What can a bank instrument be used for?

Bank instruments can be used to enhance your ability to apply for a line of credit with your bank.   It can be used as collateral when your bank requires something more than what you have when you ask them to fund your project. Through our provider we can get you a bank instrument. These instruments are 100% cash-backed and can be used as collateral.

Our provider only offers instruments that are from the top 25 World Banks - from North America and Europe like HSBC, Deutsche, UBS etc. This makes the instruments more likely to be acceptable to banks anywhere in the world.These instruments are purchased by the provider and leased to you. The instrument is therefore owned by the provider and leased in your company name in assignment.The instruments are usually issued for 1 year and 1 day, renewed year by year at the same rate.

Once the provider has purchased the instrument to lease to you, it is sent to your bank via the Swift protocol of MT760.

To successfully apply for an SBLC you need to be aware of four vital points:

• You need to have a good project
• You need to have a bank funding your project based on the supporting collateral of a Leased instrument.
• You need to have the money to pay for the leasing of the instrument, you may also need to pay intermediaries if they are involved in the transaction. However, we are paid by the provider not by you.
• You need to have a believable and realistic exit strategy to repay the loan and return the instrument at the end of the term.

All the instruments that are leased through our provider are callable, assignable, fully transferable and lienable.

It is not possible to use an instrument to secure a commodity trade and pay for the instrument out of the profits from the transaction. When paid for and used correctly, these instruments provide numerous lucrative options. we can provide BG's, MTN's, BOND's, SBLC's and CD's, which can be blocked or delivered via SWIFT.

Typical projects we have had successful applications for are:

• Construction and Development
• Resorts -Building or Upgrading
• Growing a Company
• Trade Programs
• credit enhancement purpose
• business enhancement purposes (petroleum, energy, agriculture, steel and other products).