SBLC Issuance Advisory

Advisory and arrangement for Standby Letters of Credit. Drafting under ISP98 or URDG 758, issuer and confirmer selection, collateral and margin structures, and SWIFT execution that meets beneficiary acceptance and bank compliance.

We coordinate SBLC issuance and confirmation for corporates, developers, and trade operators. Facilities are cash secured or margin funded with Tier 1 and Tier 2 banks in Europe, the United Kingdom, and the United States. We align wording and presentation conditions from the first draft, arrange confirmations where required, and document control mechanics so the standby remains enforceable through expiry.

Scope of Advisory

Standby Instruments

  • SBLC drafting under ISP98 or URDG 758 with clear presentation details
  • Issuer selection and confirmer mapping by jurisdiction, tenor, and limit
  • Amendments managed via SWIFT MT767; issuance via MT760
  • Backstop structures for performance, payment, and advance guarantees

Collateral & Margin

  • Cash margin or pledged collateral via applicant or SPV
  • Account control and release conditions tied to expiry or draw outcome
  • Ring-fenced proceeds and restricted-use undertakings where required
  • Pricing tied to risk, tenor, and confirmation costs

Wording & Acceptance

  • Beneficiary bank pre-check to confirm acceptance and confirmation path
  • Discrepancy risk reduced with precise documents and standards
  • Governing law, place of presentation, and examiner rights defined
  • Sanctions, KYC, and adverse media screening across parties

Execution & Monitoring

  • Term sheet negotiation and closing checklist
  • Issuance workflow and SWIFT confirmation tracking
  • Covenant and expiry monitoring to release or claim settlement
  • Audit trail maintained for all drafts and amendments

Common Use Cases

  • Performance guarantees for EPC and infrastructure contracts
  • Advance payment guarantees and bid bonds
  • Project finance credit enhancement for developers and sponsors
  • Commodity trade transactions requiring counterparty assurance
  • Structured private credit transactions that require standby support

Eligibility and Dossier

Minimums

  • SBLC face amount from USD 5,000,000
  • Named beneficiary and defined underlying obligation
  • Target tenor, jurisdiction, and presentation address identified

Core Dossier

  • Applicant KYC and beneficial ownership disclosure
  • Financial profile and liquidity overview
  • Draft wording preferences or beneficiary draft if provided
  • Margin or collateral plan with release conditions

Process

Onboarding

Mandate and KYC. Scope confirmed. Beneficiary, amount, tenor, and governing law captured. Issuer short list prepared with margin or collateral mechanics.

Drafting

Wording prepared under ISP98 or URDG 758. Presentation standards defined. Beneficiary bank pre-check to confirm acceptance and confirmation capacity.

Issuance

Compliance and credit cleared. SWIFT MT760 issued. Amendments coordinated via MT767 until all parties align on terms.

Monitoring & Release

Expiry, covenants, and any claims tracked to resolution. Margin or collateral released on completion or non-use according to agreed conditions.

Pricing Guidance

  • Issuer fees and confirmation priced by bank, country, risk, and tenor
  • Margin or collateral requirements set against exposure and covenants
  • Amendment and confirmation costs disclosed before issuance
  • Advisory and arrangement via retainer plus success-linked fee

Final terms depend on beneficiary requirements, jurisdiction, tenor, credit profile, and confirmation need.

Request an SBLC Quote

Share your transaction details. We respond with issuer options, indicative pricing, and a credible issuance timeline.

Provide the underlying obligation, target amount, tenor, governing law preference, beneficiary details, and any draft wording. We assess issuer availability, confirmation path, and total cost before engagement.

Request Term Sheet SBLC Overview

Arranged through licensed banks subject to AML, KYC, sanctions, and credit approval. No commitment to lend until final approval and documentation.

Financely acts as advisor and arranger. We are not a bank and do not take deposits. SBLCs are issued by regulated counterparties under ISP98 or URDG 758 and remain subject to due diligence, credit approval, and final documentation.