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LC-Backed Pre-Shipment Export Finance

Procurement Finance Against an Authenticated Export LC

Explore eligible pre-shipment funding where a confirmed export order is backed by an authenticated Letter of Credit and the exporter can comply with its documentary and shipment requirements.

Exporter examining documentary credit and shipping paperwork.

Key Funding Features

  • Funding: Up to 60% Against Eligible PO-Backed LC for the Referenced Route
  • Stage: Before Shipment
  • Essential: Authenticated LC
  • Issuing Bank and Country: Acceptance Required
  • Further Funding: May Be Considered When Shipment Is Ready

Funding Purpose

What This Funding May Support

  • Procurement against the LC-backed export order
  • Production and eligible pre-shipment expenditure
  • Working capital before compliant export presentation

Preliminary Eligibility & Structure

Preliminary Eligibility & Assessment

  • Verify LC authentication and any amendments, including available SWIFT messages.
  • Assess expiry, latest shipment and document presentation periods.
  • Match buyer, goods, value, currency and payment terms across PO and LC.
  • Review production capacity, margins and ability to meet every LC condition.

Documents to Keep Ready

Documents to Keep Ready

  • PO and authenticated LC with amendments
  • Issuer/buyer details and IEC/GST
  • Cost sheet, procurement and production plan
  • Bank statements and prior export track record

Frequently Asked Questions

Is an export PO enough without an LC?

This particular route requires an authenticated LC. Other export PO finance is a separate product.

Why do LC conditions matter?

Non-compliant shipment or document presentation may affect the expected repayment route.

Does the issuer country matter?

Yes. Issuing bank, country, sanctions and transaction acceptability are reviewed.

Conversion, SEO & Application

Discuss Your LC-Backed Pre-Shipment Export Finance Requirement

Share your business or project details to start a preliminary funding assessment with Capital Yono.

Funding is subject to eligibility, appraisal, due diligence, approval and final terms from the relevant funding provider.