Cash Credit is a short term working capital loan, used to finance day to day business operations. Interest is charged only to the extent you use the facility. We at Pinnacle offer hassle-free and convenient cash credit solutions to fit the needs of our business customers. 

Term Loan  

A term loan is primarily meant for businesses to create their fixed assets like Plant and Machinery, Equipment, factory etc. the repayment of the term loan is generally to be made over 5 to 7 years. Moratorium period may be allowed on case to case basis. Pinnacle offers attractive term loan solutions at very competitive rates. It is part of our commitment to meet the business needs of our customers. 

Letter of Credit (Inland / import)

A letter of credit, or “credit letter” is a letter from a bank guaranteeing that a buyer’s payment to a seller will be received on time and for the correct amount. This facility is used for buying Raw Material from unknown buyers or suppliers. 

If you have to do business overseas, you might have to deal with suppliers you don’t know. How can you build trust? How do you assure you will honour the payment? Pinnacle will come to your rescue and provide payment assurance to the supplier in the form of Letter of Credit (LoC). In this way, the business transaction with your supplier becomes easy and seamless. (PJ to give)  

Bank Guarantee 

A bank guarantee is a type of financial backstop offered by a lending institution. The bank guarantee means that the lender will ensure that the liabilities of a debtor will be met. In other words, if the debtor fails to settle a debt, the bank will cover it. 
Trade Finance (EPC, FBP, FBD)  

Trade finance represents the financial instruments and products that are used by companies to facilitate international trade and commerce. … Trade finance is an umbrella term meaning it covers many financial products that banks and companies utilize to make trade transactions feasible 


EPC – Export Packing Credit 

FBP – Foreign Bill Purchase 

FBD – Foreign Bill Discounting  


Greenfield Projects 

Greenfield projects are new projects which are not restricted by any previous work. It refers to a fresh project executed completely from scratch, and includes building entirely new factories, hospitals, universities, schools etc. Pinnacle funds greenfield projects. 


Expansion is critical for a growing business and for any business to graduate to the next level. For most companies, it is a way of life. Amongst the vast range of business activities that Pinnacle funds, expansion is an important one. For our business clients, expansion is important and we acknowledge that. 


A construction loan is a short-term loan used to finance the building of a home or another real estate project. The builder takes out a construction loan to cover the costs of the project or comply the commercial/residential projects. 


Project finance is the funding (financing) of long-term infrastructure, industrial projects, and public services using a non-recourse or limited recourse financial structure. The debt and equity used to finance the project are paid back from the cash flow generated by the project. 


Mudra loan

Micro Units Development & Refinance Agency Ltd. (MUDRA) is a new initiative by the government of India which allows financing to the non-corporate, non-farm small/micro enterprises for up to Rs.10 Lakhs. Pinnacle has a range of products under this scheme. 


The scheme is implemented by KVIC functioning as the nodal agency at the national level and it routes government subsidy through designated banks for eventual disbursal to the beneficiaries/ entrepreneurs directly into their bank accounts. Only new projects are considered for sanction under PMEGP. Self Help Groups, Institutions registered under SRA, 1860, Charitable Trusts are also eligible.

Stand-up India 

Under the Stand-up India scheme, banks provide loans to Scheduled Caste (SC), Scheduled Tribe (ST) or women customers for an amount between 10 lakh and 1 crore. In case of non-individual entities, 51% controlling stake must be held by someone who is an SC/ST or a woman.  


Credit Guarantee Trust Fund for Micro and Small Enterprises (CGTMSE) is an MSME loan scheme under which micro and small scale industries can claim collateral-free loans for up to Rs.2 Crores. 



Home Loan

A one-stop shop for all your home loan needs, we offer a variety of products to suit every need. You want to buy a new home? Check. Prefer to build one? Check. We offer a range of home loan solutions to make your dream home a reality. 

Loan Against Property

Loan Against Property (LAP) is a convenient and lender-friendly solution for most commercial and personal needs. You can avail LAP against your commercial or personal property, as you deem fit. And like all our finance solutions, our LAP product is also extremely hassle-free and can be tailored to suit your specific needs. 

Loan against rent receivables

This is a very useful source of financing if you have rented out a commercial space. You can avail a part of the value of the property as a loan against rent receivables from Pinnacle. Quick, convenient and painless processing – a hallmark of Pinnacle Loans. 

Commercial Property Purchase Loans

Commercial Property purchase Loans are a great solution for business owners and professionals seeking financing for a new office or a retail outlet. A space of your own could take your professional/ business ambitions to new heights. Whether it’s a shop, office or a showroom you want, Pinnacle has loan products to suit your requirement. 

Balance Transfer + Top up

This allows you to transfer the balance of your existing loan to another bank on better terms with an additional top-up. We have competitive interest rates and to avail the benefit, you might want to transfer your existing loan from any other bank. And in addition to that, you can also avail of a top-up on the loan. Pinnacle offers a smooth and paperless process to do that. 

Unsecured business loan

Probably the most convenient and accessible financing solution, unsecured business loans do not require you to provide any personal or commercial asset as collateral. It is part of Pinnacle’s commitment to your success and growth that we offer easy and trouble-free unsecured business loans. 


Letter of Credit

We have the capability to assist you in your trade deal by providing a Documentary Letter of Credit – DLC MT700 from European Banks, on behalf of your company, to help you finalize imports and exports.

LC Issuance process to open LC MT700 at Minimal Cash Margin

Submit your LC or DLC request with the signed proforma invoice or contract of your trade deal. Also, inform the quantity and therefore the tenure of your required LC.
We examine the trade details and inform you about the approval or rejection of your LC request.
Once approved, we’ll send you a service agreement and inform you about the service charges to start your LC transaction.
Once we sign the agreement and receive the service charges, we’ll commence work on your transaction. First, we’ll block our bank limit; then, we’ll provide the MT700 draft for your perusal and approval.
After receiving the documents, draft approval, and LC issuance fee, we’ll request our bank to issue the specified MT700. Normally it won’t take more than 2 banking days to conclude the deal.
In some high-value SBLC transactions, we also issue pre-advice MT799/MT199 upon the mutual consent of the instrument provider and the beneficiary. In some cases, the beneficiary must provide evidence of a credit line sanction letter from its receiving bank where he wants to receive this instrument.


What is a Letter of Credit?

A Letter of Credit can be defined as a written undertaking issued by a bank guaranteeing that the buyer will fulfil his payment commitment towards the vendor after he submits the shipping documents. Letter of Credit or LC is available in following formats – Irrevocable LC, Import LC, LC at Sight, LC MT700, DLC MT700. 

Because of the nature of international trade dealings and the concerned risk factors including distance, varying laws of each nation and trust issues between traders, the Letter of Credit has become an important part of global trade. When a buyer and a seller from two different parts of the planet decide to try to conduct business, there is always an issue of uncertainty of trust and payment. To close the gap between the traders and to create trust, LCs are important tools. 

Usually, Letters of Credit or LC at Sight are valid for 90 days and 180 days respectively. And they are always irrevocable. It means a bank provides an irrevocable commitment that the vendor will get paid once they complete the terms stated within the issued irrevocable Letter of Credit. Also, it assures that just in case of some unforeseen crisis, if the customer is unable to issue the payment or the customer goes bankrupt, then the bank will take the responsibility to satisfy the payment commitment as agreed within the contract. Hence, this is often an irrevocable commitment made by the bank on behalf of the customer towards the vendor. LCs are mostly preferred as the payment term in international trade. 

How Does a Letter of Credit Work?

When it involves global trade, buyers face the danger of not receiving goods from the supplier even after the payment is made. And sellers run the risk of non-payment by the customer for the supplied goods. Therefore, MT700 was introduced by the International Chamber of Commerce (ICC). This secures the interests of both parties involved in trading. 

While using LC payment term, the buyer’s bank assures to pay the vendor for the supplied goods; upon complying with all terms and the submission of documents as stated within the issued DLC. In case, if the vendor fails to submit the documents before the deadline, the LC is going to be expired. Then the bank returns the funds to the buyer’s account which they deposited while opening the LC. This eradicates the risks for both the buyer and the vendor. 

Parties Involved in LC Issuance

In general, the following are the parties involved in Letters of Credit.
Applicant: The Applicant or the customer who requests the bank to issue the DLC MT700 in favor of their supplier.
Beneficiary – The supplier who receives the MT700 in their checking account, called LC Beneficiary.
Issuing Bank – The bank that issues the MT700 on behalf of their customer, called LC Issuing Bank.
Advising Bank – The advising bank receives the MT700 from the issuing bank and advises the LC towards the seller’s bank.
Negotiating Bank – The seller’s bank that receives the LC works also as a negotiating bank on their client’s behalf.

Letter of Credit Benefits

Not just the importer, but the exporter also gains many benefits by using Import LC as a payment term. And it includes:

For Exporter


  • The buyer cannot cancel or alter an order without the approval of the vendor. Hence, the assembly risk becomes zero.
  • The buyer’s bank must buy the shipped goods.
  • The buyer cannot refuse to buy the supplied goods once the vendor complies with the terms of credit.
  • Payments are secured if the customer opts for a credit.


For Importer


  • The bank is responsible for the payment of products or services on a precondition that the vendor would offer all the documents required, consistent with the terms of MT700.
  • Through an LC, the importer is indeed proving their solvency.
  • In most cases, the customer can control the shipping of products.
  • If the vendor provides a credit option, it means the vendor has been granted a credit period for the payment.
  • Prepayments become negligible under import LC.

Types of Letters of Credit

Irrevocable Letter of Credit

These can’t be amended or changed without the consent of all parties involved. Most of the traders prefer Irrevocable LCs. This is often because Irrevocable LC gives the safety that the majority of suppliers want. 

Transferable LC

This will be transferable to the principal supplier upon request of the first beneficiary. This is because, in some cases, the primary party is playing the role of a middle party under this sort of Letters of Credit. 

Confirmed LC

In some cases, sellers might not trust issuing bank that gives LC on behalf of the customer. So, they require a bank in their home country to verify the LC. 

LC at Sight 60 Days/LC 90 Days After Sight

These types of LC are usually utilized in domestic and global trade. This guarantees that the bank will release the payment, once the vendor submits all the documents as mentioned within the credit. 

Back-to-Back Letter of Credit

This type is normally issued against the Master LC. Firstly, the LC is opened in favor of an exporter from an importer’s bank. After that, as per the Master LC, the credit facility available within the exporter’s account, the exporter’s bank will open a replacement LC, in favor of their principal supplier. 

Letter of Credit Cost

The cost of Letters of Credit depends on the quantity and its tenure. Usually, the value may include bank commission, processing fee and swift charges. Further, the value is borne by the applicant (buyer). And it should be clearly stated on the issued LC. For more info on the value, get in touch with us. 



  • Standby Letter of Credit
  • Parties involved in SBLC
  • SBLC Provider
  • What is a Standby Letter of Credit
  • Can SBLC be Transferable?
  • SBLC MT760 Benefits
  • Standby Letter of Credit Cost


Standby Letter of Credit

Being a direct SBLC Provider, we support importers and exporters by providing a Standby Letter of Credit – SBLC MT760 on behalf of the importer and in favor of the exporter to conclude their trade deals. 

To avail SBLC, follow the process given below: 

Submit your SBLC request by sending your Sale and Buy Agreement or Proforma offer of your trade deal.
We will review the trade deal between the buyer/seller. After a careful study, we will inform you about our approval of the MT760 request. 
If your request is approved, we will sign a service agreement with you. Also, we will inform you to pay the service charges to commence work on their Standby LC transaction. 
After receiving the service charges, we will structure your SBLC as per your deal and send the SBLC draft for your review & approval. We will then request you to supply the specified documents and pay the issuance fee. 
Upon receiving the issuance fees, documents, and therefore the approved draft, we will act instantly. We offer Standby LC from our checking account with the party’s bank. This MT760 is going to be on behalf of the customer and in favor of their seller to conclude their trade deal. 

What is a Standby Letter of Credit?

It is a written undertaking issued by a bank on behalf of its client. SBLC guarantees the bank’s commitment of payment to the vendor, in the event that the customer defaults. Standby LC may be a “last resort”, meaning the bank fulfills the payment obligations, in case the client fails to oblige with the contract terms. 

Standby letters of credit certify the credit worth and payment strength of the customer. Also, it helps to facilitate global trade between companies that don’t know one another and have different rules & regulations. Therefore, it’s a preferable financial instrument employed by traders and is most reliable in business trade dealings. 

Moreover, SBLC also can be used as collateral for credit enhancement. Thus, it’s ideal for traders who decide to expand their business, without abandoning their cash funds. Having SBLC improves the company’s income and is seen as a symbol of excellent faith. Further, SBLC allows traders to use their cash capital for other dealings before payments become due. 

SBLC MT760 Benefits

SBLC MT760 provides tons of advantages for both importers and exporters as below: 

As an importer, you will cover the risk of the exporter for just one occasion with one SBLC, for a tenure of 1 year. Also, the SBLC can be renewed 15 days before the expiration date. So, it saves you extra money and time in doing repeat business. 

Availing SBLC ensures the delivery of goods/services as per the terms of the trade contract. 

The seller gets a guarantee of their payment once they accept it as true with the T&Cs of SBLC. If for any reason, the payment isn’t made or denied, SBLC acts as an alternate source to say their payment. 

The seller can draw down loans by claiming SBLCs from their bank. 

Parties involved in SBLC

The applicant (buyer) – the one who requests his bank to issue SBLC on behalf of the supplier.
Issuing Bank:
The bank that issues the SBLC MT760 on behalf of their client.
SBLC recipient or the supplier who receives the SBLC in their favor.
Advising Bank:
The advising bank features a relationship with the issuing bank and will receive the SBLC to advise an equivalent towards the seller’s bank.
Seller’s Bank:
The seller’s bank, from where the supplier receives the ultimate SBLC. 

Can SBLC be Transferable?

Standby LCs are often transferable if it’s subjected to the terms. Like other bank instruments, it is easily transferrable. Likewise, MT760 is often transferred in favor of a second SBLC recipient. However, it requires a written request by the primary SBLC recipient. 

Standby Letter of Credit Cost

Generally, the applicant (buyer) bears the cost for the issuance of SBLC. Mainly, the value includes bank commission, processing fee, and transmission fee. For more details on our tariff, contact us. 

SBLC Provider

We have been offering SBLC MT760 from various international banks on behalf of buyers. 

Our experts will frame the SBLC MT760 as per your requirement and will assist you to conclude the deal within 48 working hours.