Letters of Credit Financing

Standard Commercial Letter of Credit
A letter of credit enables the business to substitute its credit for that of the bank in order to facilitate payment on trade that is undertaken. It represents a secure way for the buyer to submit payment to the seller of goods or services.

Standby Letter of Credit
The primary use of the standby letter of credit is to act as a guarantee that the letter of credit will be honored by the customer. If the beneficiary of the standby letter of credit can prove that the customer did not honor necessary obligations, the beneficiary can draw upon the letter.

Click here for more information on Letters of Credit options with Severus Capital LLC.

Factoring & Asset-based Financing

Businesses that encounter unexpected declines in revenues or unexpected increases in expenses can turn to our asset-based financing for dependable capital. Companies that have their operating cash tied up in receivables can utilize their assets to get access to capital. Clients that pursue this type of financing structure can make use of a revolving line of credit based on a fraction of the client’s assets.
This allows a business to fully utilize its assets in times of need. If clients utilize their credit lines, they only pay interest based on the amount of capital that they have used during the period. Asset-based financing can function as a great cushion in uncertain times as there is plenty of cash to draw upon when needed.

Click here for more information on Factoring and Asset-based financing options with Severus Capital LLC.