Commercial Letters of Credit, most frequently used in international trade for import transactions, facilitate the purchase of sale of merchandise by guaranteeing that the seller will receive payment if the buyer receives the merchandise as specified in the contract.
Standby Letters of Credit, most frequently used in domestic transactions, are issued to secure a customer’s performance or financial obligation to another party. Standby Letters of Credit are not intended to be drawn on, except in the event that the applicant defaults under his obligations to the beneficiary.
Small Business Administration (SBA) Loans are available in a variety of term loan and line of credit options. Backed by government-sponsored loan guarantees, SBA loans issued through financial institutions offer businesses who may not otherwise qualify for conventional bank loans access to the credit their business needs to grow.
