Bridging Finance

Discussion in 'Accounts & Finance' started by StuartQ, Feb 20, 2021.

  1. StuartQ

    StuartQ UKBF Newcomer Free Member

    1 0
    Have been in business for app 20 years.
    We have been presented with a very exciting opportunity. A very well established children’s day nursery (freehold) has been offered to us. We will be new to the industry however have worked alongside for 20 years.
    We have completed due diligence, valuation and are satisfied.

    As we are new to the market, finance is proving challenging. We are putting up app 42% deposit on complete deal.

    We have been in offered bridging finance which would get the deal over the line. We could then refinance in year 2 when we have more experience in the market.

    What are thoughts on this type of finance, does anyone have experience?

    Thanks.
     
    Posted: Feb 20, 2021 By: StuartQ Member since: Feb 20, 2021
    #1
  2. Mark T Jones

    Mark T Jones UKBF Big Shot Free Member

    5,376 2,188
    What are you actually looking for?

    The right/best type of funding is dictated by your own business criteria, not by random opinions - and certainly not by APRs.
     
    Posted: Feb 22, 2021 at 9:50 AM By: Mark T Jones Member since: Nov 4, 2015
    #2
  3. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

    2,537 895
    Bridging finance can save the day, or it can sink the ship.

    Which is applicable here is dependent on your own individual circumstances...
     
    Posted: Feb 22, 2021 at 11:06 AM By: Gordon - Commercial Finance Member since: Jun 26, 2017
    #3