Commercial Bridging Finance
Short-term finance designed to bridge funding gaps for property purchases, refurbishments, or other business needs.
What is Commercial Bridging Finance?
Commercial Bridging Finance provides temporary funding, usually for a few months up to two years. It is commonly used to complete a property purchase quickly, fund renovations, or cover costs while waiting for longer-term finance to be arranged.
Benefits:
- Fast access to funds: Complete transactions quickly.
- Short-term flexibility: Borrow over weeks or months.
- Support property deals: Ideal for purchases, refurbishments, or auction buys.
- Bridge finance gaps: Covers costs while arranging longer-term borrowing.
Why It Matters
In competitive markets, timing can make the difference between securing or losing an opportunity. Bridging finance enables businesses to act quickly, whether acquiring commercial property, investing in refurbishment, or managing temporary cash flow needs.
Key Considerations
- Costs: Typically higher interest rates than standard loans, plus arrangement and exit fees.
- Security: Usually secured against property or assets.
- Exit strategy: Lenders will require a clear plan for repaying the loan, often through refinancing or sale of the property.