Your supplier requires a letter of credit.
The seller wants to be sure of payment before shipping. With a letter of credit, payment is made when the agreed shipping documents are presented.
Letters of creditTrade finance advisory · Madrid
Trade finance for your next transaction.
We help importers, exporters and contractors arrange letters of credit, standby letters of credit and contractual guarantees, with hands-on support from initial review to issuance coordination.
- Reply within 24 hours on business days
- Free, no-commitment first review
- Request in about 3 minutes
- Registered Spanish company · LEI
Based in Madrid, Spain. Working with companies across Europe, Africa, the Middle East and beyond.
- LC / DLC
- SBLC
- Bank guarantees
- Performance guarantees
- Advance payment guarantees
Start from your situation
Your supplier or customer is asking for a letter of credit or a guarantee?
It usually starts with a clause in the contract. These are the three cases we see most often.
Your contract requires a performance guarantee.
Your client wants protection if the contract is not delivered as agreed. The amount and wording usually follow the contract.
Performance guaranteesYour customer requires an advance payment guarantee.
You receive a down payment and the buyer wants it secured until delivery. The guaranteed amount often goes down as you deliver.
Advance payment guaranteesSolutions
Three families of instruments.
Each one answers a different need. Here is what it covers and where it is typically used.
Letters of credit
- What it covers
- Payment to the seller against the agreed documents.
- Typical use
- Imports and exports of goods, equipment and commodities.
Standby letters of credit
- What it covers
- A back-up payment commitment, used only if an agreed obligation is not met.
- Typical use
- Supply contracts with payment terms, recurring purchases, service agreements.
Contractual guarantees
- What it covers
- Correct performance of a contract and the repayment of advances.
- Typical use
- Tenders, supply and installation contracts, construction projects.
How it works
From first message to issuance.
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Share your transaction.
A few lines are enough: the instrument requested, the amount, the countries and the goods or contract.
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Review the requirements and available options.
We read what your counterparty is asking for and tell you what is feasible and what is missing.
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Coordinate the documentation and proposed wording.
We prepare the file and the draft text with you, in line with your contract.
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Support the agreed issuance process.
We follow the exchanges with the bank and the parties, and keep you informed at each stage.
The initial review is not an approval: the final decision belongs to the issuing institution.
What you get
Concrete answers, early in the process.
Trade finance requests often stall on details: an unclear clause, a missing document, wording the beneficiary will not accept. This is what we work on with you.
- A clear reading of the requestThe instrument, amount, validity and wording your counterparty asks for, explained in plain terms.
- A realistic view of your optionsWhat looks feasible for your operation, what is missing and what could block — before you commit to a deadline.
- A short, justified list of documentsOnly what the review actually needs, and why.
- Comments on the proposed wordingClauses to accept, negotiate or clarify with your counterparty before the request goes out.
- A single point of contactYour exchanges with the parties and the institution go through one point of contact, from first review to issuance.
Partners
You advise companies that trade internationally?
Consultants, advisory firms and business introducers bring us trade finance needs they identify among their clients. You introduce the file; we handle the review and coordination, and keep you informed.
- Consultants
- Advisory firms
- Trade professionals
- Business introducers
Guides
Straight answers on trade finance.
How LCs, SBLCs and bank guarantees really work — and what POF, RWA and “monetization” offers actually mean.
Guide · Letters of credit
Letter of credit (LC): the complete guide to documentary credits
How a letter of credit works: parties, step-by-step flow, LC types (sight, usance, confirmed, transferable), required documents and discrepancies.
Read the guide Guide · Standby letters of creditStandby letter of credit (SBLC): how it works and when to use it
What a standby letter of credit is, how it is drawn, ISP98 vs UCP 600, common uses, key wording, validity and what drives its cost.
Read the guide Guide · SWIFT messagesSWIFT MT700, MT760, MT799 and MT103: what each message really means
What SWIFT MT700, MT760, MT799 and MT103 messages are, who sends them, what each one proves and what it does not, plus the MT799 RWA and POF myths.
Read the guide Guide · Proof of fundsProof of funds (POF): what it is, what banks issue, and what to avoid
What a proof of funds (POF) is, the forms banks actually issue, what “blocked funds” really means, why “POF for rent” fails, and what to use instead.
Read the guide Guide · Standby letters of creditSBLC monetization: the legitimate core, the schemes and the alternatives
SBLC monetization explained: what banks actually do (credit secured by a standby, LC discounting, forfaiting), the red flags and regulator warnings.
Read the guide Guide · Costs and feesHow much does a letter of credit or SBLC cost?
What a letter of credit or SBLC really costs: issuance, confirmation, advising, amendment and discrepancy fees, collateral, and what drives the price.
Read the guideQuestions
Frequently asked questions
Who can submit a request?
Companies with a real commercial transaction: importers, exporters, traders, contractors and entrepreneurs. Advisers can also introduce a client, with the client’s agreement.
What information do you need initially?
The instrument requested, an estimated amount and currency, your company’s country and a short description of the goods, contract or project. Documents come later.
Can I enquire before my contract is finalised?
Yes — it is often the best moment, because the instrument clause and wording can still be adjusted.
What determines pricing and timing?
The type, amount and duration of the instrument, the countries and parties involved, the quality of the file and the institution concerned. We give you an indication once we understand the transaction.
What happens after I submit my request?
We reply by email within 24 hours on business days, usually with a few questions or a proposal for a call, and explain the next steps.
Can an intermediary introduce a client?
Yes, with the client’s agreement. See our partners page.
A company you can verify
Star Alliance Consulting S.L. is registered in Spain. Check us in the official registers before you share anything.
- Commercial register
- Registro Mercantil de Madrid, hoja M-825663 (tomo y folio electrónicos), inscripción 1.ª · EUID ES28065.082267692
- Legal Entity Identifier
- 984500VA6C7FDCE8CA57 · Check on GLEIF
- Spanish tax ID
- B19750199
- Office
- Calle José Ortega y Gasset 22-24, 5ª planta, 28006 Madrid, Spain
Have a transaction that needs an LC, SBLC or guarantee?
Tell us about it in a few lines. We will reply with an honest view of the options and the next steps.
Or write to us at info@starallianceconsult.com