The following examples represent just some of the uses our clients at Bridging Finance Limited have found for our services.
Capital Raising
At Bridging Finance Limited we lend to companies, trusts & pension schemes, secured against land or property. This allows opportunities to be taken up where large sums of money need to be raised in a short time.
Site Acquisition pending Planning or Development
One of our most popular uses. We can often make funds available in 24 to 48 hours, ensuring that opportunities are not missed. We therefore buy clients valuable breathing space while longer term funding is put in place.
Development Finance
A popular use for a bridging loan and one of the more common purposes we complete on. Funds can be drawn down at various stages during the project and this lends itself perfectly to development opportunities.
Corporate Recovery
Through offering products such as payment holidays or staged capital repayments, a bridging loan can ease clients' difficult financial situations through payments not having to be made immediately after the funds are made available. The funds and focus can be on corporate recovery, easing the immediate pressure on the company.
Tax Liabilities
When a tax demand is made it is often for an amount which cannot be accessed within the required time period. This is a perfect application for a bridging loan, which can be secured on the business premises and/or other property, with funds made available in short timescales.
IVA/Bankruptcy Annulment A business may need short term funding to meet business obligations and payments or overcome financial difficulties such as bankruptcies and IVAs. A bridging loan can be provided as a second charge behind a mainstream lender, as well as being used as a first charge to annul IVAs or impending bankruptcy.
MBO/MBIs
Bridging finance is ideal in a management buy out/buy in situation, as there is frequently a short time frame to complete the transaction. Bridging Finance can be used in the interim period prior to the more traditional funding being put in place.
Payment of Inheritance Tax A common problem when a client is left with a property is the payment of the inheritance tax prior to probate. Rather than selling the property at a difficult time of year or opting for a quick sale at a lower price, bridging finance can be used to settle the tax liability immediately and allow the property to be marketed properly at the right time of year, which could result in a significant uplift in the sale price.
