Efficient Trade Finance with Back-to-Back Letters of Credit

Back-to-Back Letters of Credit (LC) provide a seamless solution for businesses managing complex trade finance operations. This facility enables an intermediary (such as a trading company) to use an inbound LC from a buyer as collateral to issue an outbound LC to their supplier.

Financely partners with AAA-rated banks globally, facilitating the issuance of Back-to-Back LCs to support international trade. This tool bridges liquidity gaps while ensuring all parties meet their contractual obligations, streamlining the supply chain.

• Available for global businesses in diverse sectors
• Minimum LC value: $1 Million USD
• Maximum facility size: $25 Million USD

To begin the process, submit a request here. Financely will guide you through the issuance, ensuring efficiency and compliance.

Parameter	Details
Minimum LC Value	$1 Million USD
Maximum Facility Size	$25 Million USD (Syndication possible for larger facilities)
Issuing Banks	AAA-rated global banks, including HSBC, Citibank, Standard Chartered, and others.
Fees and Costs	Origination Fee: 1.25% – 2.5% of LC value Processing Fee: $25,000 to $100,000, based on complexity Retainer Fee: $50,000 (refundable if the LC is not issued)
Timeline	10–15 business days for standard transactions Additional time required for overseas due diligence
Documentation Required	Inbound LC details Supplier and buyer contracts Company financials and KYC documents Proof of transaction flow
Renewals	Facility renewals and increases available upon financial review.
Process	Submit a Request for Quote Receive and sign engagement letter Transfer the refundable retainer Submit required documentation Issuance of Back-to-Back LC

Disclaimer: Financely facilitates Back-to-Back LC issuance through AAA-rated banks. Facilities are subject to compliance checks, due diligence, and approval. Financely is not a securities broker or dealer and does not guarantee funding outcomes.