A bridge needs an exit
The central underwriting question is not only why funds are needed today, but what event or cash source is expected to repay the bridge.
Timing does not replace diligence
Even when a transaction is time-sensitive, underwriting may still require financial statements, transaction documents, collateral information and verification of the proposed repayment source.
Short-term capital can carry higher cost
Borrowers should compare the total cost, timing, risks, repayment obligations and alternatives before accepting any short-duration financing.
Common business uses
- Transaction closing gaps
- Receivable or payment timing
- Temporary liquidity needs
- Time-sensitive inventory or asset purchases
- Capital pending a defined financing event
- Other documented commercial timing gaps
Important: Financing is not guaranteed. Availability, structure, pricing, collateral, guarantees and repayment terms depend on underwriting and the facts of the transaction.