and Minimum Expectations

  • Post-revenue companies with verifiable trade flows. Strong preference for audited or reviewed financials.
  • Clear counterparties, clean compliance profile, and a realistic shipment or receivables plan.
  • Readiness to fund third-party costs and meet bank conditions precedent on time.

Fees and Payment Policy

Application Fee $500 payable upon application. Covers initial screening, KYC triage, and file setup. Credited against the retainer if you proceed. Non-refundable once screening begins.
Retainer $10,000 to $120,000 based on complexity, ticket size, number of instruments, and jurisdictions. Covers underwriting, credit memo, LC text or facility term sheet drafting, distribution strategy, and deal management to term sheet stage.
Success Fee 2.0% to 3.0% of funded debt or facility face amount, payable at issuance or first draw. For non-debt placements, success fee terms are set per mandate. Minimums apply.
Third-Party Costs Client pays bank charges, legal counsel, technical reports, inspections, insurance, custodians, trustees, paying agents, filings, and translations. These are not included in our fees.
Refunds Fees are non-refundable once underwriting begins. If we decline your file after application screening, the retainer is not charged.

Process and Typical Timeline

  1. Intake and Screening. Submit company profile, trade summary, contract or proforma, shipment plan, and counterpart details. KYC and sanctions checks. 1 to 3 business days after application.
  2. Underwriting. Retainer paid. We prepare a credit memo, draft LC or facility terms, risk mitigants, CP checklist, and distribution plan. 10 to 15 business days after full documents and payment.
  3. Distribution. Staged outreach to banks, DFIs, and private credit funds that match corridor, currency, tenor, collateral, and risk appetite. 2 to 4 weeks to secure indicative terms on straightforward files.
  4. Term Sheet. Negotiate pricing, covenants, charges, confirmation, and conditions precedent. 1 to 2 weeks depending on counterparty response.
  5. Documentation and Closing. Bank KYC, legal drafts, SPV setup if needed, trustee or paying agent appointment, collateral filings, and CP satisfaction. 2 to 8 weeks based on complexity and jurisdictions.

Total time varies with issuer appetite, confirmation availability, compliance reviews, and client readiness. Expect longer timelines for multi-jurisdiction and high-risk corridors.

Structuring, SPVs, Trustees, and Paying Agents

  • SPV Formation. Special purpose vehicles are used where ring-fencing is required for receivables, inventory, or off-take flows. We draft requirements and coordinate with your counsel or nominated provider.
  • Trustee and Paying Agent. Appointed when cash waterfalls, noteholder mechanics, or security agency functions are needed. Fees are borne by the client.
  • Security Package. Charges over receivables, inventory, bank accounts, shares, and assignments of contracts or insurance as required by lenders.
  • Debt vs Equity. We focus on trade debt and credit products. If a securities offering is involved, it is handled through licensed partners as described below.

Due Diligence and Documentation

Item Details
Corporate and KYC Incorporation, registers, UBO, IDs, proof of address, sanctions and PEP screening.
Financial Statements Audited or reviewed accounts, recent management accounts, bank statements.
Trade Files Contracts or POs, Incoterms, shipment schedule, logistics plan, insurance plan.
Counterparties Supplier and buyer details, credit checks, blacklists, and compliance attestations.
Collateral Cash cover, guarantees, liens, and insurance endorsements where required.

Regulatory Status and Chaperoned Securities Activity

  • Advisory Status. Financely acts as an arranger and corporate finance advisor. We are not a bank, lender, broker-dealer, or investment adviser to the public.
  • United States. When a transaction involves the offer or sale of securities to U.S. persons, all securities-related activity is conducted through and chaperoned by an unaffiliated U.S. broker-dealer registered with the SEC and FINRA under SEC Rule 15a-6. Any private offering uses exemptions such as Regulation D and is limited to eligible investors.
  • United Kingdom. Financial promotions to U.K. persons are made or approved by an FCA-authorised firm as required by FSMA 2000 and the Financial Promotion Order.
  • European Union. Where applicable, activity is structured in line with MiFID II and local transpositions. Regulated activities are performed by licensed partners.
  • Client Category. Our services target professional clients, accredited or qualified investors, and corporate issuers. We do not solicit or advise retail investors.
  • Best-Efforts Only. We do not guarantee issuance, confirmation, funding, pricing, or timing. Bank appetite and risk limits change without notice.

Risk, Conduct, and Payment Disclaimers

  • All mandates are best-efforts. Outcomes depend on your credit, counterpart risk, collateral, documents, and market appetite.
  • We will never ask you to pay to unofficial channels. Pay only to bank details shown on our invoice.
  • We do not present banks as partners. Allocation depends on issuer appetite and compliance at the time of request.
  • Sanctions, AML, and KYC failures terminate the process. Fees already paid are not refundable once underwriting begins.
  • Timelines extend if documents are incomplete, CPs are delayed, or regulatory approvals are required.

Start Your Onboarding

Submit your intake. After KYC clearance, we will issue the invoice. Underwriting starts when payment clears.

Submit Intake Form

FAQ

What Does the $500 Application Fee Cover?
Initial screening, KYC triage, and file setup. It is credited against the retainer if you proceed. Non-refundable once screening begins.
What Does the Retainer Cover?
Underwriting, credit memo, draft LC or facility terms, distribution plan, and management of the process to term sheet stage. It does not cover third-party costs or bank fees.
Are Retainers Refundable?
No. Once underwriting begins, the retainer is earned against work performed. If we decline your file at screening, no retainer is charged.
How Do You Charge the Success Fee?
A percentage of the funded debt or facility face amount, payable at issuance or first draw. For equity or note placements, success fee terms are defined in the mandate.
How Long Does It Take?
First pass underwriting in 10 to 15 business days after full documents and payment. Indicative terms in 2 to 4 weeks on straightforward files. Closing in 2 to 8 weeks depending on CPs and jurisdictions.
Do You Guarantee Issuance or Funding?
No. All mandates are best-efforts. Issuance and funding depend on bank appetite, compliance checks, and your delivery of documents and collateral on time.
Can You Arrange Confirmed LCs?
Yes, where a confirming bank has appetite for the issuing bank and country. Pricing is set by the confirming bank and depends on tenor and risk limits.
Do You Form SPVs and Appoint Trustees or Paying Agents?
We coordinate the structure and requirements. Formation and appointments are done by licensed providers. Their fees are paid by the client.
Do You Handle Securities Offerings?
If a transaction involves securities, activity is conducted through and chaperoned by a U.S. SEC and FINRA-registered broker-dealer under SEC Rule 15a-6 or via licensed partners in other jurisdictions. Offers are limited to eligible investors under applicable exemptions.
Which Banks Will You Approach?
Banks and funds that match your corridor, currency, size, and risk profile at the time of outreach. We do not list banks as partners. Allocation is subject to issuer appetite and compliance.
Do You Accept Crypto Payments?
No. Pay only to the bank details stated on our official invoice. Unsolicited payment requests outside our channels should be ignored and reported to us.
What Documents Are Needed to Start?
Corporate KYC, financials, trade contracts or POs, shipment plan, counterpart details, and any existing facilities or collateral agreements.

This is an information document for corporate clients. It is not a solicitation to buy or sell securities or a commitment to lend. Terms are indicative until documented by the relevant issuer. Services are provided subject to engagement, underwriting, and compliance approval. Bank appetite and regulations can change without notice.

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.

Express Application Submit Your Deal
Request a Proposal
Request a Proposal / Submit a Deal

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.

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Project 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.

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Acquisitions

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.

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For 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 Request

Once 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.

Still Have Questions? Schedule a Consultation

If you still have questions after visiting our FAQ and Procedure pages, we invite you to book a paid consultation for personalized guidance. A $250 USD fee applies per session.