SBLC/BG & DLC Standby Letter of Credit (SBLC) and Bank Guarantee (BG) (ICC- Format 458) are issued to individuals, corporations, trust, pension funds, or non profit organizations on a Bank-to-Bank Basis for leasing. These Bank Instruments can be used as Collateral and Credit Enhancements for Commercial Loans. It is ideal for Companies planning to expand and do not want to give up equity in their Companies. SBLCs are issued for a variety of purposes, such as to improve the credit ratings for issuers of industrial development revenue bonds and commercial paper; to provide back-up facilities for loans granted by third parties; to assure performance under construction and employment contracts; and to ensure the account party satisfies financial obligations payable to major suppliers or under tax shelter programs SBLC is an irrevocable commitment on the part of the issuing bank to make payment to a designated beneficiary. It obligates the bank to guarantee or stand as surety for the benefit of a third party. SBLCs can be either financial-oriented, where the account party is to make payment to the beneficiary, or performance-oriented, where a service is to be performed by the account party. A SBLC differs from a commercial letter of credit in that the latter facilitates the sale of goods and is expected to be drawn upon by the beneficiary in the normal course of business, whereas the SBLC is not, generally, expected to be used unless the account party defaults in meeting an obligation to the beneficiary.