Important Disclosure. For corporate sponsors and professional counterparties. Not a public offer. Engagements are subject to eligibility screening, KYC and AML, sanctions checks, and written engagement terms. FG Capital Advisors is an advisory and arrangement firm and does not act as a bank or guarantee issuance.
Standby Letter of Credit Advisory Services
FG Capital Advisors advises corporates on the structuring, underwriting preparation, and placement of bank-issued Standby Letters of Credit. We coordinate drafting under ISP98 or UCP 600, manage issuer and confirmer workstreams, and help sponsors solve collateral and margin funding requirements with disciplined documentation standards.
Mandate Focus
SBLC issuance, confirmation strategy where required, collateral planning, and execution support through bank documentation and controls.
Working Standards
Rule-set alignment (ISP98 or UCP 600), SWIFT delivery coordination (including MT760), and bank-grade underwriting presentation.
Who We Serve
Typical Sponsor Profile
- Post-revenue corporates with documented contracts, counterparties, and defined performance or payment obligations.
- Sponsors able to support margin or collateral through cash, eligible securities, or structured funding solutions.
- Management teams prepared to deliver lender-grade materials and respond to bank diligence on schedule.
Common SBLC Use Cases
- Performance and warranty support for engineering, construction, and infrastructure contracts.
- Advance payment protection and supplier performance support in procurement and manufacturing.
- Payment support for commodities, offtake, and supply contracts where counterparties require bank risk.
- Credit support for structured commercial arrangements where documentary payment assurance is mandated.
Full-Scope Advisory Services
1. Scoping and Eligibility
We define the required SBLC type, amount, tenor, renewal mechanics, beneficiary conditions, and governing rules. We identify execution constraints early, including bank appetite, jurisdictional considerations, and documentary triggers that drive pricing and collateral.
2. Underwriting File Preparation
We assemble and quality-control the sponsor and transaction package to bank standards, including corporate materials, financials, contract support, counterparty details, and a coherent risk narrative aligned to issuance and confirmation requirements.
3. SBLC Drafting and Rule-Set Alignment
We coordinate SBLC drafting under ISP98 or UCP 600 to match the underlying contract and beneficiary expectations. We ensure the text is operationally executable, including presentation mechanics, expiry, place of presentation, and amendment controls.
4. Issuer and Confirmer Coordination
Where confirmation is required, we structure the confirmation approach and manage the execution process across issuing and confirming institutions, including timelines, documentary requirements, and deliverability through SWIFT.
5. Collateral and Margin Funding Strategy
We advise on collateral pathways and margin funding options consistent with bank credit policy. This includes collateral structuring, control mechanics, step-down concepts where appropriate, and alignment with any supporting facilities used to source the margin.
6. Documentation and Closing Support
We manage the closing workstream through approvals and documentation, including coordination with legal counsel and bank operations, execution sequencing, and delivery of the SBLC via SWIFT messaging (including MT760) when conditions are satisfied.
Engagement Parameters
What We Provide
- Advisory-led structuring and bank-ready execution management.
- Placement support on a best efforts basis through approved banking and regulated counterparties.
- Process control, drafting coordination, and diligence management from scoping to delivery.
What We Do Not Provide
- No guaranteed approvals or guaranteed issuance.
- No circumvention of bank credit policy, KYC, AML, or sanctions controls.
- No engagement on undocumented transactions or counterparties that cannot clear diligence.
Request SBLC Advisory Scope and Commercial Terms
Submit your transaction details to receive an advisory scope, eligibility feedback, and next-step requirements for issuance and confirmation.
Start Your SBLC RequestDisclaimer. Information provided is general and does not constitute legal, tax, or investment advice. Any SBLC structure is subject to issuing and confirming bank credit approval, documentation, collateral arrangements, and operational acceptance. FG Capital Advisors acts as an advisor and arranger on a best efforts basis and may work with regulated partners where required.
