We are one of the top providing providers of Standby Letters of Credit (SBLC’s), and Bank Guarantee’s (BG’s) in the world. The Minimum SBLC or BG which we will provide is for $1 million. Provider uses their collateral to back the instrument from the issuing bank. Please fill out the form on the right if:
- You want to place an immediate order for an SBLC or BG, and
- You can provide a screenshot of money to pay for the instrument.
Standby Letters of Credit and Bank Guarantees are the number one solution for real estate developers in this frozen credit market. We are in a lending environment when borrowers (such as developers with creditworthy projects), who in a better banking climate would have no difficulty in obtaining conventional financing for their projects, now are required by their lenders to provide additional collateral in order to secure their financing. The most frequently requested type of collateral enhancement is the Standby Letter of Credit. Standby Letters of Credit are secondary collateral, which means that they are only called upon in the event of default by the borrower AND after the lender has pursued its normal remedies to collect from the borrower. At that time, the bank issuing the Standby Letter of Credit will, after presentation of the Standby Letter of Credit, pay any shortfall the lender may have incurred, and will be made whole.
Standby Letters of Credit, which are leased bank instruments, are obtained only through Standby Letter of Credit Attorneys, who have hedge funds that back these instruments from their cash reserves, and are paid a fair return for the risk they are taking. The process is for the borrower to file an application package and proof of ability to pay for the Standby Letter of Credit, at which time the borrower receives and signs a term sheet, which is a contract, and an escrow agreement, and then places his funds in escrow. The hedge fund then arranges with a Tier 1 world bank (such as HSBC London, Barclays, Deutsche Bank or Credit Suisse) for the issuance of the Standby Letter of Credit by depositing cash in the face amount of the letter with that bank. The process takes about 10 days from the time a fee is placed in escrow until the Standby Letter of Credit is delivered to borrower’s lender, although that’s an average and it can take a few less or a few more days. When the Standby Letter of Credit is delivered and verified, the fee is released to the hedge fund.
- From a major International Investment Bank. $50 million Letter of Credit, we can get your client $50 Million.
- $1 million minimum
- No maximum loan amount
- 30 Days to close
- Interest only rate at the Libor 30 Day Index (No margin and a floor of 1%)
- Little to no Underwriting
- We have Letter of Credit Provider from Major European Banks
- No Equity Participation
- No Presales
- No Prepayment Penalty
- No Upfront Fees
- No Appraisal Needed
- All Quality Commercial Properties Considered
- Can be used for Construction or Aquisition.
Last Updated on Sunday, 13 November 2011 19:27