STANDBY LETTER OF CREDIT (SBLC/SLOC)
LC - BG
PROOF OF FUNDS
Many corporations, Manufacturing companies, Commodity Traders, Investment Bankers, Airline Operators, Mining Companies, Energy Companies, Project Owners, and several others around the globe have trusted us and successfully obtained SBLCs/BGs through us. Our instruments are only provided or issued from Top AAA rated banks in the world. We have a strong believe in transparency and it is important that all our clients must receive correct and complete information about our SBLC or BG issuance services prior applying for these extremely complicated financial instruments.
Standby Letters of Credit (SBLC) is considered a very flexible tool, making them a very useful and suitable product for securing a wide range of payment scenarios. A common usage of SBLC as a financial instrument, is typically used in international trade or other high-value purchase contracts where actions such as litigation or other non-payment may not be feasible. A financial SBLC guarantees payment to the beneficiary should in case the criteria that are outlined in the contract are left unfulfilled. Lets take for instance, an exporter sells goods to a buyer that is located overseas and payment is guaranteed in 30 days. When the payment does not is not made by the due date, the exporter presents the SBLC to the importer’s bank and receives the payment.
So, a performance SBLC ensures the time, amount, cost quality of work and other criteria are fulfilled in a manner acceptable to the client. The bank pays the beneficiary if any of the written obligations are unmet. For example, a contractor guarantees a construction project will be finished in 90 days. If work remains incomplete after the 90-day period, the client can present the SBLC to the contractor’s bank and receive the payment due.
But it is a very important that a SBLC should not be confused with the documentary credit which is serves as a means of payment instead since the buyer goes to his bank and asks him to pay the seller which may be on a date or for the purpose of fulfilling a condition let’s say a delivery date for instance.
When you are completing transactions, particularly when banks are involved, it is important to protect all parties. With standby letters of credit, or SBLC, you can create assurance that invoices or loans will be paid as promised, even if the borrower defaults on the loan or invoice. Obtaining SBLC financing is the best way to create a guarantee of funds, even if the person who is promising to pay doesn’t come through with the appropriate funds.
A financial standby letter of credit guards against disputes. This is because the letter of credit clearly states the obligations of all parties that are involved in the transaction. In many cases, there is an additional party besides the buyer and seller to further guarantee payment if the buyer fails to follow through on the payment agreement.
As a Back-up Option, the primary use of standby letters of credit created by SBLC providers is to serve as a back-up option that is only used if the buyer fails to pay. However, it does require some form of collateral or line of credit to back up the letter. This is why the third-party involved in the transaction is typically a bank that offers up the line of credit to ensure that a payment will be made to the seller. This gives sellers greater assurance of payment, especially for larger transactions.
At UAE Investors Group, when we say we will help you build your vision, we do standby that promise for more than two decades. You do not have to lose your project or deals. With experienced team members, our group of investors and strong network with several financial institutions around the globe, We provide one of the most secure funding guarantees in the industry so you can complete your Bank Guarantee Funding with us with confidence, peace of mind and safety. Confirming there’s sufficient funds on account to fully settle your transaction has never been easier. Funds are reserved at the Funder’s Bank solely for settlement of your transaction. The Funders Bank issues the 799 Payment Guarantee with Full Banking Responsibility & Liability.
This means if the funder defaults on completing the payment for our BG for any reason, then the funder’s bank will complete the payment and is standing behind the 799 payment guarantee with the banks full responsibility and liability. This is one of the highest and most secure payment guarantees available.
If you need information about our SBLC/BG Issuance Service such as procedure and fees, Please send us an email