Many small businesses are ready to make the necessary upgrades to their operations to increase their ability to attract new customers. However, many have realized that short term financing options for their industry are limited. We can provide immediate capital to finance short-term investments and be paid back over a 12-month period, thus avoiding long-term debt commitments. Merchant Financing provides convenient access to capital up to $250,000, enabling more small business owners to finance their growth needs, stay competitive and enhance their businesses.
With our Merchant Financing program, small businesses will be able to obtain crucial financing to grow and compete with larger operations. We are excited to offer alternative financing options that will help the retail, hospitality and restaurant industry meet their needs, grow their business and be successful.
Equipment Bridge Financing
Many companies find they need a relatively short term bridge loan secured by real estate or equipment, or both. The bridge provides liquidity immediately, and then the bridge loan financing is taken out by more permanent financing at the end of the term of the bridge loan financing. The terms of the loan can vary from 3-12 months and are renewable at the end of the term if the client requires more time to secure permanent financing.
Because the LTV (loan to value) ratios are lower with bridge financing than with conventional loans. The key difference is the lender can dispense with the requirement for debt service coverage and cash flow analysis of the borrower that would be required with conventional financing. With these covenants being waived you are able to obtain financing that you wouldn’t normally. Advances are based on the appraised value of the assets.
Bridge Term loans are available where a company is able to pledge unencumbered Machinery, Equipment, Real Estate and other fixed assets. Bridge loans are effective for financial restructurings, company and asset acquisitions and companies in rapid growth.
Mortgage Bridge Financing
Bridge financing is the process of obtaining temporary, short term financing to close a real estate transaction. Interim financing, also called bridge financing or a bridge loan, is often used by a company or individual who is requiring funds to develop property and/or construct a building. They key element required in order to obtain this short term financing is that there has to be an exit strategy. Exit strategy means having permanent financing secured to take out the short term financing once the construction project is complete. Being able to provide proof that a property is pre-sold is a great and very common exit strategy. Another example would be if you are in the middle of selling your property and buying another property but you will not be receiving the proceeds for a few months then this program would work great for you.
Sometimes referred to as Sale/Leasebacks this type of lease will allow you to source additional cash for you business. If you own or have significant equity in your equipment, property or buildings, Atlantic Business Federation leasing partners can help you leverage CASH for your company. Do you need money to pay for those expensive equipment repairs? Do you need cash for the expansion of your business? Has your industry slowed down and cash flow is weak? Do you run a seasonal business in which you have exurbanite start-up costs? This is how it works; the equipment is purchased from you by our leasing company at a predetermined value based on the current equipment market value. An important aspect of this program is that you obtain the cash injection into your company without having affected the operations of your business. Your equipment remains on site with you and its business as usual. There are many more reasons to consider re-financing with us.