Commercial Bridge Loans

Such loans bridge a gap until a specific event occurs which repays the loan such as the sale of fixed assets, refinancing, or capital injections.

Maintaining financial liquidity is vital in the modern corporate marketplace. For many companies, commercial bridge loans can help to manage short-term cash flow difficulties more effectively. Primarily designed to provide financial stability during one-time events, commercial bridge lending solutions deliver cash on hand immediately to be repaid when a specified event has occurred. As the name suggests, a commercial bridge loan bridges the gap between the need for cash on hand and the expected receipt of a financial payment or infusion of cash in the corporate coffers. In the construction industry, commercial bridge loans are used to provide ongoing financial support until financing or refinancing arrangements have been completed and payment has been made on the project. Real estate bridge loans may be used to provide funding for new facilities on the expectation that the existing facilities will be sold immediately upon the completion of the new corporate location.

These complex financial transactions require a significant amount of equity or other collateral; in most cases, the new or existing facility may be used as that collateral. Commercial bridge lenders consider the value of the property and the credit history of the borrower; other factors may be in play as well, including the current state of the economy and the likelihood that properties will sell quickly or that refinancing arrangements will be completed in a timely way. These short-term financial arrangements can provide valuable temporary funding for business owners looking forward to a significant cash windfall or infusion of monetary resources in the near future.

CNF Exchange can connect borrowers with the commercial bridge lending solutions most suited to their financial situation. Additionally, the added services provided by CNF Exchange can improve the application process and present the borrower in the best possible light to potential commercial bridge lenders, making it easier to obtain the necessary funding for these short-term financial needs.

 Find out additional information about business bridge loans.