To make a difference means to spark significant change and such has been the case thanks to commercial bridging loans. This interim financing method has allowed opportunities to be grabbed, emergencies to be solved and needs to be provided for. It’s one of those financing methods that we’re glad came into existence.
But what really makes bridging loans quite a monumental and groundbreaking innovation? We asked five entrepreneurs on how it made a difference for them and here’s what they had to say.
- “The factory was busy trying to reach the day’s quota to meet production needs when one of the machines broke down. We had to either purchase a number of parts to fix it or buy a new one. The company has been retaining part of our earnings for new equipment but it’s not yet enough, at least not until we finish this order. The equipments at the factory are worn out and have exceeded their useful lives and if we were to be practical, it would make more sense to get new and better ones. Getting a bridge loan saved us that week. It provided us enough cash to complete the down payment for the new machines and we were back on track.” — Ben, Leather Goods Manufacturer
- “We were waiting for our mortgage when another buyer came to look at the commercial space we wanted to purchase. Since we didn’t have the cash to make a down payment yet or even a security deposit, we were on edge that someone would get to buy our dream location. After all, we can’t blame them since it was a great deal and location was spot on. Through a bridge, we managed to get enough funding for a security deposit which bought us enough time until our mortgage arrived. ” — Toni, Restaurant Owner
- “Bridging loans helped us a good lot. Since most financing options are out of our reach during the initial stages of business, we couldn’t get our hands on any funds to help us purchase necessary assets. When we finally did, so much time has passed and we were losing opportunities. That and we still had to wait further for the scheduled cash release. Luckily, a friend advised us about bridging loans and how it can help us fund for short-term liquidity needs and it did.” — Troy, Startup Founder
Check this page: http://www.alternativebridging.co.uk/commercial/