Commercial Bridging Loan

Commercial bridging loans

Commercial bridging loans from £26k to £250m are available for any commercial use including residential investment property purchases, commercial property purchase, refurbishment, development, stock/plant/machinery purchases, tax or simply to raise cashflow.

No deal is too complex, we're experts in packaging your needs in such a way that a lender can understand its value. All cases are considered on their merit and providing you've security and a realistic exit we're likely to be able to help.

We arrange commercial bridging loans for businesses such as pubs, hotels, care homes, office blocks, equestrian centres and individuals for periods of 3 to 24 months. 

 Apply online or arrange a call with our experts today and get our best rate no obligation quote on your commercial bridge loan.

Commercial Bridge Finance Lending Criteria

Loan to value (LTV) Up to 65% maximum 
Loan term 3 to 24 months
Loan amount £26,000 up to £250m
Interest options Rolled-up, retained or serviced
Interest rates From 0.75%
Decision Immediate decision in principle
Completion 2 weeks
Early repayment fees None
Availability Secured on assets in UK & Europe
Individuals, Companies, SPVs
No credit & adverse credit considered
Exit strategy Sale or refinance

Quick Enquiry

Use the quick enquiry below to receive your
free no obligation quote for a commercial bridging loan.

How can a commercial bridging loan help?

Our commercial bridging loans help you access simple to arrange short-term finance that can be used for a variety of commercial purposes. in exactly the same way as a residential bridge these lines of credit are predominantly used to “bridge the gap” before a longer-term financial arrangement can be made.

Our Commercial Loans can be used for:   

  • Aid with business cashflow
  • Purchase of new business/premises
  • Broken property chain
  • Redeem existing business loan, or charge on asset(s)
  • Development opportunity
  • Separate investment opportunity
  • Other debt consolidation
  • End of term mortgage repayments
  • Refurbishment

Commercial property comes in a range of shapes and sizes – from office blocks, farms to factories, holiday parks, car parks to care homes. For those in the business of buying, selling and managing these types of property, commercial bridging loans are a vital way to quickly secure short-term finance which is secured against the borrower’s assets.

Using a broker to arrange the best deal

Our approach is to review the whole of market and match the borrower with the best possible lender and the best possible product. This tailored process provides all parties with the peace of mind that that they are securing the best possible arrangement on the market. 

Each lender will set its own criteria about the size of the loan they are prepared to offer, and the types of security they are willing to accept – so it’s important to do a thorough scan of the market and identify the best possible deals.

In addition, the application process for funding can be rigorous and complicated. If you use us, we will work with an underwriter to ensure that your proposal is as appealing as possible to the lender, therefore maximising the opportunities of a successful result.  

We've successfully arranged £200m in financing over the last 12 months and have strong relationships with a huge range of lenders - we're highly likely will be able to secure a deal that is far more competitive than one you may have searched for yourself.

Get expert assistance today. To find out the exact costs of a commercial bridging loan click here for a quote - it takes just 3 minutes!

Or feel free to call our friendly team on 01202 612934we're ready to help.

What is a commercial bridge loan?

A commercial bridge loan is a short-term loan that can be used to finance the purchase of a business or commercial property. These loans are typically used to cover the gap between the purchase price and the amount of funds available from other sources, such as a mortgage or personal savings.

Bridge loans typically have a higher interest rate than traditional loans, and they must be repaid within a short period of time, usually 3 to 24 months. However, bridge loans can be a helpful financing option in situations where traditional loans are not available.

Can a limited company get a bridging loan?

Yes. All businesses, including companies and SPVs are eligible for a commercial bridge loan. The loan is secured against the assets of the company which is usually in the form of a charge against the property, in some cases however, business owners may also be required to personally guarantee the loan.

Can a business get a bridging loan?

Yes. Commercial bridge loans are available to businesses of all sizes, including limited companies and SPVs.

Who is eligible for a commercial bridge loan?

Not everyone is eligible for a commercial bridge loan. These loans are reserved for businesses such as companies or SPVs including:

  • Private limited company – limited by shares (Ltd)
  • Private limited company – limited by guarantee (LBG)
  • Public limited company (PLC)
  • Limited liability partnership (LLP)

How do you qualify for bridging?

Are commercial bridging loans based on income? No, bridging loans are not income-based. The qualification criteria for a bridging loan is based on the value of the property you wish to secure the debt against and having a viable exit. Whilst your credit score will also be taken into consideration it isn't the most important factor in the lender's decision making.

Are there any charges involved?

Yes, there are various fees associated with commercial bridge loans, including:

Broker fee – A fee for arranging the loan by the broker. This can range from 1% to 5%.

Lender facility fee - A fee for providing the lending facilitating by the lender. This can range from 0.5% to 5%.

Valuation fees - A fee for obtaining a valuation of your property, this can fluctuate depending on the property type and whether a in-person valuation is required or a desktop valuation is used, as a general rule of thumb factor in the valuation at 2% of the property price.

Lender legal costs - These are always paid by the borrower and start from £450 however as solicitors are paid by 6 minute increments, the more complex the deal the higher the costs.

CHAPS fee - This is a standard flat fee, currently at £35.

Exit fees - Some lenders charge an early exit fee, however this is becoming less common.

Redemption administration fee - These are usually circa £200 and are to pay for the administration duties involved in completing the loan such as removing the charge over the property.

How long will I have to repay my commercial bridge loan?

Bridge loans are short-term loans, which typically range from 3 months to 24 months. However, you can choose to repay your loan early without penalty if you wish, as long as you adhere to the terms and conditions of your loan agreement.

What type of interest rates can I expect with a commercial bridge loan?

Interest rates for commercial bridge loans typically range from 6-12% APR depending on the risk profile of your requirements. There are lender options who may be able to help you obtain a commercial bridge loan even if your credit score is adverse.

What kind of property can I use my commercial bridge loan for?

Commercial bridge loans can be used to purchase any type of business or commercial property.

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