The Standby LC or SBLC (MT-760) is a payment guarantee issued by a bank on behalf of a client that is used as "payment of last resort" should the client fail to fulfill a contractual commitment with a third party.
Standby Letters of Credit are created as a sign of good faith in business transactions, and are proof of a buyer's credit quality and repayment abilities.
Standby Letter Of Credit is often used in International trade transactions, such as the purchase of goods from another country & etc. Standby letter of credit can be used as Collateral and for Credit Enhancements. It is ideal for Companies planning to expand their business and do not want to give up equity of their Company.
Key benefits of Standby Letter of Credit
1. Improves your cash flow
Eliminates or reduces the need to give a beneficiary, with whom you have entered into a contract, cash collateral or other security to support the obligations under the contract. May eliminate the need for you to prepay for products or services, which allows you to use your funds for alternate purposes before payments become due.
2. Convenient
Bronze Wing Trading L.L.C. has expertise in structuring Standby Letters of Credit to meet your business needs while helping to protect your interests to the extent possible in the circumstances
3. Access to trade finance expertise
Our trade finance experts provide you with structuring and expedite your trade transactions.
Contact Us to see how you can utilize Standby Letter of Credit to expand your business.
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