Secure your phased transactions with a Partial Draw SBLC | 100+ projects secured via SWIFT MT760

⚠️ Have you faced challenges securing multi-stage payments without over-committing guarantees?

A construction firm recently secured a $280M infrastructure project using a Partial Draw SBLC structured by NNRV. Funds were released in 5 phases aligned with project milestones.

• 🧠 « The Partial Draw SBLC allowed us to maintain cash flow while giving our client payment security at each stage. NNRV’s structuring saved us $1.2M in unnecessary collateral. »

  — CFO, Engineering Firm

💼 What is a Partial Draw SBLC?

A bank guarantee that permits the beneficiary to claim predetermined portions of the total amount upon providing proof of completed milestones. This instrument is governed by ISP98/UCP600 and issued via SWIFT MT760.

✅ Key Features
✔ Released in predefined percentages (e.g., 30%/40%/30%)
✔ Each draw requires fresh compliant documentation
✔ Combines security with cash flow efficiency
✔ Accepted by contractors and suppliers globally

Key Benefits of Partial Draw SBLC

✅ Phased Risk Management – Only expose capital needed for current project stage
✅ Improved Cash Flow – Avoid full amount blocking like traditional SBLCs
✅ Contractual Compliance – Enforce milestone achievement before payments
✅ Global Acceptance – Valid under ICC rules across all jurisdictions
✅ Customizable Triggers – Set financial, technical or temporal release conditions

How Partial Draw SBLC Works

(5-step visual process with percentage breakdowns)

1️⃣ Initial Issuance

• Full amount guaranteed but only first tranche (e.g., 20%) immediately callable

2️⃣ First Milestone Completion

• Beneficiary submits proof (engineer certificates, delivery B/Ls)

3️⃣ First Draw Execution

• Bank transfers first tranche (20% of total)

4️⃣ Subsequent Triggers

• Repeat process for next phases (e.g., 30% on installation completion)

5️⃣ Final Release

• Last tranche paid upon final acceptance

🔄 Auto-Cancel Feature: Unused portions expire automatically

Approved Issuing Banks

(📩 Other banks available based on project specifics)

Required Documents

✔ Milestone Payment Schedule (Detailed trigger events)
✔ Technical Specifications (For verification standards)
✔ Corporate KYC Package
✔ Collateral Agreement (If applicable)
✔ Bank Comfort Letter (For new applicants)

5-Step Issuance Process

1️⃣ Consultation – Define tranche structure and triggers
2️⃣ Documentation – Submit compliance package
3️⃣ Bank Matching – Select optimal issuing bank
4️⃣ Draft Approval – Validate MT760 text
5️⃣ SWIFT Delivery – MT760 issuance + MT799 pre-advice

⏱️ Typical Timeline: 3-7 business days

Comparison: Partial Draw vs Traditional SBLC

Why Choose NNRV?

✔ Tranche Structuring Experts (300+ phased transactions)
✔ Direct Bank Access (Negotiate favorable draw terms)
✔ Document Preparation (Avoid drawdown rejections)
✔ Real-Time Monitoring (Tranche expiration alerts)

[📥 Download Tranche Planning Template]
[📞 Contact Trade Finance Team]