Minimum £50,000
MAXIMUM
Normally 75% of 90 day open market sale value.
Greater where additional security is available
INTEREST RATE
Variable Minimum =1% per month
Maximum = 2% per month
SECURITY
First charge over long leasehold or freehold property
TERM
Up to 24 months
FEES
Lenders fees up to 1.5% of the advance
Borrower to pay lenders legal and valuation costs
Broker fee normally 1% of the advance
NOTES
Bridging facilities are designed as short term borrowing to enable transactions to be completed or to allow time for uncertain business trading conditions to be stabilized
As a short-term facility there is inevitably a higher element of risk
As a result the cost of such loans is high and all other options should be considered before taking a bridging advance
© Lextel Services To Industry Llimited 2004